# About Reform Reforming the Market Making Industry
### What is Reform? Reform is the first market-making and liquidity-providing DAO, properly aligning incentives while offering boutique and tailored solutions to projects. We're here to reform the landscape of market-making in Web3. ### Why are we here? Large, centralized entities possess exclusive market-making privileges inaccessible to smaller parties. Unfortunately, these large entities often exploit their advantages to the detriment of stakeholders and projects, as well as the ecosystem as a whole. At Reform, we leverage advanced algorithms to provide and ensure equitable market-making. Through our services, projects are guaranteed more favorable terms, which benefits both the end-user and the project itself. Additionally, any net revenue generated from these transactions is used to benefit the DAO and its participants. *“Accessible, Transparent, and Equitable.”* Reform is committed to integrity, integrating advanced and transparent dashboards to foster an honest ecosystem. Our platform offers a decentralized and transparent alternative to the opaque and often-extractive market-making of our industry, allowing you to rest easy knowing (and verifying) that you're in good hands. # The Team Reform consists of a team of core contributors and subcontractors of the DAO, which now consists of a team of 15 members. Reform holds over 50 years of crypto experience, 5 years in Market Making, and manages a large crypto fund with over 100 million AUM, supported by a team experienced in Market Making, fundamental research, trading, Web3 marketing, and DAOs. ### **Reform Core Contributors**

Reform - Core Reformers

* [**Jess Muntenaar**](https://www.linkedin.com/in/jess-muntenaar/) **- Business Development** Jess brings over nine years of crypto market experience to Reform, including several years as Chief Investment Officer at a leading cryptocurrency fund in Europe. He spearheads business development by ensuring a continuous deal flow of new projects. * [**Paul Lafaille**](https://www.linkedin.com/in/paullafaille/) **- Marketing** \ Paul has over seven years of marketing experience, with the past three years focused on Web3. He is the host of the widely followed [Paul’s Penthouse X Space shows](https://x.com/paulspenthouse), where he engages with leading voices across Web3. Paul also works extensively as an advisor to a range of large Web3 companies. His industry knowledge helps shape Reform's marketing strategy and brand positioning. * **Ichimoku - Strategy** Ichimoku is the founder of Growity, an algorithmic development company that powers Reform’s trading strategies and market-making infrastructure. With ten years of experience in crypto and running a leading cryptocurrency fund in Europe, he brings a sharp focus on quantitative strategy and algorithmic innovation to Reform. * **Aslan - Operations** Aslan brings seven years of hands-on experience in crypto trading, with a strong focus on Web3 startups. At Reform, he oversees day-to-day operations and manages the company’s finances. He's also responsible for all DAO proposals and governance processes, ensuring alignment between the core team and community. * [**Luigi**](https://x.com/LuigiRFRM) **- Technology** Luigi brings nearly 20 years of development experience and over a decade of experience in crypto to Reform. Creator of [LuigiBot](https://docs.reformdao.com/by-reform/luigibot), he leads all aspects of technology development, overseeing infrastructure, product innovation, and long-term technical strategy across the Reform ecosystem. ### **Reform Contributors** * James, BD Manager: Leads business development for market making. Handles events, CRM updates, and closes deals with aligned projects. * Aaryan, Nahuel and Onur, BD Partners: Our BD partners work alongside James on market making BD. They manage outreach and support for business development relationships including events, CRM, and deal execution. * Bella, Communications: Drives partnerships with KOLs, ecosystems, and partners to expand Reform’s visibility. * Sylvie Rose, Senior Designer: Leads the design team and oversees all creative output, web, social, and motion. * 0xNFTea, Marketing Executive: Runs campaigns, social media, and writes compelling, on-brand copy. * Dominic, Marketing Executive: Co host Paul's Penthouse spaces, business development, content guidance. * Matthew, Marketing Manager: Advises on campaigns and social media platforms, assists with strategy and marketing research, and creates copy. * Iida, Intern: Creates both long and short-form copy for several of Reform's social media accounts, assists senior team members with various tasks. * Artzy, Research, & Community Development: Conducts comprehensive research on market making, tracks new ecosystem trends, and manages community developments. * Polar Panda, Junior Researcher MM: Builds internal tools to support the MM BD team, especially for lead sourcing. The contributors of the DAO are supported by Growity Trading, which consists of 10 developers, 5 quants, and is overseen by 3 project managers. ### Reform Advisors

