Ouroboros Capital: Strategic Acquisition of Treasury BAG Tokens

Background

We are Ouroboros Capital, a liquid crypto fund known for our our proactive and hands-on approach. We do more than just invest in projects; we actively contribute to their growth and success. Our team works closely with the projects we support, providing insights, advice, and direct involvement to ensure they thrive.

Some examples of our work include:

• Advisors to Radiant Capital, the largest money market on Arbitrum
• Advisors to Perennial Finance, a well backed perpetuals protocol
• Active Frax Finance governance participant

Turning Point

We have begun to build a position in the Decentral Games ecosystem from the open market.

We see the potential for Decentral Games to position itself well into its launch of the Blast ecosystem. Moreover, the new mobile casino product will allow Decentral Games to tap into a newer and wider audience.

Longer term, we believe that the virtual world product that Decentral Games has developed fits extremely well into the future incoming narrative of VR, AR games and experiences (think: Apple Vision Pro).

Notably, liquidity remains low but we believe this is something that can be remedied with increased activity, marketing and capital.

How we can help

Ouroboros Capital is uniquely positioned to assist DG in overcoming its current obstacles and capitalizing on future opportunities. Our plan proposes:

1. Networking and Partnerships: Over the past 18 months, we've built a robust network within the crypto space. We plan to use this to foster partnerships and collaborations for Decentral Games, potentially including connections with other portfolio companies and venture capitalists.
2. Enhancing Liquidity: The liquidity of DG / BAG, is critical to the platform’s performance. We propose connecting Decentral Games with reputable market makers to enhance market depth and potentially providing liquidity for over-the-counter (OTC) tokens.
3. Boosting Market Attention: With over 23k X followers, a 2.5k-strong Telegram community, and a rapidly growing Substack readership, our social media channels are powerful tools for raising awareness about DG. We plan to utilize these platforms to draw attention to Decentral Games, highlighting its potential.

Proposal

We propose an OTC purchase of $125K BAG tokens at a 10% discount to the past-30d TWAP price from 8th March ($0.03265 per DG), for a final price of $0.02938 per DG. These tokens will be linearly vested over 6 months.

Rationale

In accumulating this vested position of BAG tokens on top of our existing position bought on the market, we at Ouroboros Capital would be aligned with bringing in new eyes to BAG, Decentral Games and its products.