Fluid Protocol is taking a major governance step by proposing the Fluid Foundation, a legal entity to hold intellectual property and serve the protocol through custodians and directors. Former team lead DMH steps into the director role, stating: “For the first time, token holders will get real, enforceable control over Fluid’s IP.”
Foundation Structure and IP Control
The Foundation will manage all smart contracts, front-end domains, and other assets. DMH explained that a fully DAO-owned protocol cannot meet AML, KYC, banking, or regulatory obligations without compromising decentralization. The Foundation acts as a recognized entity — bridging compliance without sacrificing token holder power.
Budget Debate: Is $250K Monthly Fair?
Proposed monthly operations budget of $250,000 (funded as a DAO grant) covers engineering, growth, risk, security, finance, and marketing. Some governance members question whether fixed compensation overpays the Foundation without guaranteed returns for FLUID holders. A counter-proposal suggests a lower base plus a commission on protocol revenue, aligning incentives during revenue booms.
Community participant Ignas supported the proposal, noting it prevents equity-token conflicts seen at platforms like Aave. He also raised questions on token-holder authority, liability, and legal responsibilities.
Expansion Roadmap: DEX v2, Venus Flux, and $50B TVL
DEX v2 audits are complete, with launch expected immediately after the Sherlock contest ends around March 10. The team expects v2 to become the largest DEX by volume across all chains this year. Other initiatives: Lite USD vault deployment this week; Venus Flux on BNB Chain via Venus Protocol on February 26; rapid growth on Solana via Jupiter Lend. An insurance protocol for lenders is planned post-v2 launch. Internal target: $50 billion TVL by 2026, supported by multiple off-chain initiatives. Institutions require six months or more of legal onboarding — first partners are nearing launch.