Hey there, crypto enthusiasts! If you're into Solana's DeFi scene, you've probably heard of Marinade Finance—a liquid staking protocol that lets you stake SOL while keeping your assets liquid through mSOL tokens. But recently, there's been some exciting buzz around their governance and token economics, thanks to a thread from @smsonx, the Social Media & Community Lead at Marinade.
In this thread (original post here), @smsonx breaks down a major shift happening starting September: all protocol revenues, including fees, buybacks, and burns, will flow straight into the DAO treasury. For those new to the term, a DAO (Decentralized Autonomous Organization) is like a community-run entity where token holders vote on decisions—think of it as a blockchain-powered co-op.
This change is a big deal because it amps up sustainability for the DAO, improves the economics of the $MNDE token (Marinade's governance token), and hands full governance power to the community. Previously, revenues went to the team wallet for expenses. But with proposals MIP-11 and MIP-13 already approved, things are evolving:
- 50% of fees will go toward $MNDE buybacks, which are then funneled into the DAO treasury.
- The rest of the fees and any burns will further bolster $MNDE's value by reducing supply or increasing demand.
What does this mean in simple terms? Buybacks and burns make $MNDE scarcer, which could drive up its price over time—great news for holders! Plus, the DAO treasury gains more legitimacy as revenues now directly benefit the community rather than just covering operational costs.
Of course, this shift creates a funding gap for the team. That's where the new proposal comes in: allocating 100 million $MNDE from the DAO treasury to provide 12–18 months of runway. This will cover:
- Compensation for core contributors (the folks building and maintaining the protocol).
- Product development and security audits to keep things safe and innovative.
- Marketing efforts, partnerships, and ecosystem growth.
- Community programs and governance operations to keep the vibe alive.
To ensure accountability, there'll be quarterly reports on spending and milestones, with any unused tokens returned to the treasury. And based on community feedback, they've added a 1-year cliff to the allocation—no tokens unlock right away, preventing sudden sell pressure and giving time for fees and buybacks to replenish the treasury.
This is all part of Marinade's push toward a more decentralized future: revenues feed the DAO, the DAO funds the team, and the team drives growth. It's a virtuous cycle that aligns incentives and promotes long-term sustainability.
If you're a $MNDE holder or Solana staker, this could be a bullish signal. Delegates are encouraged to vote yes on the proposal to keep the momentum going. For the full details, check out the official proposal on the Marinade forum here.
What do you think—will this supercharge $MNDE's value? Drop your thoughts in the comments below, and stay tuned to Meme Insider for more updates on meme tokens and blockchain innovations!