Title: [BIP-025: Buidler DAO ETH Investment Management]

Authors: @Davion

Date: [14/06/2024]

[BIP-023: Proposal for Buidler DAO Treasury ETH Management]

Buidler DAO 国库资金管理讨论 - ETH部分 - Ideas and Open Discussion - BuidlerDAO

Abstract

This proposal will hold a vote on the plan to invest the ETH in DAO Treasury.

Voting period: 02/07/2024 —— 03/07/2024

Background

DAO have invested the USDT/USDC in DAO Treasury in defi protocols and is earning a yield from it; Financial Team is planning to invest the ETH in relative protocols to earn yields.

Main Body

As discussed with experts in Research Guild, we have come up with an investment plan of ETH in DAO Treasury.

Current there are 35.68 ETH (value at 136,190) in DAO Treasury; We plan to use these ETH to participate in Defi Protocols to earn a passive income.

Half of the ETH (17.5 ETH) will be staked into Lido (Largest ETH Liquidity Staking Protocol): The current APY is 3.2%, and the risk at lido is minimal compare to other Defi protocols and applications.

Lido Website: https://lido.fi/

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Other half of the ETH (17.5 ETH) will be used to buy “PT” at Pendle (TRS Yield Defi Protocol): We are planning to buy the “PT” token (fixed APY) for pufETH pool ended on 26 Sep 2024, the current APY is 19.7%, and is expected to maintain an average APY of 21% throughout the period. The risk is supposably higher than the ETH staked in Lido, but comparably the risk at Pendle is still very low.

Pendle pool: Pendle 1

Financial Impact

The investment is about to earn BuidlerDAO a yield at around 10% based on ETH.

Result Measurement

The investment is complete and the yield is expected.

Next Steps

The sword holders will operate the Treasury wallet and finalize the investment.

Budget

35 ETH.

Voting Instructions

The voting scope for this round is S2 Governor, and in accordance with the internal consensus stipulated in the whitepaper, the voting period will be at least one day. The standards for passage are:

1. Participation of 60% of the internal total number (8 people).
2. Voting approval rate > 60%.

Note: 14 people in S2 Governor, only 12 people have voting power since they don’t have any $BRP yet.