Posted for discussion purposes. This is way out of my wheelhouse, but maybe AI can seed the conversation.

This entire proposal is written by Google Gemini (including the image), after an interview session with me that lasted for about an hour. I'm not using

blockquotes

to denote the AI usage for readability reasons. Everything from here on is from the AI.

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Suggestion: Creating the Steem Treasury Reserve Initiative

Executive Summary

We are proposing the launch of the Steem Treasury Reserve, a new decentralized initiative designed to strengthen the Steem ecosystem by diversifying blockchain assets into high-value external cryptocurrencies, such as TRX, BTC, and ETH.

This initiative seeks to bridge the gap between on-chain decentralized governance and real-world regulatory compliance. We propose utilizing the existing Steem Proposal System (SPS) to fund a legally compliant, Panama-based non-profit foundation. This foundation will act as the legal custodian, executing investment instructions voted upon by a newly formed "Steem Governance Community" and securing assets in high-security multisignature wallets controlled by elected community trustees.

The ultimate goal of this Foundation is to act solely in the best interests of the Steem blockchain, strengthening its long-term financial footing through prudent asset management.

Core Objectives

1. Diversification & Strengthening: Reduce the Steem ecosystem's reliance on single-asset volatility by creating a reserve of blue-chip crypto assets—starting with Tron (TRX)—and strategically rebalancing these assets to maximize value for the Steem ecosystem.
2. Compliant Governance: Create a sustainable legal structure (a Panama Foundation) that allows Steem users to direct real-world asset management without incurring individual legal liability.
3. Proven Stewardship: Demonstrate a secure, transparent flow of funds for both buying and selling assets, moving transparently between on-chain custody and corporate exchange accounts.

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Technical Flow: Acquiring Assets (The "Buy" Mechanism)

How do we move funds from a Steem proposal into a secure Tron wallet? The established mechanism will be:

1. The Proposal: A proposal is submitted to the Steem Proposal System (SPS) explicitly stating the investment goal.
   • Example Proposal: "Requesting 10,000 SBD to purchase TRX for the Treasury Reserve."
2. The Payout: Upon winning SPS approval via community votes, SBD is paid out to a specific Steem-based multisignature wallet held by elected officers.
3. The Bridge: These multisig signers move the SBD to a corporate exchange account owned by the legal foundation.
4. The Exchange: The SBD is traded for the target asset specified in the proposal (in this example, TRX).
5. The Vault: The purchased TRX is withdrawn to a high-security, self-custody multisignature wallet on the Tron network. The keys to this vault are held by the same elected officers, ensuring continuity of control.

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Technical Flow: Rebalancing and Selling Assets

The Treasury is not just a one-way street for accumulation; it requires active management to truly promote the interests of Steem. The community will also utilize targeted proposals to instruct the Foundation on when to sell or rebalance holdings.

The Rebalancing Mechanism:

1. The Strategic Proposal: A proposal is submitted to the community requesting a strategic action based on market conditions or ecosystem needs.
   • Example Rebalance Proposal: "Proposal to sell 25% of current TRX holdings into BTC to maintain target allocations."
   • Example Liquidation Proposal: "Proposal to liquidate 50,000 TRX back into STEEM tokens to fund a major marketing initiative."
2. Community Mandate: Upon winning community approval, the elected officers receive their mandate to execute the trade.
3. Execution:
   • The officers sign the multisig transaction to move the specified amount of the source asset (e.g., TRX) from the cold storage vault to the Foundation's exchange account.
   • The asset is traded for the target asset specified in the proposal.
   • The final funds are moved to their new destination vault or returned to the Steem blockchain as instructed.

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Project Implementation Plan (The "Launch Roadmap")

Because we are starting from the ground up, this plan utilizes a "Genesis Phase" approach. We propose appointing temporary, trusted, and "doxed" (publicly identified) "Genesis Trustees" to erect the necessary legal and technical infrastructure before handing control over to fully elected community governance.

Phase 1: The Genesis Foundation (Months 1-2)

Goal: Establish the legal entity and define the "rules of engagement."

• Recruitment of Interim Project Lead: Identify one individual to drive this phase, manage legal counsel, and coordinate setup.
• Engage Legal Counsel: Hire a Panamanian law firm specializing in crypto and Private Interest Foundations.
• Draft the Foundation Charter: This is the critical "constitutional" document. It will legally bind the Foundation's actions to the will of the Steem Governance Community.
• Appoint "Genesis Trustees": Identify 3-5 highly reputed, doxed members of the ecosystem to serve as initial, temporary council members and multisig signers. Their mandate is to execute the setup and the first proof-of-concept proposal before stepping down for elected replacements.
• Incorporate Entity: Officially register the Panama Private Interest Foundation.

Phase 2: Infrastructure & Community Framework (Month 3)

Goal: Build the technical rails and define the social space.

• Corporate Account Setup: The Genesis Trustees open a corporate account on a crypto-friendly exchange in the name of the Panama Foundation and pass institutional KYC.
• Multisig Architecture Setup:
  • Create the receiving Steem SBD multisig wallet.
  • Create the destination multisig wallets for the reserve assets (e.g., a native Tron multisig for TRX, Gnosis Safe for ETH, etc.).
  • Perform small test transactions to verify signing flows across chains.
• Establish the "Steem Governance Community": Create the official community space on Steem and publish the "Community Manifesto," explaining how buying, selling, and election proposals work.

Phase 3: The Proof-of-Concept Launch (Month 4)

Goal: Execute the first end-to-end transaction to prove the system works.

• The First Proposal: The Genesis Trustees submit "SPS Proposal #001: Treasury Seed Funding - Tron (TRX) Purchase." This proposal will seek a modest amount of SBD to test the pipes.
• Community Lobbying: The team actively lobbies Steem stakeholders to vote for the proposal to validate the new infrastructure.
• Execution: Upon SPS payout, the Trustees move SBD to the exchange, trade it for TRX, and withdraw the TRX to the Treasury Tron Multisig.
• Reporting: A transparency report is published detailing every transaction hash on-chain, proving the TRX is securely vaulted.

Phase 4: Steady State & Handover (Months 5-6+)

Goal: Transition from Genesis Trustees to democratic governance.

• The First Election: Announce elections within the Steem Governance Community for the first term of official "Treasury Officers."
• The Handover Event: A formal event where Genesis Trustees rotate their keys over to the newly elected officers on both the Steem multisig and the asset vaults.
• Regular Operations: The community begins submitting and voting on regular asset accumulation or rebalancing proposals.

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Resource Requirements & Estimated Launch Costs

To reach Phase 3 (The Proof of Concept), initial seed funding will be required before the first SPS proposal pays out to cover legal and setup costs.

Estimated Launch Budget (Pre-SPS Funding):

• Legal & Incorporation (Panama): $7,000 - $12,000 (One-off fee)
• First Year Registered Agent/Maintenance Fees: $1,500 - $2,500
• Total estimated seed capital needed: ~$15,000 - $25,000

Key Risks & Mitigation

• Regulatory Shift: If Panama changes its stance on crypto foundations, the charter will allow for re-domiciliation to another jurisdiction. Local counsel will be engaged for ongoing monitoring.
• Keyholder Collusion: Risk of trustees conspiring to steal funds. Mitigation involves using high-reputation, doxed Genesis Trustees initially, implementing minimum signing thresholds (e.g., 3-of-5), and ensuring future elections rotate power.
• SPS Volatility: If the value of SBD crashes during payout, the exchange account will utilize OTC desk capabilities for rapid liquidation upon receipt to minimize slippage.