Pool Pool

Overview

Withdraw $250,000 in DAI tokens currently held in sponsorship and send to the Pooltogether Executive team. Pooltogether Executive team will swap the DAI for stETH and deposit $150,000 USD equivalent into the steth.win pool as sponsorship. The stETH sponsorship tokens and the remaining stETH will be sent back to Pooltogether treasury.

Motivations and Reasoning

Pooltogether’s treasury holdings are mostly stablecoins and POOL with the stablecoins earning a very low rate of return and tied to the price of the USD which gives limited upside. More exposure to ETH is something that has been brought up several times by the community but we’ve not pulled the trigger. We’ve also had a stETH pool recently launched by @underthesea, with 50% of the proceeds going to charity and the remainder to 2 winning depositors. This pool already has had 12 stETH in sponsorship added by Witnet. We’d like to support this community pool while increasing our ETH exposure. Recent discussions and polls on the forum have shown majority support for both increasing ETH exposure and sponsoring the community built stETH pool. See the conversations here: https://gov.pooltogether.com/t/rfc-convert-489k-dai-balance-to-steth-and-deposit-as-sponsorship-into-steth-pool-on-pooltogether/2730 This proposal has been decreased from the original proposed amount of $489K to satisfy the wishes of many community members to do a lesser amount. My intention is that in the event that ETH price drops in the coming months I would potentially propose some more buys with the remaining DAI.

Having this transaction done by the Executive team will simplify the process and the funds will only be in the custody of the Executive team for a short time. The Executive team multisig is a 7/11 signature safe and is capable of handling this dollar amount and transactions with no issues.

Technical Specification

Contract aDAI 0x028171bCA77440897B824Ca71D1c56caC55b68A3 Exec-Team Safe 0xDa63D70332139E6A8eCA7513f4b6E2E0Dc93b693 Transfer 250000000000000000000000