Reform - Advisors

* [**Marc van der Chijs**](https://www.linkedin.com/in/chijs/)**, Business Advisor:** A seasoned Dutch investor and entrepreneur, Marc founded Tudou, Hut 8, and Climate 8. He will guide entrepreneurship and project launches for Reform. * [**Kay Van Petersen**](https://www.linkedin.com/in/kayvanpetersen/)**, Financial Advisor:** Kay has been one of the biggest advocates, proponents, and investors in blockchain technology. With 20 years of experience in the financial sector, he is responsible for building and advising connections in Asia. * [**Elliot Hagemeijer**](https://www.linkedin.com/in/elliot-hagemeijer-60a620129/)**, Token Advisor:** Founder of Decubate, Elliot is an advisor to many projects such as ChainGPT and Reform, providing insight and guidance on token launches. * [**Petros Naziroglu**](https://www.linkedin.com/in/petros-naziroglu-amsterdam721/)**, Market Making Advisor:** With previous experience at Skynet Trading, Petros will provide expertise on project market making contracts and connections. * [**CZvanguard**](https://x.com/czvanguard)**, Marketing Advisor:** With years of expertise in the web3 and blockchain sectors, CZvanguard will guide marketing activities and build an online presence for Reform. # Roadmap
### **Q4 Objectives** * Grow revenue streams to achieve gross revenue of $80k/mo and positive cash flow. * Expand current service offerings to include additional features and maintain technological edge over competition. * Spread online presence across various media channels with regularly scheduled content and educational materials. ### **Q4 Key Deliverables** 1. **Grow Revenue to $80k/month** * **Market Making Services:** Grow project client list to 20 total * **Paul's Penthouse:** Focus on sustainable growth and expanding list of partnerships * **LuigiBot:** Expand user onboarding to increase revenue to $15k/mo 2. **Algorithmic Optimization** * **External dashboard:** Update to improve features and add advancements such as historical data and enhanced Reform branding * **Whitelabel Solutions:** Project vaults and launch dedicated services for vault deployment * **Monitoring Services:** Optimize monitoring services for clients 3. **Luigibot v3** * **Project Focus:** Improve future updates for project-focused service * **New features:** Enhance existing features and provide additional features 4. **Vaults** * **Delta-Neutral Vault:** Launch, expand, and fill Delta-Neutral vault to capacity * **Airdrop Vault:** Launch, expand, and fill Airdrop vault to capacity 5. **Paul's Penthouse** * **Spaces:** Maintain and increase regular broadcasts on X * **Socials:** Expand presence on X and other social media platforms # TLDR
Unlike the vast majority of market makers, ReformDAO is here to turn market making into an open, transparent, and accessible system built for the benefit of projects, not extractors. Through Designated Market Making (DMM) deals, we provide 24/7 liquidity, tightened spreads, and stronger markets without dumping your tokens or making closed-door deals. We offer boutique, tailored solutions to fit your project's specific needs, with several models to choose from; all offering full transparency through live dashboards. By combining real trading infrastructure with long-term goal alignment, ReformDAO offers trust, stability, and growth in market-making. Want to know more? Contact us [here](https://form.typeform.com/to/JFFlk7w1). # MM Explained Market making is, at its core, a simple concept: We make sure that people can buy and sell your token without major headache, big gaps in price estimates vs results, random price swings, or endless waiting. Healthy liquidity means tighter spreads, smooth trading, and a real sense of trust for anyone involved in your market. Without it, you'll see wild price action, wide spreads, and low volume, leading to frustrated traders and eventually, delisting of your token from hard-won exchanges. ### **The Problem** Most market makers aren't working for you. They're working for themselves. It's far easier for them to dump your token for a quick profit than to provide long-term value for your project. Self-interest is okay, but not at the expense of your customers and partners. ### **Our Solution** This is why Reform does it differently. Our approach is straightforward and transparent: * Constant liquidity support, with 24/7 trading algorithms. * Tight spreads and fair trading conditions to attract users and earn their trust, not scare them off. * Full transparency: every trade and action is visible via live dashboards. * No token dumping: Any surplus tokens, either during or after the contract's duration, go straight to the DAO treasury. In this way, Reform is aligned with your long-term vision. Care to know more? We'd love to chat! Contact us [here](https://form.typeform.com/to/JFFlk7w1). # What can we do for you? An agreement with Reform extends beyond market-making. We're here to help your project grow the right way. We've seen firsthand how easily projects are trapped into shady market-making deals with hidden sell pressure and promises that don't match reality. It damages trust, hurts your token holders, and ultimately makes a comeback nearly impossible. We knew it could be done differently, so we built ReformDAO around these key principles: * **Transparency First:** You'll have live access to dashboards showing every trade, every liquidity move, all with real numbers in real time. * **True 24/7 Coverage:** Our trading engines are running across major exchanges 24/7, every day. Crypto never sleeps and neither should your market-maker. * **Trust by Real Teams:** Top Web3 projects work with us because they know we don't just claim stability and service, we deliver it. * **Experienced Team:** ReformDAO is built by people who have years of experience in trading, instrastructure, and DeFi solutions. * **1-on-1 Support:** Guiding projects through the maze of market-making is what we excel at. We help you understand and navigate the landscape with confidence and wisdom. In an industry filled with opacity, we deliver transparent results. If you want a partner that treats your liquidity as seriously as you do, you're in the right place.
### **What Reform Can Do for You** We're not just a market maker, we're the partner your token deserves. At ReformDAO, we've built a system that provides projects with the support they really need, not only in liquidity services, but also in performance, visibility, and confidence. Here's what that looks like in practice: * Token Launch Support: Just listed on a CEX? We'll build your order book from scratch, keep spreads tight, and ensure enough liquidity to keep trades flowing smoothly. * Market Recovery After a Drop: If your token's price action took a hit, we'll deploy adaptive strategies that restore trust in the charts, without panic dumps or shadowy plays. We offer a strategic plan for stronger liquidity, resulting in lower impact from sudden token dumps. * Ongoing Liquidity Maintenance: Already listed? We provide 24/7 liquidity across your most active pairs and key exchanges. This means tighter spreads, smoother execution, and an overall safer trading environment. * Delisting Protections: Most exchanges have minimum requirements surrounding volume, depth, and spreads. We'll help you meet and exceed these expectations so your listing remains secure, your credibility grows, and your holds remain confident. * Trainsparency Built-IN: We can show your community exactly what Reform is doing for you via our live dashboard, so your holders see action, not promises. Projects like [Gains Network](https://gains.trade/), [Hello Labs](https://www.hello.one/), [Tapify](https://www.tapify.net/) already use Reform because they know that what we do works, and we can prove it. If you're building something worth believing in, your market structure should reflect that. ReformDAO helps make sure it does. [Let's talk.](https://form.typeform.com/to/JFFlk7w1?typeform-source=app.gitbook.com) # Market Making Strategies Every project is unique and has different needs. We get that. That's why we offer tailored solutions to achieve your desired results: ### Token Loan Model This path ensures aligned incentives: the healthier your market, the stronger your ecosystem. * You provide an agreed amount of your token at a fixed strike price. * We use advanced algorithms & trading strategies (grid trading, arbitrage, dynamic liquidity management) to strengthen your markets. * Profits made in tokens go back into the ReformDAO treasury after the agreement is concluded, but will never be dumped onto your books ### Retainer Model If you prefer to keep custody of your tokens, we've got you covered as well. * You pay a simple monthly fee. * Your assets stay fully under your control. * We handle market making for your token across your favorite CEXs, usiong the same advanced strategies outlined above. ### Vault based Model Don't have a CEX account, but still want full transparency? We now offer a vault-based market making model. * Fully audited by third parties -- every move/order is 100% transparent, tracked, and documented. * Anyone can deposit tokens or stalbecoins (including your token holers) and withdraw anytime, allowing you to take advantage of community capital. * No monthly fee, but rather a small management fee based on vault size and capital amount. Want to learn more, [check it out here. ](/by-reform/the-market-making-vault) Whichever strategy you prefer, you'll get access to real-time dashboards showing liquidity performance, spread tightening, depth management, and more! Nothing hidden, nothing left to guess. Undecided? We'll help you find which model best fits your project with a free consultation. Contact us [here](https://form.typeform.com/to/JFFlk7w1).
# FAQ for Projects ### **What does ReformDAO offer?** We offer several models for market making. The first is the token lona model, in which we recieve a project's tokens via loan and run our algorithms across connected exchanges. The second is the retainer model, in which we plug into your exchange accounts via API and execute market-making directly on your behalf. The third is our brand new vault-based model, in which anyone can deposit tokens into a fully audited vault and gain exposure to market-making services and their upside, proportional to their deposit amount. All of these options operate from the same core values: transparency, fairness, and accessibility. You'll have 24/7 access to live dashboards and responsive communication from a team that collaborates closely with you to deliver strong, healthy liquidity. ### **What’s the difference between a retainer and a token loan?** With a token loan, Reform takes temporary ownership of the tokens and provides USD liquidity based on a strike price you set. At the end of the term, we repay that loan in tokens or stablecoins according to the strike price. With a retainer, you provide the tokens and USD liquidity from your end. We then connect our algorithms via API and ensure exchange requirements are met. ### **How do you support token liquidity?** We meet the requirements of each exchange by quoting consistently, narrowing spreads, and increasing order book depth. Our aim is to create a healthy, fair, and accessible market for anyone who wants to engage with your token. ### **How is performance reported?** All activity is tracked and reported on a live, transparent dashboard, accessible 24/7. You can see the number of orders placed, spread levels, and the share of volume that comes from organic (non-algorithmic) trading. We're also available around the clock to answer questions and to support you through your preferred communication channels. ### **How do we get started?** If you're ready to bring fair, transparent market-making ot your project, [contact us here.](https://form.typeform.com/to/JFFlk7w1?typeform-source=app.gitbook.com) # The Airdrop Vault
Most people farm airdrops the wrong way. They spread capital thinly across multiple protocols and end up with allocations that barely cover gas fees. Meanwhile, whales concentrate massive capital, hit allocation ceilings, and walk away with six-figure hauls while retail fights over crumbs. The Airdrop Vault changes that dynamic. We're applying institutional-grade capital efficiency to airdrop farming with the same transparency and community ownership that defines Reform DAO. ### **Why The Airdrop Vault?** The math is simple: bigger wallets get bigger allocations. The execution is more complex: knowing which protocols matter, timing proper entry, and executing multiple positions at the same time. This is where Reform's6 expertise comes in. **Traditional airdrop farming has issues:** * **Limited Capital:** Small wallets can't hit meaningful allocation tiers on their own * **Protocol Selection Risk:** Many farmers waste time on protocols that never airdrop * **Timing Inefficiency:** Most enter too late and exit too early * **Fee Overhead:** Transaction costs destroy the profits of small wallets * **Information Asymmetry:** Institutions understand which protocols matter most; but retail guesses Our solution pools capital to achieve institutional-grade results. Gone are the days of gambling on random protocols and watching the whales eat while you starve. This is systematic, professional airdrop farming paired with community ownership. ### **Mechanics** **Capital Pooling:** Contributors deposit funds with low minimums and receive proportional shares of airdrops. **Professional Selection:** Reform's team identifies high-probability opportunities using the same analytical expertise we bring to market making. **Position Sizing:** Pooled capital means bigger bags to deploy. Instead of spreading thin, we go deep where it counts. **Active Management:** Professional monitoring, strategic timing, and optimized execution, all handled by the team. **Transparent Distribution:** When airdrops hit, profits flow right back to participants. Our transparency standards apply here too. ### **Who's it for?** **Retail Farmers:** Stop spreading $500 across 12 protocols for scraps. Pool with others and achieve meaningful allocations. **Busy Professionals:** Get professional airdrop exposure without spending hours hunting protocols and monitoring dates. **Risk-Conscious Traders:** Diversify across multiple opportunities instead of all-or-nothing bets on single protocols. **Community Builders:** This is what DeFi should be; collective action that benefits everyone, not only the whales. If you're ready to stop settling for scraps and join the feast, check out the Airdrop Vault here. (Coming soon). # The Delta Neutral Vault
