Hey @h.m.23-0NEinfra,
These are excellent questions! Answers inline.
Yes, minting is the primary income source. Fortunately, we started the year with a relatively large treasury (see MoC Report: Update on the 4-year DAO Budget [Evergreen]), which has allowed the DAO to operate without any token emissions since April 2026 in direct response to market conditions. The DAO continues to keep emissions as low (basically zero) for as long as possible.
Given the IMP expenses, grants, and Foundation funding, we expect to operate at zero inflation for another 3-6 months. Without the labs grant, we’ve estimated around 13.54% inflation for the next 12 months.
This relatively low inflation rate assumes extra income from DIP-52 and a potential participation of the DAO in SSV staking (a low single-digit percentage). This requires a DAO vote, and nothing is decided yet, but it is the base case.
The $900k Indemnity Funds were set aside long ago to protect the SSV DAO Multisig against legal claims. However, the regulatory landscape has changed significantly, risk has decreased, we have more clarity, and we believe we can put these funds to work (yield generation and collateral). The Foundation also signed for D&O insurance to protect Multisig members independently of the $900k. SSV Labs can only draw on the funds when exercising the conversion option. We’re enforcing this with a Safe setup that prevents either party from moving the funds outside the conversion.
Here’s a projection we just finished, assuming the current treasury size, the DAO’s SSV staking, approval of the Labs grant, and the massive cost-cutting the DAO and the Foundation have already implemented.
TL;DR: The base case is to have a fully funded 2027 with the inflation rate as low as described above and enter 2028 with a USDC balance of $551.7k, which would guarantee a fully funded 2028, assuming the market stays the way it is (rather bearish).
Let me know if you have more questions. Thanks a lot!