Balance sheet

Total spendings by the DAO in 2025

• 3,726,879 FLT
• 3,910,000 USD

Remaining balances at the DAO treasury account:

• 359,491,311 FLT
• 3,220,516 USDC
• 44,450 USDT

Liquidity provided for market making:

• 16,483,065 FLT
• 225,451 USD

Network revenue:

• Total network revenue reached $1m on Dec 26 2025 in FLT and USD combined.

Product updates

Fluence launched CPU virtual servers in alpha, beta stages, and they are available on the platform as per request. GPU compute is fully launched with GPU containers, virtual machines and bare metal servers available on the platform. The new provider infrastructure stack has been released allowing flexible resource management.

In 2025, Fluence released a Pointless program for the community (reaching up to 100k users), hosted five DePIN day events globally attracting 1,800 attendees, and launched DePIN space. Fluence was featured as the best DePIN project by BeInCrypto.

We announced new customers including: Antier, Neo, Zeeve, Nodes Garden, Rapid Node, dKloud, Ar.io, SpoonOS and announced partnerships with TON and Beamable.

Treasury allocation

Liquidity

Bitmaker has been our primary market maker for CEX markets since July. DEX liquidity is managed via Arrakis. GSR and Studio B contracts were terminated and token loans returned (18,490,056 FLT).

Total DAO deposits for liquidity provision in 2025 was 565,000 USD and 8,210,000 FLT. End of year market making balances are 225,451 USD and 16,483,065 FLT, which means DAO effectively bought back around 8 million FLT via open markets.

FLT was listed on Biconomy (10,000 USD spend).

Provider incentives

Provider incentives pool was topped up for 25,490,000 FLT in total in 2025 with current spend around ~2m FLT per month. There is a cap of 75,000 FLT per day on rewards for idle compute capacity. These incentives are vested over 6 months for providers.

Cloudless Labs

Cloudless Labs charged the DAO for 3,600,000 USD for the platform development and growth according to the proposal. An additional 5,000,000 FLT was charged for delivery of the staking milestone in 2024.

Circulating supply

Cloudless Labs has set up an API endpoint for circulating supply calculation. API endpoint is available here: https://supply.kras.fluence.dev/circulating

At the moment of publication:

• Circulating supply: 254,732,023 FLT (~25.4% of total supply)

• TVL in staking: 44,599,475 FLT

• pFLT supply (liquid staking): 31,066,843 pFLT

Protocol metrics are available live here: https://www.fluence.network/stats

Capacity Incentives Pool that was funded in April with 5m FLT has been fully exhausted in September and has reached it’s maximum threshold of 75,000 FLT per day. Capacity Incentives Pool is being used to grant capacity rewards to providers and staking rewards to delegators of capacity commitments.

Cloudless Labs topped up the pool for another 5m FLT in September, and 2.5m FLT in November, but more funds is required. Given the pool daily limit, allocation to providers right now is 2.25m FLT per month (~$33k/mo a current price)

Proposal

This proposal suggests executing two transactions to Cloudless Labs:

• Compensating Cloudless Labs for September and November pool top-ups totaling 7,500,000 FLT (see above). These funds will be bridged to Fluence rollup and used for staking to capacity commitments.

• Depositing 12,500,000 FLT more into the Capacity Incentives Pool, which is estimated to sustain six months of operations based on the current rewards volume which are capped with daily limit. These funds should be sent to Cloudless Labs wallet, which will bridge it to the Fluence rollup and immediately deposit to the capacity incentives pool.

Note, that Cloudless Labs doesn’t hold DAO’s funds and only operates on behalf of DAO to top up the pool.

• 0* FLT

• 50,000 USD

Remaining balances at the DAO treasury account:

• 369,791,311 FLT

• 4,469,614 USD

Liquidity provided for market making:

• 11,047,449 FLT

• 317,145 USD (including 49.0783 ETH)

Product announcements

The launch of the GPU compute for AI was announced in September. CPU virtual servers have transitioned to Beta stage and are available as per request.

Customers announced: Antier, Neo, Zeeve, Nodes Garden, Rapid Node, dKloud, Ar.io, SpoonOS.