Markets are volatile. That's not news to anyone in crypto. But proven strategies exist which profit regardless of whether we're pumping or dumping. The Delta-Neutral Vault captures value from market mechanics, not market direction. While the space chases unsustainable 400% APY yields, we’ve built something different: consistent returns that don't care which way the market moves. This is boring, profitable, and most importantly, sustainable. ### **Why Delta-Neutral?** Traditional crypto investing means picking a direction and hoping you're right. Bull market? You win. Bear market? You lose. Sideways chop? Another loss. Delta-neutral strategies eliminate directional risk entirely. **Most treasuries suffer from:** * **Directional Dependency:** Returns live or die by market direction * **Volatility Risk:** Chop kills both bulls and bears * **Emotional Trading:** Fear and greed destroy consistent execution * **Limited Strategies:** Approaches are generally some variation of "buy and hope" * **Non-institutional Disadvantage:** Hedge funds use market-neutral strategies daily while retail gets left out. Instead of betting on where prices go next, delta-neutral trading captures value from market inefficiencies, spread differentials, and arbitrage opportunities. Hedge funds have used these strategies for decades to generate steady returns. Now we're democratizing that same approach. ### **Mechanics** **Low Barriers to Entry:** Pool smaller contributions to reach institutional scale while keeping access open to everyone. **Professionalism:** Reform's team deploys proven algorithms and risk management frameworks for you. You get institutional-grade execution without needing to understand hedging mechanics. **Market-Neutral Positioning:** We hold spot positions while hedging with perpetual shorts, capturing yield from funding rates and arbitrage opportunities across exchanges. Bull market or bear market; you profit either way. **Transparency:** Real returns from real trading with the same transparency standards Reform applies to everything we do. ### **Who's it for?** **Treasury Managers:** Sitting on undeployed project capital? Take advantage of steady returns to offset burn-rates and expenses. **Risk-Conscious Investors:** Generate steady performance regardless of macro conditions. Sleep easy while others stress about market direction. **Bear Market Survivors:** When everything else bleeds, market-neutral strategies turn volatility into opportunity instead of destruction. **Portfolio Diversifiers:** Balance high-risk strategies with consistent, low-risk returns. This isn't about replacing moonshots, it's about complementing them. **Institutional-Curious:** Get direct exposure to hedge fund strategies that have generated steady returns for decades. Want to navigate choppy waters with consistency? Check out our Delta-Neutral Vault here. (Coming soon). # The Market Making Vault
Reform DAO has always been about breaking down barriers in market making. We've built transparency and community ownership into our business model, proving that professional-grade services don't need to happen behind closed doors. Now we're taking the next step by giving everyone access to market making upside, regardless of capital size. ### **Why Market Making Vault?** Traditional market making requires massive capital minimums and locks out retail participation entirely. Projects get stuck with extractive terms, and individuals never see the profits from professional trading operations. Meanwhile, institutions capture all the upside from an industry that should benefit entire ecosystems. **Traditional market making faces major issues:** * **High Capital Barriers:** Large minimums exclude most participants * **Extractive Terms:** Projects get unfavorable deals with no community benefit * **Opacity:** Black box operations with no visibility into performance * **Centralized Profits:** All gains flow to private institutions * **Limited Access:** Retail investors locked out of profitable market-making operations Our solution pools capital to democratize market making profits while providing projects with transparent, community-aligned services. This isn't just about access, it's about changing how the entire industry operates. ### **Mechanics** **Capital Pooling:** Contributors deposit funds with low minimums and receive exposure to the upside of market making. **Professional Execution:** Reform's team manages trading operations using the same technology that's already processed $10+ billion in volume for existing partners. **Diversified Services:** Pooled capital enables simultaneous market making for multiple projects, reducing risk while maximizing opportunities. **Transparent Distribution:** Returns from real market making activities flow directly back to participants. No hidden fees, no opacity, just transparent profit sharing. ### **Who's it for?** **Individual Investors:** Access professional market making profits without prohibitive capital requirements or institutional connections. **Project Treasuries:** Get competitive market making terms with transparent reporting and community-aligned incentives instead of traditional extraction. **DeFi Builders:** Participate in democratizing financial infrastructure that's been gatekept by institutions for too long. **Community-Aligned Traders:** Share in the profits from transparent, professional market making operations that benefit entire ecosystems. Want to know more? Take a look at our Market Making Vaults here or contact us for more info. (Coming soon). # The Academy
### Your Gateway to Market Making Mastery Most crypto education stops at the basics. You learn about Bitcoin, maybe some DeFi concepts, and that's it. Meanwhile, the infrastructure that actually makes markets function sits behind closed doors. Reform Academy changes that. We're building structured, progressive learning that takes you from crypto fundamentals all the way to professional market making, and why Reform's transparent, community-owned approach is reshaping the entire industry. ### Four-Pillar Learning Architecture #### Pillar 1: Crypto Explained (10 Chapters) The foundation starts here. From Bitcoin and blockchain fundamentals to mining, staking, and market dynamics, this pillar covers what drives cryptocurrency technology and why digital ownership matters. You'll learn about Bitcoin, blockchain technology, the principles of decentralization, how to get started with crypto, and the basics of market dynamics. #### Pillar 2: Behind the Curtain (6 Chapters) Most education stops at these basics. We go deeper. This pillar demystifies the mechanics that power every trade: how market makers provide liquidity, what algorithms drive trading bots, why transparency matters, and the real challenges facing professional operations. Once you understand these mechanics, you'll never look at a price chart the same way. #### Pillar 3: Reform's Role (9 Chapters) See how Reform operates with on-chain decision making, transparent money flows, and cutting-edge trading technology. Topics include DAO governance structure, Reform's mission and impact, organizational dynamics, staking mechanisms, and competitive positioning in the market making space. #### Pillar 4: DMM Partners (Ongoing) Meet the projects we work with. This pillar showcases the Web3 projects we provide professional liquidity services for. Learn about each project's mission, technology, and ecosystem while seeing firsthand how transparent, community-aligned market making creates value for entire communities. These case studies demonstrate Reform's approach in action across different protocols and market conditions. ### Who's It For? Everyone. The Reform Academy is for the newcomer to cryptocurrency. For the active trader who wants to gain that slight edge. For DAO participants to educate themselves on governance. For the Web3 community at large to learn and and grow. Ready to start your journey from crypto basics to market making mastery? Explore Reform Academy and build the knowledge that sets you apart. (Coming Soon) # Paul's Penthouse
Paul's Penthouse is Reform DAO's flagship Twitter Spaces series where the Web3 community comes together to explore what's being built. No hype, no theater, only real conversations with founders, builders, and early contributors helping to shape the future of decentralized infrastructure. ### **What We Cover** Every week, Paul and Dominic delve deep into fascinating projects and trends. The weekly lineup includes: **DePIN Disclosed** (Wednesdays, 3PM CET) The largest DePIN-focused Space in the industry. We sit down with teams building the physical backbone of Web3, from connectivity and compute to mobility, sensing, and beyond. If it's decentralized physical infrastructure, we're talking about it. **The AI Spotlight** (Wednesdays, 3PM CET) When we're not diving into DePIN, we're exploring the intersection of AI and Web3. We highlight the builders pushing the boundaries of what's possible using technology on the bleeding edge. **Breaking Down The Week** (Fridays, 3PM CET) End-of-week analysis covering the biggest news, launches, and alpha from across Web3. We cut through the noise and focus on the actionable and most relevant takeaways for our audience. ### **The Numbers** Over 100 episodes and counting, Paul's Penthouse has become the go-to destination for Web3 builders and enthusiasts: * **3M+ monthly impressions** across all shows * **1,000-4,000 live listeners** per Space * **60K+ followers** on Pauluz' profile where episodes are shared * **100+ episodes** featuring leading Web3 projects ### **Featured Guests** We've hosted some of the most innovative teams in the space: Peaq, Silencio, Wingbits, NATIX, XMachina, and many more. From new funding rounds, testnet launches, and token incentives, to raw ecosystem alpha, these stories are told directly by the people closest to their creation. ### **Join the Conversation** Hosted by [Pauluz](https://x.com/Pauluz) and co-hosted by [VLVT](https://x.com/vlvtcrypto), every episode is recorded and available for those who miss the live sessions. **Follow Paul's Penthouse:** [@PaulsPenthouse](https://x.com/PaulsPenthouse) # LuigiBot
### **Intro** LuigiBot is a Telegram-integrated trading bot that brings professional market making tools to Solana traders. We built it to cut through the complexity that keeps most people out of sophisticated trading strategies. No more watching charts throughout the night or navigating interfaces designed by engineers for engineers. LuigiBot delivers institutional-grade automation with the lowest in the market at 0.3% for the grid. ### **Why LuigiBot?** On-chain trading doesn't have to mean staying glued to your screen. Most trading bots are built for profit extraction, not user empowerment. We took a different approach. LuigiBot automates what typically demands constant attention, letting you capture opportunities while you sleep. This isn't about making trading more complicated, but bringing professional strategies to everyone. **Key Features Include:** 1. **Real-time market monitoring** - Track prices, trends, and liquidity without manual oversight 2. **Automated execution** - Set your strategy and let the bot handle the rest 3. **Simple interface** - No overly-complicated configurations or technical barriers 4. **Advanced strategies** - Grid trading, volume-based orders, sniper execution, and advanced orders ### **Mechanics** LuigiBot operates through Telegram, like having an expert trader in your pocket. Beyond standard market buys, sells, limit orders, and stop losses, LuigiBot offers grid trading which lets you set and forget on your favorite token. LuigiBot will buy low and sell high automatically, turning volatility into consistent profits. This is professional-grade automation paired with ease of use. ### **Who's it for?** **Individual Crypto Traders:** Retail users who want professional-grade tools without institutional complexity or costs. **DeFi Power Users:** Experienced traders who want advanced strategies accessible through simple Telegram commands. **Busy Traders:** Anyone who wants to participate in on-chain markets without constant monitoring. LuigiBot is perfect for those who trade around work schedules. If you're ready to taking trading to the next level, check out the [LuigiBot here](https://t.me/Solana_LuigiBot). # The Constitution of the DAO The full Constitution can also be found via this [link](https://docsend.com/view/98kh8y496zbdjxf3).
1. [Introduction](#introduction) 2. [Reform's Driving Force](#reforms-driving-force) 1. [Activities of Reform](#activities-of-reform) 2. [The mission of Reform](#the-mission-of-reform) 3. [The vision of Reform](#the-vision-of-reform) 4. [The principles of Reform](#the-following-principles-apply-to-reform) 3. [The organizational structure
of Reform](#the-organizational-structure-of-reform) 1. [Hofida Limited](#hofida-limited) 2. [Purpose trust](#purpose-trust) 4. [The RFRM token](#purpose-trust) 1. [The basics](#the-basics) 2. [The purpose and utility](#the-purpose-and-utility) 3. [Staking](#staking) 5. [Governance](#governance) 1. [$eRFRM](#usderfrm) 2. [Transparency](#transparency) 6. [Treasury management](#treasury-management) 1. [Reform’s treasuries](#reforms-treasuries) 2. [Reform’s multi signature wallets](#reforms-multi-signature-wallets) 3. [Hofida Limited’s multi signature wallets](#hofida-limiteds-multi-signature-wallets) 4. [Token flow structure](#token-flow-structure) 7. [Discourse forum](#discourse-forum) 1. [What is Discourse](#what-is-discourse) 2. [Overview of Discourse](#overview-of-discourse) 3. [Advancing to IPR](#advancing-to-an-ipr) 4. [Moderators of Discourse](#moderators-of-discourse) 8. [Proposals and votes](#proposals-and-votes) 1. [Conditions](#conditions) 2. [Duration](#duration-of-governance-posts) 3. [Quorum](#quorum-of-votes-on-an-ipr) 4. [Voting](#voting-on-an-ipr) 9. [Amendments to the constitution](#amendments-to-the-constitution) ## Introduction The constitution, as embraced by the token holders, solidifies the rules and objectives governing the Reform DAO. Within this document, the governance framework, including the IPRs (Improvement Proposal to Reform) and actionable measures, are meticulously outlined. It is crucial to emphasize that decision-making processes through platforms like Discourse and Snapshot hold significant weight, as they shape the trajectory of Reform's governance. The Constitution document aims to: 

