• Summary
• What’s the current financial health of the Foundation?
• Initial Fundraise
• Admin budget
• $REGEN treasury
• Extra/Backup
• Foundation Direct Investments
• csDAOs
• Kado
• Cerulean
• DAOs
• Indirect Funds Correlation
• General Crypto
• Liquidity Pools <> ATOM
• RND
• Community Pool
• Key insights
• Status of the $REGEN token
• Role of the foundation
• Valuation model for $REGEN as an investable asset and csDAOs as org parts
• Impact logic map

Summary

What foundation tries to achieve and how does it perform?

• Longest in eco
• Biggest holder
• Key activity – reinvest the raise

Key insights

• 1
• 2
• 3

What’s the current financial health of the Foundation?

The foundation was designed with a limited support feature to the token & tokenomics, mainly in placing governance (and small income) in the hands of local ecological communities. Extrapolation of the token distribution gives another ~10 years. But current admin setup has ~2-3 years of capacity and requires constant fundraising (no inbuilt self-sufficiency).

Initial Fundraise

Was not done by the Foundation, but RND?

https://pitchbook.com/profiles/company/398930-68#signals

$6 then, $0.06 now

Admin budget

$REGEN treasury

Same speed = 16 batches ahead, maybe 10 years, depends a lot on the price

Ethereum Foundation sales part of the tokens to fund own operations, liquidity risks

Extra/Backup

$300k of other tokens (ATOM, COSMOS)

Foundation Direct Investments

$250k/year org facilitates $150k investment + edu. Limited number of communities can be supported (e.g. 50 more) with less than 100% success rate. Also the current environment puts pressure on the price, restricts liquid investments (cerulean) and agility with the change of communities.

It’s still early days of the program of course and system learns. Though say in 10 years when all the placements would be done there’s no clear vision of achieving the community ecological needs.

csDAOs

Sources: Formalized set of reflections on the first year of the community Staking DAO Cohort Program, new cohort overview, Prioritization Matrix V2 2023

10 csDAOs (Community Staking DAOs) – All 500,000 $REGEN forever locked (~$25k in current prices, ~$500 monthly yield)

Skewed into origination with focus on 4 major pillars: Governance, Education, Science, and Regenerative Economics

10 csDAOs (Community Staking DAOs) – All 500,000 $REGEN forever locked (~$25k in current prices, ~$500 monthly yield)

2022

• Commons Stack
• OpenTEAM
• Kulshan Carbon Trust
• DAO Terran Collective

2023

• Smart Agro
• Canopy Collective (in process)
• Chatafisha
• Earthist Network
• Ekonavi
• Foundation for Regeneration
• Shamba Network

Tension:

• No gov activity from some DAOs, but taking the funds
• On the other hand – staking profits are pretty low (e.g. $500-600/mo. at current prices?)

Kado

• Outlier – investment in the infrastructure
• Grant Kado 204,816
• https://twitter.com/regen_network/status/1702377673073500410

…

Cerulean

• Outlier – investment in the infrastructure
• Investment fund 3,925,000 $REGEN
• Wasn’t used due to low liquidity (now just staked)
• Would like like to invest liquid assets (e.g. usdc) but nor you not the startup can't convert to them, cause liquidity pool will be out very fast and the price drops significantly

DAOs

• Tokenomics $10k
• …

Indirect Funds Correlation

General Crypto

• …

Liquidity Pools <> ATOM

• ~$200k

RND

• Indirect investment ~1 year of life

https://medium.com/regen-network/regen-network-closes-private-token-sale-round-raises-10-5-million-9cf8bfd90acc

Community Pool

https://guides.regen.network/guides/network-governance/community-spend-pool/about

• …

Key insights

Status of the $REGEN token

$REGEN is a governance token & currency

Challenges of dual function of REGEN token as vote and currency in a bear market [source]

1st thing that comes to mind – security representing the network assets. Investors expectations seems to be align with Howey test. Could see of course some of the legal problems with that. If it’s a currency – it requires stability, you don’t want services to be priced 10x higher or lower. Also governance rights now are mostly imposed on the protocol changes (maybe community fund?) which is relatively small control.

Role of the foundation

Monetary Policy was left to self organization in a low maturity system (no sustainable value chains bringing value back)

[source]

1. security target proportional to economic size + adaptively efficient across short/long timescales
2. growth target that has countercyclical smoothing + duration bias

Non-profits in climate crypto should partner with value aligned initiatives across ecosystems rather than solely emphasizing one tech stack. [source]

Can also mean support/partnership with the other chains (e.g. celo or ethereum) and building towards compatitability.

Valuation model for $REGEN as an investable asset and csDAOs as org parts

Economic model for foundation to measure it’s success.

Adoption of methodologies connected with the DeFi and dMRV.

Network valuation? Eco-impact, value delivered?

1. Supporting open source technological development aimed at ecological and agricultural applications in blockchain, remote sensing, IoT, machine learning, and fintech (Invest Focus)
2. Rewarding regenerative ecological outcomes (Dapp Layer)
3. Incentivising accurate ecological data to be produced and shared (Protocol Layer)

Impact logic map

1. Cultural / Narrative push (Snowcrash > Ministry) – in origination development, 100k communities

• csDAO program
• web3 conferences?
• …?

2. Institutional (EU > Ministry) – in origination verification?, 10% funding

• COP27?
• WEF?
• UNDP?
• Science?
• ?