First DAO asset diversification proposal in DOT

In crypto, having a well diversified asset portfolio is critical to damper high market fluctuation. Though various discussions and a survey form, the Dao has prob the opinion of its community and identified some potential line of diversification with low risk for the asset of the DAO.

Among those potentials asset candidats, $DOT token has been identified as a good choice for diversification as it offers a good APR, strudy floor price and allow the Dao to have a word to say in its global ecosystem (Polkadot) though democraty.

This proposal is thus the first step of our diversification strategy.

In order to start our asset diversification strategy, the DAO would like to sell for $10,000 or $25,000 worth of $ASTR to buy DOT token.

After doing so, the DAO will use Bifrost Finance (https://bifrost.finance/) to liquid stake the DOT previously bought and get vDOT token (interest bearing voucher DOT token with ~17% APR). As you may know, staking DOT on bifrost has the advantage of lowering unstaking period by as our DOT get instant unlocked when other users stak their own on bifrost. Furthermore, the vDOT token are usable for DeFI activities on various parachain such as Astar Network, Moonbeam and HydraDX. vDOT keep also the same vote capacity as free DOT.

The vDOT colelcted will then be put in liquidity pool (LP) on HydraDX. This step aim to take advantage of the automatic take profit feature of HydraDX called Yield DCA to convert automatically the DOT staking rewards in one of the token present in HydraDX omnipool. Here we are planning to convert the rewards in $ASTR token. Those $ASTR would thus be split between NFT Holders and Treasury.

On top of that, fractions of 25% the actual vDOT bag will be sold at definite price thresholds to secure profit along the rise of DOT price.

As a bonus for taking these actions, the DAO will receive a FREE quantity of DOTisDead $DED coins [1 $DOT = 1000 $DED]. The DAO would then divide evenly the $DED token received and airdrop them to Astar Degens NFT holders.

After the passing of an approval from the Degens DAO, $DED representatives will announce Astar Degens NFTs to support the airdrop of both $ASTR and $DED on twitter, telegram, and other possible publications. Additionally, both Bifrost and HydraDX have also agreed to collaboratively promote our announcements regarding their participation. This proposal will highlight the amazing NFT utility to the broader Polkadot community.

Lastly, Astar Degenz will find an artist within the Asatr Degens Dao community member to produce a meme artwork depicting Degen NFTs (Zombies) and DED imagery. Plus, AD will provide art/memes for announcement information for both HydraDX and BiFrost cross marketing.

Benefits of Proposal

• Take small profits from our $ASTR bag (up to 2,5% of our bag) before the potential effect of “buy the rumor and sell the news” of zkASTAR
• Diversifying up to 2,5% of our bag into $DOT
• Staking $DOT for High APY (Around 17%) + APR boos with DeFI activity on HydraDX
• Autoconversion of staking rewards back in $ASTR token and redistribution of those rewrds between the DAO and NFT holder
• Liquid staking reduce unstaking period and allow the usage of liquid asset for DeFI
• DAO would gain Polkadot voting power for future proposals
• DAO and NFT holder will receive $DED token ((DOTisDead)) simply by holding vDOT token (It has been confirmed that DOT & vDOT in pool are eligible to DED airdrop )
• Marketing Degens NFTs to the broader polkadot community - DOTisDead, HydraDX, and BiFrost have all agreed to make announcements on social media

This vote offer 3 options :

======================== Vote #1 : 10 000$ investment (~56k $ASTR @0,18$/$ASTR)

Using $ASTR, treasury buys $10,000 dollars of $DOT to stake through bifrost for rewards (Around 17%) Put vDot in HydraDX omnipool and Yield DCA 75% of the Farming profit in $ASTR token which will be redistributed as follow : 70% treasury, 30% NFT holder The remaining 25% Farming profit will be put back in the Farm We will take profit 25% of our vDOT bag every time $DOT price double and thus secure profit along the way $DED token airdropped to the DAO for holding $DOT&vDOT will be redistributed evenly between all 10 000 AD NFT.

• Sell $ASTR : $10,000/$0,18 $ASTR=~56k $ASTR (1% of 5,6M $ASTR DAO treasury)

• Buy DOT : $10,000/$7 $DOT=~1430 $DOT

• Liquide Stake DOT : 1430 DOT x 0,79 vDOT/DOT = ~1130 vDOT

• Put vDOT in LP on HydraDX

• Take profit (TP) at definit threshold : initial price 7$ => TP1: 25% of 1430 $DOT @ $14/$DOT = $5005 TP2: 25% of 1072 $DOT @ $21/$DOT = $5630 TP3: 25% of 804 $DOT @ $28vDOT = $5628 and so on

• Recieve 1000 $DED per DOT = 1,43M $DED split evenly between 10 000 AD NFT ~ 143 $DED per NFT

======================== Vote #2 : 25 000$ investment (~139k $ASTR @0,18$/$ASTR)

Using $ASTR, treasury buys $25,000 dollars of $DOT to stake through bifrost for rewards (Around 17%) Put vDot in HydraDX omnipool and Yield DCA 75% of the Farming profit in $ASTR token which will be redistributed as follow : 70% treasury, 30% NFT holder The remaining 25% Farming profit will be put back in the Farm We will TP 25% of our vDOT bag every time $DOT price double and secure profit along the way $DED token airdropped to the DAO for holding $DOT&vDOT will be redistributed evenly between all 10000 AD NFT

• Sell $ASTR : $25,000/$0,18 $ASTR=~139k $ASTR (2,5% of 5,6M $ASTR DAO treasury)

• Buy DOT : $25,000/$7 $DOT=~3570 $DOT

• Liquide Stake DOT : 3570 DOT x 0,79 vDOT/DOT = ~2820 vDOT

• Put vDOT in LP on HydraDX

• Take profit (TP) at definit threshold : initial price 7$ => TP1: 25% of 3570 $DOT @ $14/$DOT = $12495 TP2: 25% of 2677 $DOT @ $21/$DOT = $14054 TP3: 25% of 2007 $DOT @ $28/$DOT = $14049 and so on

• Recieve 1000 $DED per DOT = 3,57M $DED split evenly between 10 000 AD NFT ~ 357 $DED per NFT

======================== Vote #3 : Reject the proposal

Buy 0 $DOT, because I reject this proposal

======================== Please vote: #1, #2, or #3. to show your support to your favorite proposal

Final result in 5 days from now quorum minimum : 1000 with 2/3 majority Support (Votes for 1 & 2 combined pass the proposal)