> For the complete documentation index, see [llms.txt](https://docs.alienbase.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.alienbase.xyz/governance/alien-labs.md).

# Alien Labs

**Alien Labs** is the offchain product, frontend, and revenue arm of Alien Base, formalized in [AIP-5](https://medium.com/@alienbase/aip-5-building-alien-base-2-0-96dc24984cd2) (April 2026).

> *Last updated: July 6, 2026.*

## What it is

Alien Labs is the entity that:

* Designs and builds the [app.alienbase.xyz](https://app.alienbase.xyz) frontend.
* Develops new on-chain products before they're handed off to the DAO (Mothership, Epsilon Router, Token Generator v2, etc.).
* Runs the commercial side of Alien Base — partnerships, integrations, listings, market making.
* Operates day-to-day infrastructure (RPC, indexers, frontends, analytics).

It operates under the [Alien Foundation](/governance/alien-foundation.md)'s legal umbrella but is structured as a distinct working unit so that builders, designers, and operators have clear contracts, deliverables, and accountability.

## How it's funded

Through a **Dev Line of Credit (LoC)** introduced in AIP-5. Mechanics:

* The LoC replaces the older "X ALB/month dev allowance" flat budget.
* Funding is treated as **tracked debt** with interest paid to esALB holders. Every ALB drawn from the LoC increases an outstanding-debt balance the Foundation owes back to the protocol.
* **Price-tier grants:** when ALB sustains a moving-average price of $0.40, $1, or $2, a tranche of the outstanding LoC unlocks as a grant — the debt at that tier is cleared. This aligns Labs's funding with the protocol's economic success.
* **esALB inflation coverage:** while the LoC is active, esALB holders receive a continuous APR designed to backstop dilution. Projected esALB yield from this mechanism: **30–35%** at expected operating volumes.

The full design is in the [AIP-5 proposal](https://medium.com/@alienbase/aip-5-building-alien-base-2-0-96dc24984cd2).

## Why split DAO / Labs?

Three reasons:

1. **Cleaner accountability.** Builders sign normal employment / contractor agreements. The DAO holds the contracts and treasury; Labs holds the deliverables. If a build fails, the DAO can re-direct work without protocol-level disruption.
2. **Cleaner economics.** The DAO's incentive is protocol value (esALB yield, ALB price). Labs's incentive is delivery, with payouts tied to that value. The LoC mechanism makes the alignment formal.
3. **Cleaner governance.** Tokenomics decisions stay with the DAO. Product decisions stay with Labs (within the budget the DAO approved). This avoids the "every UI tweak goes to a Snapshot vote" failure mode.

## How Labs reports back

* **Quarterly Medium retrospectives** on what shipped vs. what was planned.
* **Monthly Discord updates** in the announcements channel.
* **The Public** [**Changelog**](/changelog.md) is updated continuously as features ship.