Treasury management in your DAO is now more flexible and Safe than ever
Multisig wallets are beautiful things, but too many DAOs rely on 2-3 multisig holders having keys to the castle.
Now, it’s possible for your DAO on Colony to directly control the contents of a Safe (formerly Gnosis Safe) through your DAO governance processes.
This means more decentralization, transparency, and fairness in treasury management.
What can it do?
Your DAO can now initiate Motions to trigger transactions from a Safe, including:
- Transferring funds
- Transferring NFTs
- Interacting with smart contracts
- Creating raw transactions
Essentially, anything your treasury Safe can do, your DAO can initiate.
Once initiated, Safe Control Motions proceed through the Colony governance process as any other Motion would, via the Lazy Consensus model.
How does it work?
Your Safe connects to your colony via a Safe module. Once connected, you can initiate Safe actions from the Colony action list, just as you would create a payment or manage a team. This bypasses the multi-sig requirement and uses the more decentralized governance mechanisms of the DAO instead.
These Safe actions need to be staked with native tokens, just like any other Motion. If there are no objections, the Motion will pass and the Safe action will be carried out automatically (note: there is currently an extra step required to finalize the transaction. See this doc for more info). If there is an objection, a reputation-based voting period will begin.
This process gives DAO contributors more direct control over how a Safe is managed. Gone are the days of trusting The Founders™ to carry out treasury management tasks in good faith.
View the full guide to adding and controlling a Safe with your colony.