SLURP-54 | Request for OTC SDL Token Purchase with Flexible LP Commitment Options on Base

Abstract This proposal seeks approval from the stake.link DAO to facilitate Over-The-Counter (OTC) sales of SDL tokens from the DAO treasury to interested buyers under two distinct tracks: Standard Track: 10% discount to prevailing market price with a 1-year LP commitment on the SDL/LINK pair on Base. Spot Support Track: Fixed price of $0.4X per SDL (no discount, no TWAP), immediate spot purchase of ~55,000 SDL, zero LP or time-lock requirements—pure treasury inflow to extend protocol runway without touching existing liquidity pools. Both tracks provide the DAO with immediate USDC capital at favorable terms while accommodating different buyer intents: long-term liquidity providers and short-term runway supporters.

Rationale The stake.link protocol leads in Chainlink liquid staking, but sustained growth requires both deep multi-chain liquidity and extended operational runway. Base remains a high-priority L2 for DeFi expansion. Large open-market buys currently face 20–30% slippage on Uniswap, harming buyers and pressuring price. OTC execution eliminates this. The Standard Track mirrors proven SLURPs (e.g., SLURP-27) by trading a modest discount for verifiable, long-term LP—directly boosting Base ecosystem depth. The new Spot Support Track addresses an unmet need: aligned buyers who wish to fund the protocol immediately without LP obligations or lockups. These buyers explicitly do not draw from existing pools, preserving current liquidity while injecting fresh capital for audits, hires, partnerships, or marketing. At $0.4X/SDL (~55,000 tokens = ~$27,500 USDC), this track offers a clean, slippage-free treasury top-up.

Specification Upon Snapshot approval: Standard Track (LP Commitment) Quantity: Flexible, per buyer Price: 10% discount to 7-day TWAP of SDL on Uniswap V3 at vote close, paid in USDC Execution: Trustless swap via DAO multi-sig within 7 days LP Requirement: Full proceeds deployed to SDL/LINK on Base, locked 1 year (on-chain verifiable)

Spot Support Track (No LP / No Lock) Quantity: ~55,000 SDL (exact final amount adjustable ±5% by mutual agreement) Price: Fixed $0.4X per SDL, paid in USDC Execution: Immediate spot OTC transfer via DAO multi-sig within 48 hours of KYC clearance LP Requirement: None — buyer may hold, stake, or sell freely Explicit Condition: Tokens sourced directly from DAO treasury cold storage, not withdrawn from any existing liquidity pool

Shared Governance Safeguards KYC/AML: All buyers (both tracks) Transparency: On-chain proof of treasury source (Spot Track) and LP position (Standard Track) Cap: Total sale across both tracks ≤ 300,000 SDL unless amended via follow-up SLURP Proceeds: 100% USDC to DAO operational wallet

Conclusion This dual-track SLURP maximizes flexibility: Standard Track locks in long-term Base liquidity. Spot Support Track delivers instant, unconditional runway funding at a fair fixed price—without draining a single SDL from existing pools.

Together, they strengthen treasury resilience, reward aligned capital, and accelerate stake.link’s multi-chain dominance. Community input welcome—let’s build.