 * 
Articulate the core values and principles that underpin the governance of Reform. * Establish a comprehensive, well-structured document that oversees the governance framework without any centralized authority exerting control. * Formalize a transparent, well-defined document that clearly delineates where authority lies within the Reform ecosystem. * Safeguard the rights of token holders, ensuring clarity regarding which rights are reserved for them and guaranteeing their ability to contribute their voice to the entire ecosystem. * Provide a comprehensive understanding of the delegation of powers for community members, contributors, and core contributors, outlining their respective roles within the Reform governance layer. * Enable decisions to be made based on accurate information, expertise, and efficiency.\ Create a transparent document elucidating the governance mechanisms employed by Reform and illustrating the interconnectedness of token holders with the entire ecosystem. * Ensure that Reform maintains its full decentralization, autonomy, and operational efficiency across all its activities. The Constitution is embraced by the Token holders, serving the best interests of Reform DAO, and can solely be modified by the Token holders as explicitly outlined within. ## Reform's Driving Force ### Activities of Reform The activities are as follows: * Providing liquidity to both centralized and decentralized exchanges that use order books. * Offering specialized market making services to projects requiring support and guidance throughout their market making process. * Actively promoting and growing the DAO treasury to ensure its longterm sustainability. * Generating value through liquidity provisioning by earning rebates and realized profits, alongside revenue from designated market making from loan options and retainers. Net revenue is strategically allocated toward $RFRM buybacks, replenishment of the bonding treasury, coverage of operational expenses, and the exploration of new opportunities. * Developing the LuigiBot as the first Telegram bot with built-in grid trading functionality. * Strengthening the overall DAO treasury through strategic grid trading and consistent revenue generation from LuigiBot operations. * Proactively seeking strategic partnerships that support LuigiBot’s growth and align with Reform’s mission of reshaping the market making industry for the better. * Hosting Paul’s Penthouse, a weekly Twitter Space that expands awareness of Reform and its ecosystem, while serving as a platform to highlight market trends, partner projects, and Reform’s role in the evolving market making landscape. * Curating guest speakers and topical discussions within Paul’s Penthouse to drive deal flow, elevate partner visibility, and position Reform as a thought leader, reinforcing the DAO’s market presence alongside tools like LuigiBot, Novus, and the Academy. * Operating Novus, an incentivized quest platform that rewards participants for completing social media and community engagement tasks, thereby expanding awareness for Reform and its market making partners. * Expanding the Reform Academy as an open educational hub to deepen understanding of crypto fundamentals, market making mechanics, and partner project ecosystems, strengthening user alignment and amplifying Reform’s service offerings. Reform possesses the authorization to partake in all the aforementioned activities. In the event of introducing new activities, their inclusion will be determined through a governance voting process. ### The Mission of Reform Reform’s mission is to revolutionize the market making industry by creating community-driven liquid markets across exchanges using protocol-owned liquidity. By replacing the traditional mercenary market making model, it aligns with the incentives of all stakeholders. Protocol, Community, and Market Maker to foster transparency, fairness, and retail liquidity in a more sustainable and equitable ecosystem. ### The Vision of Reform Reform envisions a future where market making is transformed through decentralized, protocol-owned liquidity, making the process transparent and inclusive. Reform DAO aims to set a new standard by creating community-driven markets that ensure fairness, aligns stakeholder interests, and deliver long-term value for all participants, fundamentally democratizing and enhancing the sustainability of liquidity provision. ### The following principles apply to Reform * **Transparency and Fairness**\ Reform is committed to creating an open and fair market making environment where all participants have equal access to liquidity. Transparency in our operations and decisions ensures that stakeholders are well-informed, fostering trust and longterm engagement. * **Community-Driven Liquidity**\ We believe in empowering the community to play an active role in liquidity provision. By utilizing protocol-owned liquidity, we promote decentralized and community-driven markets, creating a more inclusive and resilient ecosystem. * **Stakeholder Alignment**\ Reform aligns the interests of all stakeholders, protocols, market makers, and the community. We ensure that incentives are shared equitably, driving collaborative efforts toward market stability and mutual success. * **Sustainable Market Growth**\ Our approach focuses on long-term growth, not short-term gains. We actively promote the growth of the DAO treasury and reinvest net revenue into operations, development, and new opportunities to ensure the sustainability and innovation of our market making activities. * **Innovation and Guidance**\ Reform offers specialized market making services, providing support and guidance to projects in need. Through expert advisory and customized solutions, we help projects optimize their market presence and liquidity strategies. * **Proactive Partnership Development**\ We seek out strategic partnerships with projects and entities that share our mission to reform the market making industry. By forming alliances that support our vision, we aim to create greater impact and accelerate the adoption of more transparent and inclusive market making models. * **Ethical Profit Generation**\ Our profit-generation model is fully based on ethics and fairness. By focusing on liquidity provisioning, designated market making and aligning with community interests, we generate net revenue that is reinvested into protocol growth and buybacks, ensuring the DAO’s stability and longterm viability. * **Continuous Innovation**\ We embrace research and development as key drivers of growth and adaptation. Through continuous exploration of new liquidity solutions and market making innovations, we stay at the forefront of industry transformation. * **Full Transparency in Treasury Management**\ All decisions related to the DAO’s treasury will be transparently documented, with trade activities clearly displayed on a public dashboard. This ensures the highest level of accountability and openness, fostering trust among all stakeholders. * **Respect for Community Voice and Fair Reward**\ Every community member has the right to voice their opinions, and all viewpoints will be treated with respect. Contributors will be fairly rewarded for their efforts, recognizing the value they bring to the DAO's success. * **Adherence to Constitutional Guidelines**\ All activities undertaken by Reform must strictly align with the requirements outlined in the Constitution, ensuring that every action upholds the values and principles of the organization. * **Collective Well-Being Over Individual Interests**\ The well-being of the DAO as a whole always takes precedence over individual gains. Every decision and action is made with the collective benefit of the community and organization in mind. ## The organizational structure of Reform ### Hofida Limited **HoFiDa Limited (HOF)** plays a crucial role in the operational structure of Reform DAO by collaborating with core contributors and subcontractors to manage the DAO's day-to-day activities. In this capacity, HOF holds and manages assets on behalf of the DAO, ensuring operational efficiency. It also oversees and manages the DAO’s official social activities and communication channels, utilizing designated accounts to generate and distribute content that reflects the DAO's mission and values. While HOF handles these important operational functions, its shares are owned by a trustee under the Reform DAO Purpose Trust, ensuring that the DAO retains ultimate ownership and control over HOF, including the ability to manage permissions for all accounts associated with the entity. ### Purpose Trust itself is a specialized legal entity designed to hold the shares of HOF for the benefit of the DAO. Unlike traditional trusts, which are typically established to benefit individuals or charitable causes, a Purpose Trust exists to fulfill a specific non-charitable goal in this case, the operation and support of the DAO. One key feature of a Purpose Trust is that it requires an enforcer, an individual or entity responsible for ensuring that the trustee carries out their duties in accordance with the trust's guiding instrument. The enforcer monitors the trustee's activities, ensuring that trust assets, such as HOF shares, are managed and used appropriately. If necessary, the enforcer has the authority to take corrective action to ensure that the trust's purpose and the DAO's interests are upheld.
## The RFRM token ### The basics The supply structure of $RFRM is strategically designed to foster a sustainable and evolving ecosystem that promotes the DAO's prosperity. To ensure long-term viability, emissions will be meticulously planned, distributed over an extended duration, and supported by Net Revenue. Notably, $RFRM has a capped supply of 1 billion tokens, further emphasizing the focus on maintaining a controlled and balanced ecosystem. More information about the token structure can be found here. Following IPR 3.2, a total of 472 million tokens were permanently burnt, reducing the total supply to 528 million. As no more than 1 billion tokens can ever be minted, this burn is irreversible, burnt is burnt forever. ### The purpose and utility $RFRM plays a central role within the Reform DAO ecosystem, acting as the foundational token that powers a growing suite of projects built by Reform. It enables community-owned liquidity through targeted fundraising efforts and is used within LuigiBot to unlock lower fees, advanced features, and exclusive perks via staking. In initiatives such as Novus and the Reform Academy, $RFRM functions as a reward token, incentivizing meaningful engagement. As the core asset of the DAO, $RFRM unlocks access, utility, and alignment across the broader ecosystem. $RFRM offers the following utilities within the ecosystem: * **Value Accrual:** Buybacks of the token using Net Revenue. * **Staking:** Stakers can earn rewards in $RFRM, receive additional rewards from protocols for which Reform DAO provides market making services, and gain voting power across the entire ecosystem. * **LuigiBot:** Gain access to discounted fees, boosted referral income, early access to unreleased features, and advanced perks within the LuigiBot ecosystem. ### Staking $RFRM incorporates a staking mechanism that rewards dedicated holders invested in the ecosystem's success. Stakers can choose flexible durations and lock-up periods ranging from one to five years, with longer commitments earning higher returns. This system promotes long-term staking and secures voting power within the DAO. Staking rewards are distributed daily from the Staking Treasury, which, after IPR3.2, holds 25 million tokens. A total of 0.05% of all tokens are allocated to stakers, with the constitution ensuring sustainability through a logarithmically decreasing distribution of rewards each year.
## Governance ### $eRFRM Reform embraces a governance system fully operated through the smart contract. This system finds its support in the governance token of $RFRM, known as $eRFRM, which can only be acquired through staking $RFRM in the single side staking pool. With the aim of enabling collective decision-making, the governance system grants complete control to the token holders. Voting takes place on Discourse and Snapshot platforms. It's important to note that being a (staking) token holder grants the ability to vote, but it does not confer individual authority or ownership over the Reform DAO. The maintenance and development of Reform are carried out by token holders, the smart contract, and dedicated (core) contributors. Core contributors are expected to operate transparently, keeping token holders well-informed about activities and progress. This ensures that token holders can vigilantly oversee the core contributors' actions and respond accordingly if necessary. ### Transparency Transparency remains a top priority for Reform concerning trades executed through Market Making and the accountability of contributors. Contributors who are engaged may receive compensation in $RFRM from the Operations Treasury or in Revenue from the Market Making Algorithms. Reform may allocate budget for hiring new contributors and compensating them based on the tasks performed. ## Treasury management ### Reform’s Treasuries The Reform ecosystem is built upon treasuries, smart contracts, and multi-signature wallets, designed to support, expand, and safeguard both the treasury and the broader ecosystem. Within the Reform DAO token framework, several smart contracts are deployed. These contracts are integral to user interaction and the management of $RFRM tokens. Interaction with these smart contracts is restricted to their respective owners. The following smart contracts are currently deployed under Reform: * [**RFRMBonding**](https://etherscan.io/address/0xe3f046804df6cef94ecc2f1bfce95d6a25db4b83)\ Also known as the Bonding Treasury, this contract is the engine driving the ecosystem. It generates liquidity by selling locked $RFRM at a discount in exchange for $ETH, $USDC, and $USDT. * [**RFRMStaking**](https://etherscan.io/address/0x74Ef3b69E8c475dF8450edDDa5DABd9b6dd17972)\ This contract holds $RFRM tokens acquired through bonding that are locked, which are automatically staked for rewards and