Should the DYSC DAO participate in the upcoming Magnet DAO public presale?

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THE PROPOSAL: Investment amount: 40 AVAX (approx. $4800)

Hello Yetis! I would like to propose that the DYSC DAO allocates 40 AVAX from the treasury to the Magnet DAO public sale launch. Magnet DAO is an ohm fork that deploys treasury funds into yield-bearing strategies as well as investing in and incubating new projects. This proposal also includes staking our $MAG to capture the inflation.

Launch details: "Fair Launch (December 27th, 5:00pm UTC) 4.0M tokens for sale (40% of initial total supply) Price is dynamically determined by amount contributed — more details to come in the coming days / weeks via a separate Medium article. We have a lot of unique ideas for how to structure this launch and are firming up the details ~45 hour launch Max contribution of $50,000 per person Available to anyone who wants to participate All proceeds go to our treasury — allowing us to launch with a substantial treasury and a low market cap / treasury ratio to begin with."

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Here is a general overview from their website: "Magnet DAO is the evolution of the reserve currency protocol. The DAO uses its protocol-controlled value to reward token holders with exceptional yields. At the same time, it uses its treasury reserves to invest in and incubate innovative projects.

Unlike first-generation reserve currency protocols, the goal of Magnet DAO isn’t just to grow its market cap and treasury from bonding. Instead, Magnet DAO uses 10% of bond profits to invest in high-quality crypto assets, effectively turning the DAO into an on-chain venture fund. The DAO will also help incubate and build projects from the earliest stages. All tokens acquired by the DAO will be owned by the treasury, creating exponential value and unmatched upside for investors.

Magnet DAO is the next stage of the tried and tested reserve currency model. While building a sufficient treasury is important for a protocol, the portfolio management of that treasury is equally as important. We are hyper-focused on putting the treasury to use to generate return, including building, incubating, and investing in early-stage projects: opportunities that are typically not available to the average investor. We will also be exploring ways to generate risk-free return on our stablecoins, in order to turn them into productive assets."

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Why I believe we should invest:

1. Generally speaking, getting in at presales guarantees profit. Taking into account that their token is treasury-backed, seeding the treasury this early would almost certainly ensure that we would end up with some sort of profit.
2. They are an investment vehicle and simply by staking $MAG, we would gain exposure to their treasury management. This helps us diversify into various projects and strategies without having to move a muscle.
3. So far, the team has been doing all the right things and have grown their community to over 20,000 on Discord and their Twitter followers continue to increase rapidly. We could bring more eyeballs to the DYSC DAO by doing this.

What risks there could be:

1. Rug. Like in any crypto project, this is always a possibility. I do not believe we would experience this.
2. Exploits. Possibility of hacks and other exploits.
3. Bad investment choices. They will deploy capital, which means there is a chance that deployed capital gets rugged or they make poor investment choices.

Investing in something like Magnet DAO could offer great returns. If we look at what other ohm forks/derivations have managed and assume similar in this case, we should expect to see some upside. While there is no guarantee, I am personally very bullish based on what the team has accomplished thus far.

Other notable info

Capital raised in the initial community offering: 1,600,000MIM ($1.6m)

Public presale: 27th December 27th 5pm UTC (exact details of launch tbc)

The Protocol Launch: will take place ~3 Hours after the Fair Launch. Fair Launch is 45hrs so roughly on December 29th 5p UTC the protocol will be live and staking will be available.

Website: https://www.magnetdao.finance/

YT influencer explainer: https://www.youtube.com/watch?v=sxcby8dleO8

Medium: https://magnetdao.medium.com/

Yahoo article: https://finance.yahoo.com/news/magnet-dao-launches-early-stage-142000190.html

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Thanks for taking the time to read my proposal.

xOctavia (🏂,🏂)