There is ongoing work on FLT-collateralized stablecoin in collaboration with Parasail to be used as payment method for compute within the protocol. Full video presentation of announcements is here.

Operations

(*) Cloudless Labs will charge for its services in Q1-Q3 2025 according to the proposal.

Provider incentives

(**) Due to the provider reward pool being depleted, Cloudless Labs topped up the pool with 5,000,000 FLT in Q3 and will submit a proposal to reimburse.

New market makers

The contract with StudioB has been terminated. Active market making service providers for Fluence DAO: Bitmaker, GSR, Arrakis.

Buybacks

In Q3, DAO executed FLT buybacks for total of 50,000 USD

Circulating supply

Cloudless Labs has set up an API endpoint for circulating supply calculation. API endpoint is available here: https://supply.kras.fluence.dev/circulating

At the moment of publication:

• Circulating supply: 219,083,687 FLT (~21.9% of total supply)

• TVL: 32,182,225 FLT

• pFLT supply (liquid staking): 26,295,422 pFLT

Protocol metrics are available live here: https://www.fluence.network/stats

Monthly reports

August 2025

July 2025

• 5,490,000 FLT
• 2,400,000 USD

Remaining balances at the DAO treasury account:

• 371,431,311 FLT
• 4,555,164 USDC

Liquidity provided for market making:

• 16,320,000 FLT
• 270,000 USDC

Treasury allocation

Cloudless Labs

5,490,000 FLT transferred to Cloudless Labs to top up the provider incentives pool according to the capacity incentives pool proposal. The pool was topped up.

2,400,000 USDC was paid to Cloudless Labs for Jul-Dec 2024 according to the Fluence development funding proposal.

Community incentives

Fluence developer community reward, which officially ended on Feb 28th 2025 with last claims possible on Apr 28th 2025, has 15,281,250 FLT unclaimed in the pool. These assets will be returned back to the DAO treasury.

Circulating supply

Cloudless Labs has set up an API endpoint for circulating supply calculation. API endpoint is available here: https://supply.kras.fluence.dev/circulating

At the moment of publication:

• Circulating supply: 186,910,998 FLT (~18.6% of total supply)
• Fluence chain: 39,232,139 FLT
• Staked: 21,700,260 FLT
• pFLT supply (liquid staking): 16,951,928 pFLT

Protocol revenue and staking metrics are available live.

Monthly reports

June 2025

May 2025

April 2025

• 5,000,000 FLT
• 10,000 USD

Remaining balances at the DAO treasury account:

• 376,921,311 FLT
• 6,959,614 USDC

Liquidity provided for market making:

• 16,320,000 FLT
• 270,000 USDC

Treasury allocation

Liquidity

GSR returned unused 8,330,000 FLT from the initial liquidity pool to the DAO treasury.

The Uniswap FLT/WETH pool was funded with 200,000 USDC worth of ETH and 6,000,000 FLT and is managed by Arrakis.

10,000 USDC and 110,000 FLT was provided as liquidity for Biconomy and managed by Studio B.

Listing fees paid:

10,000 USDC

Cloudless Labs

5,000,000 FLT transferred to Cloudless Labs for delivery of the staking milestone in 2024 as agreed to in the proposal.

Circulating supply

Cloudless Labs has set up an API endpoint for circulating supply calculation. The circulating supply at the moment of publication is: 104,030,390 FLT (~10.5% of total supply)

Circulating supply API endpoint: https://supply.kras.fluence.dev/circulating

Monthly reports

March 2025

February 2025

January 2025

The Capacity Incentives Pool was intended to be fully funded from the beginning of the token launch for a total of 100m FLT. Because of gradual network capacity onboarding, the total amount never was deposited to the pool and kept in the DAO treasury. Nevertheless, as part of the incremental onboarding of capacity, incentives were distributed using FLT deposited into the pool by Cloudless Labs.

To date, Cloudless Labs has funded the pool with the following deposits:

• 100,000 FLT
• 90,000 FLT
• 50,000 FLT
• 250,000 FLT

So far, providers and stakers have earned a total of 1,240,134 FLT in rewards, and where 950,000 FLT are still unvested with a remaining pool balance of approximately 250,000 FLT.