governance purposes. Tokens purchased from exchanges can also be manually deposited into this contract by their holders. * [**RFRMVesting**](https://etherscan.io/address/0xc7bfca69a71097c044382da9385df27e39c3a5ba)\ This contract manages tokens that have been claimed but are subject to a one-year lock-up period before rewards can be accessed. * [**ReformDAO - Vesting portal**](https://etherscan.io/address/0x90334b621dc068d54e09c9f5006a67052dfb7d07)\ This contract manages tokens that are currently vesting and has strategies for all vesting durations. Reform cannot change vesting strategies. * [**LuigiBot - Treasury**](https://solscan.io/account/Ad5AHgqYonXM7fN38z5hbzojcUgXxSHqMU9e5XfriCX6)\ This wallet holds the Luigi treasury and runs grid trading strategies executed by core contributors, aiming to grow the DAO treasury by capturing market volatility and price swings. ### Reform’s multi signature wallets To effectively manage all treasuries, investments, operations, and the execution of on-chain transactions, Reform has been granted authorization by the governance to establish multi-signature wallets. A dedicated team consisting out of core contributors, advisors, and investors is formed to enable seamless signing and approval of on-chain transactions, in line with benefiting the Reform ecosystem. Adhering to the esteemed standards, these activities will be conducted in a transparent manner and diligently documented in the monthly updates. The public and blockchain wallets will be fully disclosed and made readily accessible through the dashboard and the monthly updates. The following wallets will be disclosed: * [**ReformDAO - Ownership**](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8)\ For the smart contracts associated with the Bonding Treasury, Staking Contract, Vesting Smart Contract, and RFRM token Smart Contract. * [**ReformDAO - Launch Incentives**](https://etherscan.io/address/0xad70d77925732A99aa82De168088f5D686615be0)\ Tokens available for marketing and exchange purposes. * [**ReformDAO - Bonding**](https://etherscan.io/address/0x3A9754ee0BDA451BC8D1773634DB188407e3e970)\ Wallet designated for transferring $RFRM tokens when removed from the Bonding Treasury. * [**ReformDAO - Staking Spending**](https://etherscan.io/address/0x10Ad87C2d32b102a757F464ac081ed2338e86973)\ Holding the $RFRM staking rewards set for distribution to stakers. * [**ReformDAO - DAO Bonding Router**](https://etherscan.io/address/0x32B225b70Fb7070E63cFDcc3DE91ee7891666BD6)\ All proceeds from Bonding Treasury sales will be directed to this wallet before being gifted to Hofida Limited. * [**ReformDAO - Buybacks**](https://etherscan.io/address/0xcd6e0DfbF19d0B72eF41a44A9fAee353CF6CB214)\ Receives the bought back tokens from the Hofida Limited buybacks wallet and distributes to the Bonding Treasury. At present, all aforementioned wallets are secured by the following core contributors, requiring 3 out of 5 signers: * **ScorpioRFRM**: 0xd87E52D83decB8584059B6508cF314530a12B12b * **AslanRFRM**: 0xA315C139fa3D57042E94bc3148618E1eeD522688 * **Growity Trading Limited**: 0xaB33516556dec907f3d75CFCE3D203012b986f96 * **Marc van der Chijs**: 0x8cCF7dcCa2F0FfDcA46bb788FC0ff55D83121679 * **Hodl Management Limited**: 0x45EB84aa4732DB136AC7f76c7822C4c12B346A27 ### Hofida Limited’s multi signature wallets As Reform DAO operates as a decentralized autonomous organization where token holders are the decision-makers, it has yet to gain full acceptance on a global scale. To address this, Reform and HOF collaborate closely, allowing HOF to serve as a legal entity that can open accounts and hold assets on behalf of the DAO, such as tokens, equity, and intellectual property. The DAO authorizes HOF to manage its official social activities and channels. Consequently, HOF maintains various multi signature wallets to interact with the funds from Reform and to function as the legal entity. The following wallets will be disclosed: * [**Hofida Limited - Bonding router**](https://etherscan.io/address/0x7612f64Bc701305804AE6b770Be57645b28a3e4B)\ Receives proceeds as a gift from the Bonding Treasury via the Reform DAO - DAO Bonding Router to facilitate transitions to exchanges that are KYB compliant as per Hofida Limited. * [**Hofida Limited - NR Router**](https://etherscan.io/address/0x6fDA5D8B5509f656435f56ddcc85f01016C532C7)\ Receives Net Revenue from exchanges, which are then allocated for buybacks and growing the DAO treasury. * [**Hofida Limited - Buybacks**
](https://etherscan.io/address/0xF35a899aD1Cf0d87859F8F67654D189456ffe265)Receives 65% of the Net Revenue in $USDC and uses these funds to purchase $RFRM tokens from exchanges. Upon successful acquisition, the tokens are gifted to the Reform DAO: Buybacks wallet, which then transfers them to the Bonding Treasury. * [**Hofida Limited - Operations**](https://etherscan.io/address/0x4D2C6cf7612093c7BCD7c5aDa4Ba01B0e4826a03)\ Used for paying $USDC for freelancers, marketing materials, supporting new projects and other operational expenses. This wallet is also responsible for claiming operations tokens if required for partnerships or other costs. * [**Hofida Limited - T\&A**](https://etherscan.io/address/0xbeBb54993A4B62dbB72499AF1b9852712cB1aCf8)\ Holds the locked tokens in the vesting contract for team and advisor partnerships. * [**Hofida Limited - MM**](https://etherscan.io/address/0xbeBb54993A4B62dbB72499AF1b9852712cB1aCf8)\ Holds the tokens that can be used for market making (MM) to support additional exchange listings or to expand existing liquidity. * [**Hofida Limited - LOA**](https://etherscan.io/address/0xde008B724e65f8c03Cae6Bcab27D91110Bf9926e)\ Stores the tokens received by Reform DAO for market making purposes. These tokens are obtained under loan option contracts. * [**Hofida Limited - Investments**](https://etherscan.io/address/0x283bE61aF4A72C3e869bE3EaCFeBf7FB36a4626f)\ Used for investments, receiving $USDC for negotiated purchases and later receiving the corresponding tokens, either directly or via vesting claims. * [**Hofida Limited - Retainer**](https://etherscan.io/address/0x3cc4c4C3870a9d6baF4Ddeace4239Da8d0793342)\ Receives revenue from retainer agreements under which Reform DAO provides market making services. Currently, the Hofida Limited wallets are managed by the directors of HOF, the HOF finance and legal team, requiring approval from 3 out of the 5 designated signers: * **Jess:** 0xc04CF0841ad566ae005AAf02E1716153fB851DCF * **Faouzi:** 0x72E7cdBCa9135eA3dCf3C802213E5d4D290a3E5a * **James:** 0x8f52e5c8762582ABB88B56F1DfE5BF6fF922C104 * **Hofida Limited Finance department:** 0xf5dDaBE0f233252349d758082C706b898FD8e28f * **Hofida Limited Legal Department:** 0x4dC61819D444F8d6b8dE73C2DaBe61fBAd7fcc11
### Token flow structure As multiple wallets are involved in the process, maintaining a clear understanding of the token flow can present challenges. To give clarity, the issuance of tokens can be be divided into two distinct sections: Token Transfers and Endless Transfers. In the case of Token Transfers, the flow began when the tokens were minted by Reform. These tokens were then received by the [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8), from which they were distributed to wallets under the custody of either Reform DAO or Hofida Limited (As a legal entity, it can open accounts on behalf of the DAO and hold assets on behalf of the DAO such as tokens, equity, and IP). The following movements of the tokens followed this outlined path. #### Reform Custody * Bonding Treasury:
Tokens: 159,648,364 (15.9% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - Bonding](https://etherscan.io/address/0x3A9754ee0BDA451BC8D1773634DB188407e3e970) → [ReformDAO - Bonding Treasury](https://etherscan.io/address/0xe3f046804df6cef94ecc2f1bfce95d6a25db4b83#tokentxns) * Staking Treasury:
Tokens: 63,383,010 (6.3% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - Staking](https://etherscan.io/address/0x74E71b6BFD92911C4E66C28B43dDc137BaD78Ed7) → [ReformDAO - Staking Spending](https://etherscan.io/address/0x10ad87c2d32b102a757f464ac081ed2338e86973) * Early Backers:
Tokens: 30,000,000 (3% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - Early Backers](https://etherscan.io/address/0xFf361c0b63bA3De7e9774067D32549A7D9a4cd66) → [ReformDAO - Vesting Portal](https://etherscan.io/address/0x90334b621dc068d54e09c9f5006a67052dfb7d07) * Launch Incentives: 
Tokens: 20,000,000 (2% of total supply) 
Flow: From [ReformDAO - Ownership ](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8)→ [ReformDAO - Launch Incentives](https://etherscan.io/address/0xad70d77925732A99aa82De168088f5D686615be0) →[ ReformDAO - Vesting Portal](https://etherscan.io/address/0x90334b621dc068d54e09c9f5006a67052dfb7d07)/ Marketing Partners * Burnt Tokens:
Tokens: 472,033,990 (47.2%)
Flow: [ReformDAO - Bonding](https://etherscan.io/address/0x3A9754ee0BDA451BC8D1773634DB188407e3e970) + [ReformDAO - Staking Spending](https://etherscan.io/address/0x10ad87c2d32b102a757f464ac081ed2338e86973) → [Dead wallet](https://etherscan.io/address/0x000000000000000000000000000000000000dEaD) #### Hofida Limited Custody * Team & Advisors:
Tokens: 130,000,000 (13% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - T\&A](https://etherscan.io/address/0x5813806F2f67210366aa84E055A0107a47b380EF) → [Hofida Limited - T\&A](https://etherscan.io/address/0xbeBb54993A4B62dbB72499AF1b9852712cB1aCf8) → [ReformDAO - 
Vesting Portal](https://etherscan.io/address/0x90334b621dc068d54e09c9f5006a67052dfb7d07) (Owned and claimable by Hofida Limited) * Operations:
Tokens: 100,000,000 (10% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - Operations](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [Hofida Limited - Operations](https://etherscan.io/address/0x4d2c6cf7612093c7bcd7c5ada4ba01b0e4826a03) → [Reform
DAO - Vesting Portal](https://etherscan.io/address/0x90334b621dc068d54e09c9f5006a67052dfb7d07) (Owned and claimable by Hofida Limited) * Market Making: 
Tokens: 28,000,000 (2.8% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - MM + LP](https://etherscan.io/address/0x2Df53b4E303AAd8Be73C52A1bFC98d2c28A6126e) → [Hofida Limited - MM](https://etherscan.io/address/0xd34b3a77523917afad43b84297f42e7bbba74b2f) + [MM partner](https://etherscan.io/address/0xed300e037e5b61f7b62987a89f86cf2b1297fad0) * Liquidity Pool:
Tokens: 2,000,000 (0.2% of total supply)
Flow: From [ReformDAO - Ownership](https://etherscan.io/address/0x6af5F211d388ae13F55Ef5780C4176bA17F99cd8) → [ReformDAO - MM + LP](https://etherscan.io/address/0x2Df53b4E303AAd8Be73C52A1bFC98d2c28A6126e) → [Hofida Limited - LP](https://etherscan.io/address/0x7bdbb492b49a28ea86b29ad44c1557f19f7f5324) #### Bonding Sales In the event of bonding sales, tokens are sold by Reform DAO. The funds collected during these sales are directed to the [Reform DAO - Bonding Router](https://etherscan.io/address/0x32B225b70Fb7070E63cFDcc3DE91ee7891666BD6). From there, they are transferred as a gift to Hofida Limited, which receives the funds in its H[ofida Limited - Bonding router](https://etherscan.io/address/0x7612f64Bc701305804AE6b770Be57645b28a3e4B) multi signature wallet. After, these funds are sent to exchanges to provide liquidity. #### Liquidity provision Reform provides liquidity to various exchanges using its DAO treasury. In return, Reform earns rewards based on the trading volume generated through rebates. Additionally, special algorithms generate realized profits with each buy and sell cycle. These realized profits flow back into the DAO treasury to prevent it from depleting and maintain its value. The rebates are considered revenue and may be allocated toward $RFRM buybacks, provided that quarterly revenues exceed operational costs. #### Project market making Reform offers market making services for projects, acting as the designated market maker. There are two types of contracts available: the retainer model and the loan option agreement. In the retainer model, Reform receives a monthly fee for the services provided. This fee is split as follows: up to a maximum of 25% is paid to the referral partner (if applicable). Growity is entitled to 50% of the retainers secured for utilizing the white-label solution; however, Growity is only paid if the DAO achieves net positive revenue in the quarter. Once this threshold is met, the corresponding share is allocated to Growity. The remaining amount is recognized as revenue and may be allocated toward $RFRM buybacks, provided that quarterly revenues exceed operational costs. In the loan option model, profits are generated by providing market making services and achieving strike prices outlined in the contract. These profits can be in stablecoins or project tokens. Token profits are automatically directed to the DAO treasury, helping to increase the DAO treasury and provide more liquidity on exchanges. Stablecoin profits are used to repay the referral partner (if applicable). The remaining stablecoins are then considered revenue. #### LuigiBot LuigiBot contributes to the Reform DAO ecosystem in two key ways. First, the Luigi/DAO treasury is actively managed by core contributors using grid trading strategies. This treasury is intended to grow DAO-owned assets and provide exposure to on-chain meme coins. These activities are not considered Net Revenue but serve to strengthen the DAO’s overall treasury. To manage risk, portions of the treasury may be moved to centralized exchanges as it scales. Second, user fees collected from LuigiBot operations are classified as Net Revenue. These fees are paid by users for accessing and using the bot’s features. Referral fees are automatically deducted by the bot, so the full remaining amount is recorded as Net Revenue. These funds may be allocated toward covering DAO operational costs or directed to $RFRM buybacks, in accordance with quarterly revenue guidelines. #### Paul's Penthouse Paul’s Penthouse and the PauluzRFRM Twitter account play a key role in bringing new eyes to Reform DAO. They help everyday crypto traders and token holders discover what Reform is building and why market making actually matters. Through threads, memes, and regular Twitter Spaces, Paul makes liquidity approachable and shows how Reform contributes to healthy, active markets.

