Build a veVELO position

Proposal:

Treasury has 10.6k VELO currently from alETH - ETH farming rewards.

• https://debank.com/profile/0x7be79ec75d58fcd1053ef42397967abd3e1a8df6

We can deposit this into a veVELO lock, and then deposit the lock into a veVELO Maxi Relay Vault, which will auto-compound it at ~33% apr.

.:.

Liquid Equity Roadmap:

Note:

This Roadmap is to give context to why locking our yield might be a good strategy, because once we start locking veVELO, we are making our treasury more illiquid -- which means there ought to be a plan for how locking VELO yield benefits membership.

However, this vote is not an approval of the Roadmap, but is only an approval of the decision to deposit our VELO Yield into the veVELO Maxi Vault.

This is just my best guess at why it would be useful to lock our VELO yield, and how I imagine we could bring the project to a type of maturity.

.:.

1. Build the treasury to increase membership and gain more LPs. -- [in progress]
2. Farm those LPs to earn more VELO.
3. Lock and auto-compound those veVELOs.

$BAAL

4. Raise ETH for $BAAL - alETH LP -- [another 69 NFT membership batch]
5. Airdrop $BAAL -- a Liquid Equity token to NFT Holders, and form DAO owned LP.
6. Request a Gauge from Velodrome, and use veVELO position to direct VELO emissions to $BAAL - alETH LP.
7. DAO Treasury and Members can now Farm their equity.

Explain plz:

Moloch v3 has the capacity to "fractionalize" the economic equity that each Alchemistress owns.

They are called Loot Tokens:

• https://moloch.daohaus.fun/features/erc20TokenContracts
• https://github.com/Moloch-Mystics/Baal/blob/feat/baalZodiac/contracts/LootERC20.sol

Loot tokens would be a fixed supply token, distributed to each NFT, and to DAO Owned BAAL - alETH LP.

NFTs would retain their governance power, and capacity for onchain voting, but their RQ rights would be diminished and replaced by the Loot token.

The market value of the loot token would act as speculative claim on the future RQ value of the DAO Treasury.

NFTs would still need to vote to dissolve the treasury, and then LOOT token holders would be able to burn their tokens to claim their equity.

• Members could dump their $BAAL, effectively being bought out by the treasury, or other members.
• Members could provide BAAL - alETH LP and earn VELO
• People could purchase $BAAL off of the market, though they would not have voting shares, only fractional economic RQ Claim.
• The DAO Treasury would earn fees on trade volume, and yield on LP.

Goals:

• All LPs held by the DAO will continue to earn VELO, building our position on this leaderboard:
  • https://dune.com/0xkhmer/velodrome-vevelo-leaderboard
• 420 Members -- [~6 batches of 69 NFTs]
• Qualify for OP Retro Grant for demonstrating a novel financial model for DAOs.
• 1M AUM, earning VELO in Risk Adjusted LPs on Velodrome.
• Liquid Equity Token, with a gauge and DAO owned LP on Velodrome.

Alchemistresses would become an OP DeFi Hedge Fund Cooperative, with its own Liquid Equity token.

Potential Downside:

• Locked Yield is more difficult to dissolve.
• We need more artists, and to sell more memberships to communities.
• The Velodrome Community would need to vote to approve our gauge.

How do we get there faster?

If we wanted to speedrun this, I think the best way would be to seek grant funding from the following communities to contract artists to build out 69 piece collections, and then launch each collection to their target community.

• ALCHEMIX - [completed]
• REDACTED CARTEL - [in progress]
• OPTIMISM
• VELODROME
• SNX | THALES | KWENTA | TLX
• HAI
• BAAL | MOLOCH

.:.

I think this is a promising pathway, and a model for how DAO treasuries ought to be structured, and I'm currently working toward this objective.

Vote:

1. Max Lock VELO Yield, and deposit into veVELO Maxi RELAY
2. Continue Discussion.

Yield could also be used to pay off the Alchemix Loan, or buy ETH Calls for December, etc.