Proposal

This proposal suggests executing a transaction of 5,490,000 FLT to Cloudless Labs, which will be used for the following:

• Compensating Cloudless Labs for previous pool top-ups totaling 490,000 FLT (see above).

• Depositing 5,000,000 FLT into the Capacity Incentives Pool, which is estimated to sustain three to four months of operations based on the current rewards volume and FLT price. These funds should be sent to Cloudless Labs wallet, which will bridge it to the Fluence rollup and immediately deposit to the capacity incentives pool.

This proposal has been executed.

Governance committee partnered with Arrakis for on-chain liquidity management. $500k of liquidity was deposited to the FLT/WETH pool on Uniswap, which will be managed by Arrakis.

Product
VMs are currently live in private alpha. We’ve received 150+ applications for the testing participation and applications are now closed. There are critical issues still has to be fixed before opening VMs to a wider audience.

VM release was delayed unfortunately due to series of complexities and ETA of public beta now is Q2. We have $4mm+ potential ARR in the pipeline waiting to be onboarded but the tech completeness is a blocker to onboard this. Note this is the estimated potential protocol revenue based on current prospects, can be different in reality.

The SLA was mentioned by me at Depin Day in Hong Kong. We’ve building towards enabling on-chain SLAs to compensate customers for downtimes if they happen, but not yet have ETA for this feature.

You can see these news in DePIN Day Hong Kong and Denver recordings. We will make sure they are better propagated via our socials and newsletter.

Community
On Ambassadors, over 700 applications were received and after several stages of approval, 10 finalists were chosen. They just have started to being onboarded.

Liquidity
8m FLT returned from GSR to the DAO treasury is the unspent amount from the launch allocation that supposed to be sold on the market initially. They’ve been sitting there since April 2024 and now returned. GSR continues to provide market making services using this liquidity (10m FLT).

There is another market maker StudioB also working on CEXes together with GSR, mentioned here. Spreads look good.

Delisting from exchanges is out of our control. The whole market is down now, so volumes are low everywhere.

The US accessibility is the question of listings now. Last week, FLT was listed at Biconomy, which has US license and available for US users. We are deploying liquidity to the Uniswap pool very soon to support the organic volume that happens there. Uniswap is available in the US.

I hope you are doing well. I have some questions regarding the current state of the project, and I would appreciate any clarification you can provide.

Project Development & Business

• Has the project onboarded any first customers or launched any pilot programs?
• What is the planned release timeline for the VMs? Can we expect them in Q2 or later?
• I came across some information about the new SLA protocol—what are the expected release dates for this?
• Could you provide an update on the Ambassador Program? How many ambassadors have signed up so far?

Token-Related Questions
I understand that market conditions are currently challenging, so I won’t focus on price. However, I do have some concerns regarding the token

• It appears that GSR has returned 8 million tokens to the DAO wallet—does this imply that the project currently does not have a major market maker?
• Has this token return impacted the project’s funding in any way?
• Given the current liquidity and trading volumes on exchanges, is there a risk of delisting?
• Does the DAO have any plans to engage a new market maker?
• Considering recent developments regarding crypto regulations in the U.S., is the project working on ensuring accessibility for the U.S. market? If so, are there any expected timelines?

I appreciate your time and insights. Looking forward to your response.

I appreciate your help! Thanks a lot!

Detached signature for the preceding post: https://t.me/aka_TheAC_signed/21

I’ve received word that Gelato is taking a look at the error, but it now appears to be claimable!

Thank you again!

However, I did report the false error message of the TX already being claimed to Gelato.
There also was a hickup with Blockscout which resulted in you not seeing the required waiting time.

These are bridging details from the transaction page from the details section:
0xf1fb0d0da0a063d5fddccec5efad2d165114379db2ec1978189a5d1fc2e6f612

Can you please check with Gelato about what’s going on here? Just to avoid future questions I have not received tokens on the mainnet. I also can confirm that the destination address in the L2ToL1Tx call (from the transaction above) is correct.

Thank you for being so helpful!

