Treasury Allocation Proposal #1

After consulting with a few very reputable advisors and farming strategists, we have decided to focus mainly on long term consistency, sustainability, security and good diversification, while also leaving a small part of the treasury for riskier investments with very high potential rewards.

As of today, the wallet that holds the treasury and the development/marketing funds holds a bit over 800 AVAX, our goal is to maximize these funds and generate as much revenue for our holders as possible, and only when needed, take out for marketing campaigns and development.

Through discussions in our official Telegram group, the community expressed their agreeance to our unofficial proposition of allocating the funds according to three categories, the first being 60% of funds in stablecoin pools, 30% being high APY farms with some risk of impermanent loss, and finally 10% for high risk, high reward plays.

With that being said, our first proposal is to allocate part of the treasury funds in the first two categories in the following way:

1. Category 1:

   a. Allocate 25% of the treasury to the Curve Aave stablecoin pool consisting of aDai + aUSDC + aUSDT for a base APY of 2.4% + 8.42% in WAVAX.

   b. Allocate 25% of the treasury to the Curve 3poolV2 stablecoin pool consisting of MIM + USDT.e + USDC.e for a base APY of 23.59%.

   c. Allocate 10% of the treasury to Defrost Finance by adding liquidity to the Curve av3crvGauge and using the LP tokens as collateral to mint H20, for 9.06%. Then use the minted H20 to add liquidity to the Curve DefrostH203CRV pool and stake the LP for another 97.44% APR. (Minting with collateral, rather than just buying H20 protects us in the case of H20 losing its peg, even though unlikely, and earns us an additional 9%)

2. Category 2:

   a. Allocate 10% to the Defi Kingdoms JEWEL-AVAX pool for 247.7% APR.

   b. Allocate 10% to the Defi Kingdoms JEWEL-ONE pool for 283.1% APR.