August monthly report, Investors view
- Data through
- 31 August
- Issued
- 4 September
- Prepared by
- Meridian Labs finance
- View
- Investors, version 1
- Revenue
- $412k +14% on July
- Expenses
- $294k +3% on July
- Operating income
- $118k +55% on July
- Total NAV
- $4.14m $0.067 NAV/AS
- Runway
- ~14 mo At the $310k allowance
Month in brief
- Revenue of $412k, up 14% on July. The treasury share of gross fee income was $339k on record swap volume of $452m, and 12 integration partners paid $73k.
- Expenses of $294k, up 3%. That is 95% of the $310k monthly allowance. Payroll is 48% of spend.
- Operating income of $118k, up 55%. Expenses fell to 71% of revenue, from 79% in July.
- Total NAV of $4.14m, up $379k. 90% of the treasury currently sits in stablecoins. Management is actively reviewing strategies to deploy stablecoins into yield-bearing strategies.
- Monthly active users rose 9% to 21.4k while spend rose 3%.
- 96% of activity is classified. 7 items remain open and carry into September.
25% of gross fee income is sent to the treasury, swept daily to the Squads multisig. Liquidity providers keep 75%. Integration subscriptions are invoiced in USD and paid into the operating bank account.
1/1 treasury multisig, 2/2 operating wallets, 2/2 exchange accounts and 1/1 bank account covered, plus the payroll provider, company card and QuickBooks. Funds in the protocol's pools belong to liquidity providers and are not consolidated. Unresolved items carry into September.
Operating performance
- Swap volume
- $452m +14.1% on July
- Gross fee income
- $1.356m 0.30% of volume
- Transactions
- 612k +8.3% on July
- SOL / USDC
- 41%
- Stable pools
- 22%
- MRDN / USDC
- 18%
- Long tail
- 19%
- Volume reached $452m, a record, after $396m in July. SOL / USDC carried 41% of it and the stable pools 22%.
- The v3 stable pools launched on 11 August and reached 22% of volume within three weeks.
Revenue
$412k of revenue in August, up 14% on July and the highest month on record.
The shaded gap is operating income.
| Source | Detail | Amount |
|---|---|---|
| Treasury share | 25% of $1.356m gross fee income | $339k |
| Integration subscriptions | 12 partners, invoiced | $73k |
| Total revenue | $412k |
- Treasury share
- $339k25%
- Liquidity providers
- $1.017m75%
- Reconciles to the cent. 25% of $1.356m in gross fee income is $339k, matching 31 daily sweeps into the Squads multisig.
- Subscriptions grew to 12 partners after two wallets signed annual plans.
Expenses
- Expenses
- $294k +3% on July
- Monthly allowance
- $310k GOV-019
- Unspent
- $16k 5% of the allowance
| Category | Share | Amount |
|---|---|---|
| Payroll | 48% | $142k |
| Contractors | 14% | $41k |
| Infrastructure | 13% | $38k |
| Audits and security | 8% | $24k |
| Marketing and community | 7% | $22k |
| Legal and accounting | 5% | $15k |
| Software and other | 4% | $12k |
| Total expenses | 95% of the allowance | $294k |
- Infrastructure rose to $38k as RPC capacity was added ahead of the v3 launch.
Financial position
- Total NAV
- $4.14m +$379k on July
- NAV/AS
- $0.067 62m adjusted supply
- Runway
- ~14 months At the $310k allowance
- Stablecoins
- $3.83m90%
- Bank
- $410k10%
The axis starts at $3.7m so each movement is visible.
| Stablecoins | $3.83m |
|---|---|
| Bank | $410k |
| Accrued contractor invoices | ($58k) |
| Accrued audit fee | ($38k) |
| Net asset value | $4.14m |
- Total NAV rose $379k, from operating income, yield on stablecoins and the proceeds of GOV-024.
- The treasury also holds 12m MRDN ($1.92m at the 31 August close), which is excluded from NAV.
Liquidity and runway
- Treasury
- $4.24m Stablecoins and bank
- Monthly allowance
- $310k GOV-019
- Runway
- ~14 months Treasury ÷ allowance
The treasury of $4.24m covers ~14 months at the $310k monthly allowance. Revenue currently exceeds expenses, so the treasury grew in August.
Capital allocation and governance
| Monthly allowance approved | $310k (GOV-019) |
|---|---|
| Drawn in August | $250k |
| Spent from operating accounts | $294k |
| Decision markets | 3 passed |
| Extraordinary treasury movements | None |
| Proposal | Reference | Amount |
|---|---|---|
| Stablecoin diversificationMRDN sold for USDC on Bybit | GOV-024, 26 Aug | $240k |
| Contributor distributionApproved allocation | GOV-023, 18 Aug | 180k MRDN |
| Liquidity allocationMRDN / USDC pool | GOV-022, 12 Aug | 75k MRDN |
- GOV-024 sold $240k of MRDN for USDC, lifting stablecoins to 90% of the treasury.
- $250k was drawn from the treasury to the operating wallets. Revenue paid into the operating bank account covered the rest of August's expenses.
Token and holder positioning
- MRDN
- $0.16 +6.0% on July
- NAV/AS
- $0.067 Total NAV ÷ adjusted supply
- Spot vs NAV/AS
- ~139% Estimated premium
Blue: cost basis below spot (in profit). Grey: cost basis above spot.
- Adjusted supply
- 62m62%
- Protocol-controlled
- 12m12%
- Locked and unvested
- 26m26%
- 71% of MRDN holders are in profit at spot. Their average purchase price is below the 31 August close of $0.16.
- MRDN closed at $0.16 against NAV/AS of $0.067, trading at an estimated ~139% premium to NAV/AS.
- 1.2m MRDN unlocks on 1 October from team vesting. Adjusted supply rises when it does, and NAV/AS falls even though Total NAV is unchanged.
Growth
- Total users
- 48.2k +6.2% on JulyWallets with at least one swap, all time
- Monthly active users
- 21.4k +9.2% on JulyDistinct wallets with a swap in August
- Daily active users
- 1,840 +7.0% on JulyAugust daily average
- Transactions
- 612k +8.3% on JulyCompleted swaps, excluding failures
- Total users passed 48k, with 2,800 added in August. Most came through two wallet integrations.
- Daily active users averaged 1,840. Activity peaked in the week of the v3 launch.
Basis and coverage
177 of 184 movements, 96%, are classified. 7 are open for review and carry into September, where they can change these figures.
Covered: the Squads treasury multisig, two operating wallets, Bybit and KuCoin through read-only API keys, the Altitude USD account, the payroll provider, the company card and QuickBooks. Funds in the protocol's pools belong to liquidity providers and are not consolidated.