This motion acknowledges the recently passed Motion Proposal #223 (https://nns.ic0.app/proposal/?u=uly3p-iqaaa-aaaaq-aabma-cai&proposal=223) but recommends postponing any liquidity provisioning until the ongoing product pivot is complete and market conditions have stabilized.

Context: Proposal #223, which calls for deploying ~100,000 USD in liquidity (roughly 1/8th of the DAO’s remaining treasury), was recently approved. While we understand the intent, we believe the timing is not aligned with the current state of the project.

Catalyze is in the midst of a major strategic shift. The product is being rebuilt with a new identity focused on networking and coordination. At the same time, broader market conditions remain volatile, adding risk to any large treasury deployments. Under these circumstances, allocating significant liquidity now may not bring meaningful value and could limit our flexibility.

Key Points:

• No product, no utility: The new product isn’t live yet. Token demand and utility are minimal. Liquidity without usage does little to serve the DAO or community.
• Market volatility: In unstable conditions, deploying large amounts of treasury capital introduces unnecessary risk.
• Treasury stewardship: Allocating 1/8th of the treasury during a pivot reduces our margin of safety when strategic clarity is most important.
• Better timing ahead: Post-launch, with clear token utility and stronger user activity, liquidity provisioning will have a greater chance of success.

Proposal: We propose pausing the execution of Proposal #223 and any similar liquidity actions until the following milestones are met:

1. The new product is live and publicly accessible.
2. A token utility model aligned with the new direction is presented to the DAO.
3. The DAO holds a follow-up vote to revisit and refine liquidity provisioning based on updated priorities and conditions.

Closing Note: This motion is not a reversal, it’s a strategic pause. Liquidity should come when the platform, the product, and the market are ready. Let’s focus on building first, and act when timing and impact align.

This proposal was created using https://ic-toolkit.app

Motion Proposal:

Motion Text:

Reassessing Liquidity Timing