It’s also a powerful platform for projects. Joining a Space gives teams the chance to speak directly to a curious, engaged community, sharing what they’re building and why it matters. These conversations often highlight Reform DAO as a solution for projects navigating liquidity or market making challenges.

By consistently hosting these Spaces and driving attention to new ideas, Paul’s Penthouse creates clear value for both projects and the Reform ecosystem. When projects benefit from this visibility and support, it strengthens Reform’s reputation, and may generate value that flows back to the DAO, documented in quarterly reporting. #### Net Revenue Revenue includes all income generated by Reform DAO, this covers rebates, earnings from designated market making, marketing services, and fees from LuigiBot. Together, these make up the DAO’s gross revenue, representing its total income across all streams. For $RFRM buybacks, Reform uses net revenue, which is calculated as gross revenue minus all operational and associated costs incurred by the DAO. At the end of each quarter, Reform DAO publishes a transparent report outlining both revenue and expenses. Based on this report, net revenue is determined. 65% of that amount is used for $RFRM buybacks in the following quarter, while the remaining 35% is allocated to grow the DAO treasury. When net revenue is generated, funds are transferred from exchanges by Hofida Limited and routed to the [Hofida Limited – NR Router](https://etherscan.io/address/0x6fDA5D8B5509f656435f56ddcc85f01016C532C7). From there: * 65% is sent to [Hofida Limited – Buybacks](https://etherscan.io/address/0xF35a899aD1Cf0d87859F8F67654D189456ffe265), and then to exchanges to carry out $RFRM buybacks. Once 
completed, the $RFRM tokens return to [Hofida Limited – Buybacks](https://etherscan.io/address/0xF35a899aD1Cf0d87859F8F67654D189456ffe265), and are gifted back to [Reform DAO – 
Buybacks](https://etherscan.io/address/0xcd6e0dfbf19d0b72ef41a44a9faee353cf6cb214). These tokens are then allocated to the [Reform DAO – Bonding Treasury](https://etherscan.io/address/0xe3f046804df6cef94ecc2f1bfce95d6a25db4b83) and locked for a 
minimum of one year.
 * 35% is sent directly from the NR Router to exchanges to grow the DAO treasury. This process ensures both ongoing support for token value and long-term sustainability of the DAO treasury. #### Visualisation The financial ecosystem within Reform DAO and Hofida operates through a structured and interconnected system designed to optimize liquidity and revenue generation. The process begins when bonding sales occur, directing funds to the Reform Bonding Treasury. From there, these funds are channeled into the Reform Bonding Router, which transfers them as a gift to the Hofida Bonding Router. Subsequently, the funds are directed to the Hofida DAO treasury, where algorithms execute high-frequency trades for projects and liquidity provision to generate Net Revenue for the ecosystem. Or generated from user fees collected through LuigiBot Once Net Revenue is generated, it flows into the Net Revenue Router. The portion allocated for buybacks is first directed to HOF Buybacks, then returned to the Hofida KYB Exchanges for the repurchase of $RFRM. The remaining percentage is sent directly to the exchanges to help grow the DAO treasury. After the buybacks are completed, the purchased $RFRM are transferred to the Reform Buybacks Wallet. These tokens are then locked in the Reform Bonding Treasury, where they remain until they are sold under bonding agreements with lock durations of 1 to 5 years. This structured process ensures a continuous and sustainable cycle of liquidity provision, revenue generation, and token utility within the ecosystem.
## Discourse forum ### What is Discourse Discourse serves as an inclusive forum where all community members can actively engage and contribute to the progress and growth of Reform. It is the designated platform for introducing new proposals and fostering discussions about the DAO's future. Within this dynamic space, coordination and governance-related dialogues will shape the trajectory of the DAO. Subsequently, after thorough Discourse deliberations, these discussions can transition into concrete action through IPRs on Snapshot. It is important to note that the global rules governing Reform extend to the Discourse forum, and communication on the platform should be conducted in English. In the event of any unforeseen circumstances rendering the Discourse website temporarily inaccessible, the official Reform Discord will serve as an alternative forum for governance-related discussions. ### Overview of Discourse The [Discourse Forum](https://gov.reformdao.com/) exists out of the following categories: * [**Governance**](https://gov.reformdao.com/c/governance/6)\ This category serves as the designated space for posting all proposals and conducting discussions related to governance. Feel free to share your insights and engage in constructive conversations here. * [**Discussions**](https://gov.reformdao.com/c/discussions/7)\ The Discussions category is open to everyone who wishes to contribute their thoughts and ideas concerning the ecosystem. It's a platform for exchanging perspectives and fostering dialogue. * [**Others**](https://gov.reformdao.com/c/others/10)\ This section is specifically designated for discussing various crypto-related topics that may not fit into the other sections. Feel free to explore and engage in conversations on a diverse range of subjects. * [**Quarterly reports**](https://gov.reformdao.com/c/quarterly-reports/12)\ In this forum category, Reform will consistently provide quarterly updates to keep you informed about the latest developments. Stay tuned for quarterly reports and stay up to date with the progress.
### Advancing to an IPR After discussion in the governance category, the proposal may advance to the Snapshot and become an IPR. This will be done accordingly to amount of votes on the poll added in the discussion thread. The poll will always have two reactions, the first one being “for” and “against”. If there is enough engagement and the majority voting on “for” in the poll, the discussion will advance to Snapshot. The outcome of the poll is not definite and will not have any influence on the IPR vote on snapshot. ### Moderators of Discourse The Discourse will be moderated by the mods and contributors of Reform to make sure that all rules are followed. Reform can at any moment hire new moderators for this task. And that the rules for posting governance discussions are followed. To make sure that the Discourse stays clean, new posts and replies can be reviewed and monitored by moderators to make sure all rules are met. If a proposal is made in line with the guidelines of Discourse, a moderator will approve the proposal to go live on the forum. If not the moderator will add comments for the poster to edit, if these requirements are met, the proposal will be approved and published. ## Proposals and Votes ### Conditions In order for the proposal posted on Discourse to approve to an IPR, it must have the following layout. * **TLDR**\ A brief summary to ensure everyone understands the essence of the proposal. * **Authors**\ The individuals responsible for crafting the proposal and the contributors involved. * **The why of the proposal**\ The reasons behind initiating the proposal and the intended outcomes it seeks to accomplish. * **The longer explanation of the proposal**\ A comprehensive and detailed overview of the proposal, including an explanation of its merits, drawbacks, and the rationale for considering it beneficial. * **In what way will it improve Reform**\ The specific ways in which implementing this proposal will enhance the DAO and contribute to its overall improvement. * **The motivation of the proposal**\ The driving factors behind advocating for this proposal for the DAO and the reasons why it should be implemented. * **Budget**\ An estimation of the financial and labor resources required to implement the proposal, including the associated costs in terms of monetary investment and work hours. * **Poll**\ Including a poll where individuals can vote either in favor or against the proposal, serving as a determining factor for its progression to a IPR. In order to maintain the integrity of the voting and discussion process, it is important to note that if a new proposal directly conflicts with or significantly impacts an active proposal, it may not be published until the previous proposal has been concluded. This ensures a fair and focused approach to the decision-making process within Reform. ### Duration of Governance posts In accordance with the proposed governance framework, proposals put forth by core contributors will undergo a fixed 7-day review period on the Discourse forum, followed by a 7-day voting phase on Snapshot. Proposals initiated by token holders on Discourse will be subject to a 14-day review period, during which core contributors will engage in discussions and evaluations. Subsequently, these proposals will proceed to a 14-day review phase on Snapshot. It is important to note that all timelines commence upon publication on the forum. In order to ensure a fair and effective review process on Discourse, it is imperative that the poll reflects a majority of votes in favor, surpassing the 50% threshold for the "for" option by the designated timeline. This outcome paves the way for the advancement of the Discourse forum towards a IPR. Conversely, if the "for" votes fall short of the 50% mark, the discussion will not progress towards an IPR. Manipulation of the poll will not be tolerated, leading to the restart of the forum and poll, and appropriate actions will be taken to address any violations of the guidelines. ### Quorum of votes on an IPR In the realm of the Reform voting process, there exist two distinct sections, each with its own designated quorum requirements. **Section A:** A quorum of 80% or more “for” votes is needed to pass * **Changes related to the governance framework within the Constitution of the DAO;**\ This includes changes to voting power, quorum thresholds, proposal rights, or DAO-wide decision-making mechanisms.
\ \&#xNAN;*Example: Updating the quorum required for passing proposals from 50% to 60%, or changing who is eligible to create proposals.* * **Changes related to the Bonding Treasury;**\ Including the removal of tokens, adjustments to bonding parameters (such as discount rates), or modifications to how proceeds from bonding are handled.
\ \&#xNAN;*Example: Removing a token from the bonding program, or changing the discount rate from 10% to 5%.* * **Changes related to the DAO Treasury;**\ Including how the DAO Treasury is managed, how costs are allocated or routed, and any changes to the Treasury’s strategy (e.g. shifting to delta-neutral positioning or approving large costs).
\ \&#xNAN;*Example: Redirecting specific operational costs to be paid from the Operations Treasury instead of the DAO Treasury, or changing the DAO Treasury strategy to focus on stable-yield farming.* * **Changes related to the Liquidity Provision & Market Making;**
\ Including structural or strategic shifts in how the DAO approaches liquidity or market making, such as reducing its overall involvement, changing the revenue model, or redefining the DAO’s role. Individual project engagements do not require a vote unless they introduce a new strategy or materially change risk exposure.
\ \&#xNAN;*Example: Moving from an active market making model to a fully passive LP model, or changing how rebate profits from liquidity provision are recognized as DAO revenue.* * **Changes related to where the Revenue flows to;**\ Including decisions on which revenue destinations are active (e.g. buybacks, DAO Treasury, Operations, Staking) and how much revenue is allocated to each.
\ \&#xNAN;*Example: Redirecting 100% of revenue to buybacks instead of splitting it between the DAO Treasury and staking, or introducing a new revenue destination like an Ecosystem Fund.* * Changes related to the signers of the multi-signature wallets;
Including changes to the signer addresses, the total number of signers, or the threshold required to execute transactions from official Reform DAO wallets.
\ \&#xNAN;*Example: Changing the signing structure from 3/5 to 2/5, or replacing an inactive signer with a new contributor wallet.* * Changes related to the curator, in performing Market Making on behalf of the DAO;\ Including appointing or removing third-party market makers, defining their responsibilities, setting limits on the funds they can access, or changing the terms under which they operate.
\ \&#xNAN;*Example: Allowing an external partner to manage liquidity for the $RFRM token, or updating their parameters such as slippage limits, timeframes, or profit-sharing.* **Section B:** A quorum of 50% or more “for” votes are needed to pass * **Changes related to the informational or structural content within the Constitution that do not alter DAO governance;**\ These changes typically follow a prior vote to approve a new service, stream, or structure, and simply reflect that decision in the Constitution.
\ \&#xNAN;*Example: Adding Paul’s Penthouse to the list of DAO-aligned revenue streams after its onboarding was approved through a separate proposal.* * **Changes related to the distribution of Revenue;**\ Including adjustments to the percentage split between existing, previously approved revenue destinations, such as buybacks, DAO Treasury, staking rewards, or ecosystem development. This item does not cover adding or removing destinations, only how revenue is divided among them.
*Example: Changing the revenue split from 35% to the DAO Treasury and 65% to buybacks, to a new structure of 50/50 or 100% buybacks.* * **Changes related to the Operations Treasury;**\ Including how the Operations Treasury is funded, how payments are processed, or how costs are approved and paid out from this wallet.
\ \&#xNAN;*Example: Changing the funding flow to automatically top up the Operations Treasury monthly.* * **Changes related to the Staking Treasury;**\ Including adjustments to staking reward rates, the distribution schedule, or the addition of new tokens to staking incentives.
\ \&#xNAN;*Example: Increasing the daily staking reward from 0.05% to 0.10%, or allocating an additional 100,000 $RFRM tokens to the staking pool.* * **Changes related to what will be done with the bought back $RFRM;**\ Including what happens with $RFRM tokens acquired through buybacks or reserved revenue, whether they are burned, held, reallocated to bonding, or used for other strategic purposes.
*Example: Deciding to burn all bought-back tokens instead of moving them to the Bonding Treasury, or reallocating them to a new strategic vault.* * **Adding or removing liquidity for $RFRM;**\ Including any decision to add to or withdraw liquidity from the $RFRM liquidity pool using the official HOF LP wallet.\ \&#xNAN;*Example: Removing part of the liquidity position on a DEX due to low volume, or adding additional liquidity after a token expansion.* * **Changes related to any Reform DAO decisions not explicitly mentioned above;**
\ Including structural or strategic changes such as bringing existing tokens or projects under the Reform DAO umbrella, launching DAO-aligned products, or other governance matters not covered in existing categories.\ \&#xNAN;*Example: Integrating an external project’s token into the Reform DAO ecosystem, or onboarding a legacy protocol as a supported Reform product.* Should a voting on an IPR fail to meet the required quorum as stipulated in the constitution, it shall be deemed as unsuccessful. However, there remains the possibility for the community to engage in further discussions and enhancements, leading to a potential reevaluation and subsequent voting on the proposal. ### Voting on an IPR Voting is conducted through the [Reform Snapshot website](https://vote.reformdao.com/#/) or, in the event of network modifications, alternative on-chain voting solutions may be chosen by Reform. If such a decision is made, it needs to be communicated to the entire community. Whenever a new voting event is initiated on [Discourse](https://gov.reformdao.com/) and [Snapshot](https://vote.reformdao.com/#/), an announcement should be posted to ensure transparency. Similarly, once the voting process concludes and the outcome is either approved or denied, this information should be shared across all social channels. If the Snapshot voting results in approval or denial, the discussion thread will be updated accordingly. So that every holder is up to date on the voting process. Voting rights are granted to those who have staked their $RFRM tokens in the staking pools and held them until the last recorded Ethereum block number at the time of the voting creation on Snapshot. By utilizing their $eRFRM tokens, these token holders can actively participate in voting on the Snapshot proposal. It is important to note that each $eRFRM token carries an equal weight of one vote for every individual. It's essential to understand that the tokens held in the ownership of Reform cannot be utilized for voting purposes. These tokens are allocated to the Bonding Treasury, Operations Treasury, as well as the DAO Treasury or Market Making Layer. The same principle applies to the locked $RFRM tokens held by the team, advisors, and operations. To maintain transparency, the wallets associated with these entities are made public and accessible through the dashboard. An overview of these wallets can be found in [Token flow structure](#token-flow-structure). ## Amendments to the constitution When it comes to amending or updating the constitution, it is imperative that the proposed changes are presented with utmost clarity and according to the Principles of Reforms found on page 5. These changes should undergo an official voting process, as outlined in Section A, which requires a higher quorum. Additionally, it is essential that all modifications are diligently recorded on the blockchain to ensure transparency and accountability. # Using AI in Market Making How does Reform leverage AI?
In the evolving world of cryptocurrency and market making, artificial intelligence (AI) has appeared as an emerging trend, offering opportunities for innovation and efficiency. At the forefront of this revolution is Reform DAO, a market making DAO that harnesses the capabilities of AI to redefine the industry. This report dives into the mechanisms through which Reform utilizes AI technologies to offer predictive insights and advantages in crypto trading. By implementing an in-depth exploration of classification, regression, and various machine learning models, we will elaborate on these techniques that enable Reform to forecast market trends with precision. In addition, we will also examine our methods to use AI to train algorithms to navigate the complexities of the crypto market. Through this report, we aim to provide a comprehensive understanding of Reform’s AI utilization, setting the standard for AI integration in the industry and beyond. 1. [**What is possible with artificial intelligence?**](#what-is-possible-with-artificial-intelligence) 1. [Data or features to be used](#what-is-possible-with-artificial-intelligence) 2. [Classification](#classification) 3. [Regression](#regression) 4. [Correlations](#correlations) 2. [**How Reform leverages AI** ](#how-reform-leverages-ai) 1. [Anomalies](#anomalies) 2. [Precursors](#precursors) 3. [Predictions](#predictions) 4. [F-Score](#f-score) 5. [Fair price predictions](#fair-price-predictions) 6. [Our business model with AI ](#our-business-model-with-ai) 7. [Results and Visualizations ](#results-and-visualizations) 3. [**Visual representation of data generated by AI used by Algorithms**](#visual-representation-of-data-generated-by-ai-used-by-algorithms) 4. [**Technical papers used for explanation of AI**](#technical-papers-used-for-explanation-of-used-ai) ## What is possible with artificial intelligence? Reform DAO uses Data Science software utilizing Artificial Intelligence / Machine Learning / Neural Network to predict variability across key metrics. It provides automatic classification and regression predictions in the crypto market at different time scales (seconds, minutes, hours, days). More specifically, it uses its in-house developed innovative AI voting algorithm to automatically label the predicted prices in client-defined classes (Fibonacci, grid, or custom methods) to indicate the level of increase/ decrease of cryptocurrencies. In addition, Reform utilizes the extracted predictions to suggest cryptocurrency conversion to maximize return. With past data obtained from different sources, the algorithms are dynamically trained and their performance is evaluated. Then they are applied to real-time data to predict the level of change per price of a crypto token. Crypto prices can be predicted (in normal or anomalous behavior) using a suite of ML models, namely linear, and non-linear with moving, sliding, or fixed windows. The selection of the appropriate model setup is case-dependent. Possible results are shown in fully tailored dashboarding with easy-to-read charts, live graphs, and simulations.

