Deploy FWB Reserves for Token Migration Liquidity

Author: Greg Bresnitz

Proposal: Deploy FWB Reserves for Token Migration Liquidity

Summary

FWB has approximately $200,000 in USDC/ETH from the PartyDAO contributions to increase the liquidity in the existing FWB-WETH LP on Uniswap. Due to the recent increase in ETH price since the original proposal was crafted, we now need to match more FWB tokens than originally anticipated to provide adequate depth for the liquidity pool.

This proposal seeks community approval to deploy a portion of FWB’s held reserves to complete the liquidity provisioning and finalize the migration agreement. We currently hold approximately 10% of the total supply of L2 $FWB in treasury. This vote will determine how much of that reserve should be deployed to create a deep and functional trading pair.

The vote is about how much of the DAO's own $FWB we put in a liquidity pool we have set up so that people can trade $FWB without huge slippage/volatility.

50% = more conservative (keeps more tokens in treasury)

75% = balanced (more depth in LP, still reserving some $FWB in treasury)

100% = deepest liquidity, no $FWB held in FWB treasury

We can withdraw liquidity later if other people contribute to pool, etc.

What’s a Liquidity Pool and Why Does It Matter?

To allow people to buy, sell, or swap a token like $FWB, there needs to be a pool of that token paired with something else—usually ETH or USDC—on a decentralized exchange (DEX). These pools are called liquidity pools, and they make sure there’s enough supply and demand on both sides of a trade. The deeper the pool, the more stable the price and the easier it is for users to transact without major slippage. Right now, we’ve raised USDC/ETH for one side of the pool, and we’re voting on how much $FWB we want to provide from our treasury to match that liquidity and launch the token effectively.

Proposal Options

Community members will vote on the percentage of treasury-held $FWB to deploy in the LP pool:

• Option A: Deploy 50% of treasury reserve (i.e., 5% of total supply)

• Option B: Deploy 75% of treasury reserve (i.e., 7.5% of total supply)

• Option C: Deploy 100% of treasury reserve (i.e., full 10 of total supply%)

Rationale

• Creating deep and stable liquidity is essential to support trading, ecosystem stability, and future integrations.

• The raised liquidity will be paired with ETH/USDC and deployed via PartyDAO to seed the pool.

• This is a one-time deployment for a community-aligned relaunch of the token on Base.

Next Steps

Once the proposal passes, tokens will be paired with wETH or ETH to bolster the existing $FWB liquidity pool.

Deployment Overview