Noncustodial Treasury and Disbursements

Every Umia project's funds live in a treasury smart contract, not in a team wallet and not behind a team multisig. The founding team has neither custody nor control at any point: money moves only by pre-set rule or by a resolved decision market. This page covers how funds get in, how they get out, and why both founders and holders can rely on it.

How Funds Get In

Proceeds from your Tailored Auction flow directly into the treasury contract at settlement; there is no intermediate stop. Later inflows land in the same place: follow-on auctions, governance-approved issuance, and product revenue routed back to the project. One treasury, one set of rules, for the project's whole life. (See Ongoing Funding with Fluid Capital.)

How Funds Get Out

There are exactly three doors, and everyone can see all of them:

• The monthly allowance. A recurring budget for development and go-to-market, set at formation with recipient addresses and purpose limits. The team draws it automatically, with no proposal needed: this is what keeps founders moving at full speed.
• Governance-approved disbursements. Anything beyond the allowance (a large one-off spend, a new commitment, a compensation change) goes to a decision market and executes only if the market resolves in favor.
• Liquidation. At any point, a proposal can wind the treasury down and dissolve the project, distributing remaining assets pro-rata (see Wind Down in the Legal Framework). It's the tokenholder's ultimate backstop, and its existence is part of why supporting an early project on Umia is credible at all.

The Rules Are Set at Formation, and Changed by Governance

At formation, the team specifies the conditions the entity operates under: recurring expenses, team allocation, and the allowance itself. Changing any of it, say, increasing the allowance to grow the team, is a strategic decision and goes through a decision market (resolving in roughly 72 hours). The treasury never depends on anyone's restraint; it depends on rules that are expensive to change quietly and impossible to change unilaterally.

Balances, inflows, and every disbursement are onchain and auditable by anyone, in real time. Your community doesn't have to ask how the money is being used, and you never have to write the awkward update explaining it.

How We Make the Treasury Secure and Viable

During the protocol's early phase, Umia retains disclosed, temporary supervisory capabilities (proposal approval and relay, plus an emergency veto against exploits) that are progressively removed as the system matures. The same supervision is spelled out in Decision Markets and disclosed on Security and Audits: the honest answer to "who can intervene?" is part of what makes the rest credible.

For founders: a liquid treasury usable from day one, a clear automatic budget, and no investor process standing between you and execution. For tokenholders: funds that cannot be quietly drained, spending that follows visible rules, and ultimate control sitting with the market rather than with promises. Neither side is trusting the other; both are trusting the same contract they can both read.

Key Principles for Founders

Plan your budget conservatively. Set an initial monthly allowance that covers your core needs. It's easier to propose an increase with demonstrated traction than to start too high.

Communicate proactively. Tokenholders govern through decision markets, and well-informed markets make better decisions. Regular updates on spending, milestones, and plans build trust and improve governance outcomes.

Use proposals strategically. Don't submit treasury proposals for trivial amounts; batch related requests when possible. Each proposal consumes community attention and decision market liquidity.

Embrace transparency. The noncustodial model is your greatest asset for building trust. Lean into it: share treasury dashboards, spending breakdowns, and roadmap updates publicly.