This proposal aims to enhance DJED's stability and increase its adoption within the Cardano ecosystem by allocating 2% of the 20% tax collected every epoch to the Cardano treasury for minting Shen coins. This allocation will directly support DJED's collateralization mechanism, ensuring that Shen reserves remain strong enough to maintain DJED's stability even during periods of market volatility. Additionally, 1% of the tax will be allocated towards offering transaction fee discounts when payments are made in DJED. This incentive is designed to drive DJED adoption by making it a more attractive option for everyday transactions.

To ensure sustainability, the discount system will implement mechanisms such as a dynamic discount rate based on available funds, transaction caps to limit the total amount of discounts provided in a given period, and a priority-based system to ensure fair distribution of discounts. If the allocated funds run low, an automatic treasury replenishment mechanism could be triggered, either temporarily diverting additional funds or adjusting the system's parameters. These changes will collectively strengthen DJED's role as a reliable, decentralized stablecoin while promoting its widespread use within the Cardano ecosystem.

The implementation of this proposal will require coordinated efforts across development, governance, infrastructure updates, security audits, and community engagement. It will involve developing new smart contracts for automatic Shen minting and transaction fee discounts, adjusting Cardano's ledger and node infrastructure, conducting rigorous security audits, and testing the new features on the testnet. Collaboration with DJED issuers (COTI), the Cardano treasury team, and the broader community will be essential to ensure a successful rollout. Education campaigns and detailed documentation will also be provided to help the community understand and interact with the new systems.

1. Any proposal for budget allocations from this bucket must be tied to clearly defined on chain metrics that include on-chain wallet creation, on-chain DID creation, and on-chain transaction volume.

2. Each proposal will be limited in size and accomplished in stages that start small and grow to a point where a critical mass can be achieved and the community formed becomes self sustaining. Once a community achieves critical mass it will be expected to sustain itself without further budget support. This guardrail will be elaborated on through this discussion.

WWE headquarters, aka Titan Towers, is located in Stamford, Connecticut, and is one of the most iconic buildings in the entirety of New England. This location has recently come up for sale, and should be purchased by the Cardano community in order to establish our official Headquarters. Establishing this location as Cardano HQ will allow us to put a giant Cardano logo on the top, and everyone driving to and from New York City on i95 will be able to see a sick blue-colored hypocycloid directly from their car. As of 2022, about 120,000 vehicles were traveling into, out of and through Stamford via I-95 per day, and this purchase will not only give us the sickest bat-cave-like HQ in web 3, but also double as the best marketing stunt in the history of advertising. All ADA holders will be able to sign into Cardano HQ by scanning their wallet at the door, and holders of at least 69,420 ADA will be given their own cubicle. What's more, they can accommodate a helicopter on the roof, and Uncle Charlie can totally park his Blackhawk there if he's ever in town.

Constitutionally limit the treasury against actions that burn Ada governance coins.

Any budget proposal for a budget expenditure from any of the 5 budget categories must have:

a. 1 clearly funded subject b. It must have a clear and defined completion goal or termination point.

Test

Participation in Cardano Governance as a DRep is voluntary. By accepting delegated responsibility, the representative assumes an obligation of self-discipline above and beyond the requirements of laws and regulations. Foundational professional and ethical standards guide the fiduciary responsibilities for Cardano DRep to act in the best interests of its client. Not all voters are considered fiduciaries, those who take on roles of representing collective delegation as DRrep, or similar positions involving financial oversight or management of assets on behalf of the client are held to the Cardano Fiduciary Standard. Basic framework will be as follows:

1. Duty of Loyalty
2. Duty of Care
3. Duty of Good Faith
4. Duty of Full Disclosure
5. Duty of Confidentiality
6. Duty to Act Within Scope
7. Fee Arrangements

Full text of the Cardano Fiduciary Standard will be made available for public comment once it is in a final draft form.