I am sure Cloudless Labs knows best what is best for the project, there is no doubt about that. As I mentioned in my previous reply, I truly wished with every fiber of my being that you had found another method.

The proposal is more than welcome if this will make everyone and every influencer talk about Fluence, help secure Wintermute as a market maker, list Fluence on Binance; if this will speed up the adoption, as Mr. Tom recently teased about a potential pilot program for the U.S. government to use Fluence, an initiative that seems highly likely given David Sacks is interested in Fluence to succeed, Fluence being a Multicoin Capital backed project.
https://x.com/aka_TheAC/status/1881298783134187543

[I DO NOT SEE A PROBLEM]

All projects have DAO funds unlocked daily or monthly through regular vesting. With Fluence, nothing is taken from the DAO without a clear purpose and voting, which is a significant advantage. As long as almost everything is handled OTC, there should be no concerns.

. OTC means two parties exchange assets directly without using any exchange (CEX or DEX), preventing price impact.
. TWAP means tokens will be placed on the order books, and when someone buys, they will primarily purchase from Fluence.
. VWAP (Volume-Weighted Average Price) ensures that if the price surges aggressively, more tokens will be made available for purchase over time.
^ None of these methods will lower the price, as Mr. Tom mentioned, but the last two could slightly slow down price increases unless we experience a traditional altcoin season. This is why OTC would be the preferred method.

[IT IS NORMAL AND IT IS NEEDED]

Increasing the project:s cash reserves, is a standard practice for all projects. This is not money going into the team:s pockets, but the project:s treasury, benefiting everyone involved with the project, especially investors. It is crucial for the success of the project, particularly for a big infrastructure one like Fluence. Investing in a project inherently means funding its development.

[QUESTIONS]

. What price does Cloudless Labs consider a fair value for Fluence when it comes to good market conditions?
. Is this 5% part of the 12% from the treasury as stated in the tokenomics blog post?

Detached signature for the preceding post: https://t.me/aka_TheAC_signed/20

I recently attempted to withdraw my funds from the Fluence network back to Ethereum, but it seems the transaction didn’t go through successfully. Below is the Blockscout link for reference:

Transaction Link: 0xf1fb0d0da0a063d5fddccec5efad2d165114379db2ec1978189a5d1fc2e6f612

I’d greatly appreciate your assistance in investigating this matter. Could you please let me know if any additional steps are required on my end, or if there’s a known issue causing this withdrawal to stay in the waiting state?

Processed on rollup
Sent to parent chain
Confirmed on parent chain

Thank you in advance for your help, and I look forward to hearing from you soon.

Best regards.

However, delaying unlocks a month before vesting starts does not seem fair. Can we propose an alternative that vested/unlocked tokens will be staked for a period of time (fixed or until market conditions normalize) so that these investors can be earning rewards and will be compensated in that way?

The CEO said that the project won:t be placed in the AI category until the network has full GPU support, which is coming very very soon.

I haven:t had the chance to point out that another project in the cloud computing space had GPU support on their roadmap for all of 2024, but only added it very recently. Still, they were under the AI category the entire year. If that was possible for them, I believe it could be done for Fluence as well, unless something has changed.

OFF-TOPIC SUGGESTION FOR FLUENCE: If you think saying something bad is worse than saying nothing at all, from an open market investor:s perspective and as someone deeply involved in the retail community of this project, not saying anything is the worst thing you can do in crypto. Unless the main reason is to avoid wasting time; and even then.

@RobertFrost @wh1z @ethgenesis @Thx08

Detached signature for the preceding post: https://t.me/aka_TheAC_signed/18

[REASON]
Not having one is a major turn-off. A project with such a strong team, influential backers, top-tier providers, major event organization or sponsor, connections with leading projects, and a bold vision like Fluence, needs to have it. The emotional, human-driven mindset of most people perceives a project that claims to be serious as way less valuable if it lacks this checkmark.

With a regular blue checkmark, frequent replies can get the account flagged as spam. Additionally, a golden checkmark boosts reply visibility, placing it higher in the list and making it easier to spot.