Data or features to be used

#### Classification Supervised classification stands out as a powerful tool for predictive analytics, particularly when forecasting the prices of selected coins over a specified timeframe. At the core of this approach is the training phase, where a collection of diverse machine learning models is fed past data, allowing them to discern patterns and associations that are crucial for making accurate predictions. This process involves assigning the relevant price range labels to the given times of the chosen cryptocurrencies, effectively setting a foundation for the model to understand the dynamics at play. Once the initial training phase is completed, the models’ robustness is put to the test through a rigorous evaluation process, which involves both previously encountered data and new, unseen datasets. This crucial step ensures that the models are not only adequate and successful at recalling past scenarios but are also adaptive to new situations, thereby enhancing their predictive capabilities. This empowers Reform to make informed decisions, leveraging the insights gathered from the models’ analysis to navigate the complexities of cryptocurrency management with greater confidence and strategic acumen. #### Regression The regression analysis is used to understand the relationship between different independent variables like the price of selected cryptocurrencies and a dependent variable or outcome. Supervised regression models are a cornerstone technique for the prediction of continuous values, understanding trends, and making forecasts. Unlike classification, where the focus is on predicting discrete price range labels, regression aims to predict actual cryptocurrency price fluctuations. The training phase of a regression model involves feeding the system with a comprehensive dataset from the past. This process allows the model to intricately learn the underlying relationships between input variables and the continuous target variable, thereby equipping the model with the ability to make accurate predictions based on new inputs. Following the training phase, the efficacy of the regression model is thoroughly assessed through a validation process, which tests the model's performance against both known past data and new, unseen data to ensure its predictive reliability and robustness. This step is crucial for confirming that the model can generalize well and is not overfitted to the training dataset. Upon successful validation, the regression model is then capable of predicting upcoming values, such as the future performance of a coin or trend over a given time frame. This predictive capability is instrumental for Reform algorithms, enabling them to make informed decisions on exchanges between different cryptocurrencies.

Regression on LTF

#### Correlations The correlation matrix is another feature to inspect the dataset. It provides the correlation coefficient between variables (in the whole range or part of the dataset) that is then presented in the form of a heatmap matrix. Agglomerative clustering is used to obtain groups of variables with similar high correlation values. The added value is twofold: Firstly, the analyst can screen easily the different behaviours of the cryptocurrencies by inspecting one per cluster and secondly, by changing the time period, they can comprehend the impact of the launch of a new cryptocurrency in the correlation of the existing ones. Dual heatmaps are provided (are coins correlated or anti-correlated?), one with clustered cryptocurrencies and one with fixed order to support different requests.

Clustered VS fixed order correlation of cryptocurrencies

## How Reform leverages AI Unlike traditional predictive models that merely capture correlations, causality-focused ML models strive to reveal the underlying mechanisms that drive relationships between variables, offering a deeper and more actionable level of insight. By employing advanced algorithms to detect and account for confounders—variables that can misleadingly suggest or obscure true causal relationships—these models can isolate genuine causal effects, thereby providing a more robust foundation for decision-making. This approach is not just about predicting outcomes but about understanding the 'why' and 'how' of phenomena, enabling the operators of algorithms to implement strategies that are informed by a nuanced comprehension of causality, leading to more effective interventions and policies that target the root causes rather than just the surface correlations. A Confounder is an extraneous variable whose presence affects the variables being studied so that the results do not reflect the actual relationship between the variables under study. Reform uses an innovative ML approach to search for confounders.

Regression on HTF

#### Anomalies Reform uses a suite of different approaches for fault/anomaly detection that can be used appropriately in a complementary (hybrid) manner to build case-specific rules. The first approach (faults) offers results based on the entire set of variables and records and automatically calculates thresholds that classify whether a record is a fault or not without user intervention. In addition, single variable anomalies are detected based on (linear, non-linear, and ensemble model) predictions of what the upcoming value should be. If the measurement differs unexpectedly from the prediction, then this measurement is flagged as an "anomaly". The identification of anomalies is acknowledged as an important structural element of the subsequent analysis, thus Reform has developed a novel meta-regressor, namely Regressor Voting, where the decision of whether a price prediction or fair price point is an anomaly or not is the outcome of a weighted voting procedure from different rival regressor models. This approach increases the confidence in the results predicted. Anomaly for a token: when the difference between actual and predicted is more than 3\*SD for the majority of ML models.

