Decentraland

by 0xd6c957f9a6411f35d01baae2658758f277408878 (Rizk)

Dollars are currently a crucial missing element in our DAO treasury. In this proposal, I suggest initiating the expansion of our stable coin during this bull market. It’s essential to use this opportunity, as such favourable market conditions occur only once every cycle, approximately every four years. Accumulating dollars during a bear market is not a viable option due to various reasons, primarily the lack of liquidity and the low price of our mana treasury. This strategy aims to strengthen the DAO’s financial foundation, grow capital for the long term, and ensure sufficient funds for future grants, which will be managed by the upcoming council. By accumulating dollars now, we can mitigate risks of potential market illiquidity or a sharp decline in MANA prices, which could otherwise force us to spend millions of MANA for a minimal amount of dollars.

The DAO treasury currently holds around 80,000,000 MANA, with an additional 1,850,000 MANA that is vested monthly. Considering the daily and weekly trading volume of MANA on centralized and decentralized exchanges (Weekly Volume schedule attached for the passed couple months), I propose using two months’ worth of vested MANA, equivalent to 3,700,000 MANA, for strategic stablecoin accumulation.

This process would take place incrementally over the next two to three months, following a strategy that allows flexibility for the upcoming council. They may choose to adjust, pause, or continue the plan as deemed appropriate.

This approach ensures minimal impact on the MANA token, as evidenced by the weekly trading volume, and establishes a favorable price range for our accumulation strategy during the bull market. It will not negatively affect our community, investors, or key stakeholders. On the contrary, it will enable us to fund future grants and continue developing the platform effectively, even in the event of a bear market.

• Yes
• No
• Invalid question/options

This proposal is summarized due to technical limitations. To view it complete and vote on it, visit the DCL DAO Governance dApp