[TERMS]
Every month, for nine months, $200 worth of #FLT, along with additional funds for gas fees, conversions, and other expenses or taxes, will be withdrawn from the treasury to cover the cost of the ,Verified Organization Basic, X tier. Ultimately, the Governance Committee will be empowered to determine the most suitable form of payment.

Detached signature for the preceding post: https://t.me/aka_TheAC_signed/17

Pass this proposal Lord Tom and gang ,

Developers and VC investors are integral to the community and are likely just as invested in the project’s success as retail investors. Actions like this could demotivate the team, discourage VC participation, and scare off potential new investors.

Personally, I am against this proposal.

I think the main challenge is on the demand side at least on the short term. While long term utilities like staking and governance will be helpful, they won’t have an immediate impact while the network is still growing and acquiring customers.

In the short term, strategic and coordinated marketing efforts are very important for attracting more community involvement and investor interest. Metrics like mindshare (as highlighted by Kaito AI and other social and analytical platforms) have proven to be vital during the early stages of bootstrapping token liquidity. Additionally, improving liquidity, securing listings on more exchanges, and expanding geographical accessibility would be very helpful.

Short term demand is equally important as well designed long term tokenomics. I hope the team addresses short term demand by prioritizing visibility/mindshare and exchange/liquidity improvements as we approach the next unlocks this quarter and in 2025.

The proposal is not about the sale, but about the approval to sell at favorable conditions in the future to fund the DAO. The proposal also defines the upper boundary of the potential deal in FLT, but full amount may not be sold.

By the governance model, proposal voting and execution takes 10 days + discussion. So this proposal is necessary for governance committee to act quickly if the favorable market happens. Otherwise we can miss the train.

aka_TheAC:

@eponomarev I:ve thought about what you wrote all day, and the only thing I understand from it is that the team & VCs plan to either stake their unlocked tokens, or offer them as liquidity for exchanges.

You shouldn’t treat Cloudless Labs and investors as separate from community. Every FLT holder is a part of community. Incentives are aligned.

Staking, governance, liquidity provisioning are the utilities of FLT that we want people to be active at.

Thanks, A. D.

Additional potential future exchange listings will be covered in subsequent proposals as required.

Overview

In order to improve liquidity of the FLT utility token, the DAO is asked to support market marketing activity and to engage market makers. To facilitate the execution of these services, the DAO is asked to delegate the hiring and management of market makers to the DAO governance committee.

Terms

For the duration of 12 months, the DAO is asked to approve:

• A maximum spend of up to USDC 15,000 per month
• A maximum loan size of 2 million FLT tokens
• A maximum loan of $750,000 USDT or similar value token such as ETH

The above spending and loans are for the market making activities, and the DAO is asked to delegate the decision making and execution of these matters to the governance committee for a maximum period of twelve months.

The executive committee will update the community as it successfully onboards providers.

SAFT agreements are legally binding and vesting smart contracts are immutable.

Another thing to bear in mind: FLT token unlocks follow a linear schedule, with daily unlocks over a 12-month period. It’s not a 100% lump sum unlock on the day itself, like most people assume.

Plus, unlocks will happen during a bullish period, so there should be less cause for concern.

Keep calm and HODL $FLT (or keep DCA-ing).

Adding to the suggestion regarding the community, those regular investors, who make up to 85% of the crypto space, are the ones who buy the token. So, keeping them in mind, I think it:s pretty important.

I forgot to mention that it:s very warming and much appreciated to see how transparent Fluence is.

And I think it:s important to mention that now Cloudless Labs allocation is ~15% instead of ~20%.

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Adding to my previous reply, funny enough, some people, @Buddha :D, think the sole action of unlocking tokens will lower the price.
https://x.com/xbillionsx/status/1879025821068980565

I wrote a short thread to explain how things work.
https://x.com/aka_TheAC/status/1879036394376507877

@eponomarev I:ve thought about what you wrote all day, and the only thing I understand from it is that the team & VCs plan to either stake their unlocked tokens, or offer them as liquidity for exchanges.

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The market is uncertain at the moment so it will boost the confidence of the investors.

Let’s postpone for 6 months, this will bring a lot of investors to the project which will ultimately help Fluence scale to the large scale because ultimately it takes a lot of funds to take on the big web2 guys.