Worst performing ML model

Best performing ML model

#### Precursors Reform uses a novel precursor event forecasting model based on data mining. This uses data from a period before identified events as training and predicts the system's behavior in the future. This is presented using a unitless signal that increases substantially before an upcoming event of the selected cryptocurrency. This can work in a fully unsupervised manner (no validated failure data are provided). In case previous events are given, machine learning algorithms are used to predict future events using classification ML approaches. #### Predictions Reform uses a novel price prediction forecasting model based on data mining for their algorithms. This uses data from a period before identification (actual coin and trading/candle data) as training and predicts the price behavior in the future.

Machine learning predictions

#### F-Score The F-score or F-measure is a measure of predictive performance. It is calculated from the precision and recall of the test, where the precision and the recall are factors based on correct predictions vs properly identified true instances. Precision is also known as positive predictive value, and recall is also known as sensitivity in diagnostic binary classification. The F1 score is the harmonic mean of the precision and recall. It thus symmetrically represents both precision and recall in one metric. The more generic F β F\_{\beta } score applies additional weights, valuing one of precision or recall more than the other. The highest possible value of an F-score is 1.0, indicating perfect precision and recall, and the lowest possible value is 0, if either precision or recall is zero. The F-score is used to check the accuracy of the predictions by AI.

F-Scores and accuracy

#### Fair price predictions Information that can be used to predict the fair price (predicted mid-price), could be obtained from the order book and trades of the coin/token. Predicting mid-price, spread, and volatility from the limit order book bids and ask orders using machine learning involves several steps. First, the limit order book data needs to be pre-processed, which typically includes cleaning, normalizing, and feature engineering. Features could include quantities that will be acquired from the order book stream dataset. Next, machine learning models can be trained on historical data to predict the mid-price (the average of the best bid and ask), spread (the difference between the best bid and ask), and volatility (the standard deviation of mid-price movements over a given period). It's crucial to split the data into training and testing sets and use appropriate evaluation metrics to assess model performance. The importance of the unseen data will be carefully studied to perform unbiased predictions. Additionally, techniques like cross-validation can help optimize model accuracy. Finally, the trained model can be deployed to make real-time predictions on new limit order book data, with periodic retraining to adapt to changing market conditions. In addition to the above, determining precursors of spread involves identifying factors or features in the limit order book data that precede changes in spread. Again, machine learning models can be trained to analyse historical data and identify patterns or relationships between these precursors and spread movements. Feature importance techniques can help ascertain which features are most influential in predicting spread changes. Additionally, time-series analysis techniques can capture temporal dependencies and dynamics in the data. By leveraging these precursors, machine learning models can provide insights into the drivers of spread dynamics and improve predictive accuracy. #### Our business model with AI Our business model as a market maker is to profit from bid-ask spread. Reform provides prices and sizes at which other participants can buy and sell. By doing so, Reform will trade and profit if it completes both a buy and a selling trade. The profit will be from the spread between the bid and ask price that the algorithm provided. On the other hand, Reform will be given a position, and holding such a position bears the risk. After only completing the buy or sell side of a trade, the position could move against the market maker resulting in a loss. For that reason, the new algorithms aim to buy below a fair price and sell above that fair price, whatever that fair price may be. In this a good fair price calculation/prediction is essential. The ability to predict the next mid-price (or an alternative measure for the price) allows the algorithm to modify its prices in time and be more likely to end up with a position that does not move against us. #### Results and Visualizations All of these AI-generated datasets offer the algorithm the insights to be more effective. The machine learning results are developed in a tailored format and transforms all conducted analytics are sent to the algorithms to be executed. ## Visual representation of data generated by AI used by Algorithms

Overview of datasets

Classification

Regression

Correlations

# $RFRM Overview ### **Why Market Making Matters to You** You might not think about it often, but every time you buy or sell a token, you're being affected by decisions you don’t see. The reason your trade goes through quickly, close to the current market price? That’s because of market makers. They’re the ones keeping things moving, placing constant maker orders, so there’s always someone on the other side. They earn from the gap between their buying and selling prices, called the spread. It sounds simple, but it’s not. Most of them run complex algorithms called grids, that let them profit whether the market goes up or down. That’s how they stay in the game without having to guess where things are heading.
Most market makers use tools the average trader can’t access. Fast, automated algorithms that give them an edge, and lock everyone else out. That’s why many have wanted a way in. Until $RFRM, there wasn’t one. But with these high-end tools comes an issue. A lot of current market makers abuse their position. They strike unfair deals, manipulate prices, and hide behind closed systems. It’s all about profit, not transparency. After looking deeply into this, we knew it was time to reform the market making scene. The decision over what influences the public should be in the hands of the public. Reform changes that. We’re building the first community-led market making DAO, powered by AI, aligned with its holders, and here to flip the system in favor of those affected by it. ### **How $RFRM Lets You Participate in Market Making** Most people never benefit from the tools or roles that shape financial markets. $RFRM changes that. It’s your way into a space that’s typically closed off, giving you a stake in how liquidity is provided, how markets are stabilized, and how value flows through Reform. **Revenue and buybacks** Reform as a market maker drives revenue throuhg various sources. Liquidity Provision on central exchanges and designated market making for projects are the main pillars of the revenue streams. However, all of Reform’s additional products contribute to the revenue as well. When Reform earns revenue through market making, part of that income is used to buy back $RFRM from the open market. These buybacks reduce supply and apply consistent demand pressure, linking token value directly to Reform’s trading performance. As a holder, you’re connected to how the system performs at its core. Reform’s revenue comes from three main sources: exchange rebates, designated market making (DMM) agreements, and LuigiBot’s activity. To manage ongoing operational costs while still reinforcing $RFRM, each quarter: * 65% of positive net revenue is allocated directly to $RFRM buybacks * 35% remains in the DAO Treasury to ensure the long-term growth of our ecosystem. ### **Governance and Voting Power** $eRFRM (earned by staking $RFRM) gives you real voting power. That means you help decide how treasury funds are used, how strategies shift, and what happens next. Any change the team wants to make, whether it’s adjusting the revenue split or reallocating funds, must go through a community vote, which $eRFRM holders decide the outcome of. You’re not just holding a token, you’re helping shape the direction and strategy of a market maker. ### **Staking and Rewards** Reform isn’t here for the short term, we’re here to stay. The staking model is our way of rewarding those who believe in the long game, who show up early, and help build alongside us. If you’re aligned with that vision, staking isn’t just a reward mechanism, it’s a seat at the table. Reform rewards long-term commitment through two options: Single-Sided Staking (SSS) or Liquidity Pool Staking (LPS). When you stake $RFRM directly or provide $RFRM/$ETH liquidity, you earn a share of daily rewards drawn from a fixed pool of 25 million tokens. Each day, 0.05% of this pool is distributed to the stakers of $RFRM, meaning early participants earn more, while emissions decrease over time to support long-term sustainability. It’s a system designed to reward those who commit and contribute to Reform’s growth. This is how $RFRM turns you into an active participant in the mechanics of market making. It puts the tools and the influence into your hands. Following the implementation of [IPR3.2](https://vote.reformdao.com/#/proposal/0x70c22a3afb628e8f5f81aa44ec2bfbf37cce0fed2f912ab4e320400b18278b3b), a total of 472 million RFRM tokens were burned, significantly reducing inflation and altering the tokenomics of the ecosystem.

RFRM - Token vesting

# DAO Treasury ### The Power Behind Reform: The DAO Treasury At the core of Reform is the DAO Treasury, the place where strategy turns into action. The treasury powers our trading algorithms for liquidity provision and designated market making. It also funds DAO operations and drives $RFRM buybacks. Everything is fully transparent, all activity is on-chain, and holdings can be tracked in real-time through the dashboard. ### How Reform Earns: The Income Driving the DAO
**Realized Profits** Profits from trading cycles by the LP algorithms, excluding those from designated market making, form one of our key revenue streams. These gains are reinvested to sustain the DAO treasury’s value and provide liquidity, ensuring a robust and self-reinforcing system. These are not seen as Net Revenue but are used to grow the DAO treasury. **Liquidity Provision** Our algorithms run grid strategies on tokens with the highest market caps like BTC, ETH, and SOL. They place maker orders all day, every day. The idea? Stay active, catch price swings, and generate as much volume as possible. That volume brings in rebates. Exchanges pay us to keep their markets liquid and smooth. The more trades we do, the more we earn. All those rebates go straight into the DAO Treasury and are seen as revenue for calculations of the Net Revenue. On top of that, we also make money through the spread, buying low, selling high, one small margin at a time. These are labeled under realized profits and go right back into growing the treasury. **Designated Market Making** This is where Reform works one-on-one with projects that need real, active support in the market. Most small to mid-sized projects are having a hard time meeting liquidity requirements for listings or staying listed. Exchanges expect certain levels of volume, spread tightness, and depth. Without those, projects risk getting delisted or losing credibility. That’s where we step in. Designated market making is like exclusive liquidity provision, tailored to a specific token’s needs. We step in not just as a service provider, but as a partner. We don’t just keep markets alive, we help tokens and projects thrive. Reform works with these projects under two main types of agreements: * Token Loan Agreement The project sends a pre-agreed amount of their tokens at a set strike price, allowing Reform to repay the token loan under those terms. We deploy it using our DMM algorithms, which generates liquidity and volume on relevant exchanges. If the token performs well and the price goes up, the DAO benefits from that upside. When the contract ends, any surplus in the project’s tokens is sent directly to the DAO Treasury, aligning long-term value creation between Reform and the project’s ecosystem. * Retainer Agreement This setup is ideal for projects that want to stay in control of their assets. They keep custody of their tokens and pay us a fixed monthly fee. In return, we handle market making on their token across CEXs. Things such as order placement, spread optimization, execution, and risk management are all being taken care of. Projects get consistency, better trading conditions, and peace of mind knowing that everything is done transparently and professionally. Meanwhile, the DAO earns recurring, predictable income that strengthens the DAO treasury. These services don’t just drive revenue, they open the door for deeper partnerships, increase token visibility across platforms, and ensure a fairer, healthier market. ### **How Income Drives the DAO Forward** Whatever we earn, rebates, fees, profits, it all fuels our ecosystem. Net revenue, made up of rebates, retainer income, and realized DMM earnings, is split as follows: 65% is used to buy back $RFRM from the open market, while 35% remains in the DAO Treasury to fund operations, development, and growth. Furthermore, the realized profits are directly headed into the DAO Treasury, where they’re reinvested to sustain liquidity operations, strengthen our trading capacity, and compound the DAO’s long-term financial growth. That’s the loop. Simple, transparent, and designed to grow stronger over time.