WBTC Purchase Proposal #2

Overview

This proposal aims to increase our position and acquire more WBTC leading up to the next Bull Run, Approval of BTC ETFs, and the Halving Cycle in early 2024.

Goals

The main goal of this proposal is to increase our already held 2.67 WBTC with the pure intent of investing and then selling the acquired BTC through this proposal into the next Bull Run and halving cycle while also front running the actual approval of the first BTC Spot ETF.

FrankenDAO Benefits

-Increased Exposure of BTC (Granted it is WBTC which comes with inherent risks)

-Hypothetically: Revenue Generating Idea through Treasury Funds Utilization

-BTC is a LONG-TERM Play but this proposal aims to maximize the amount of revenue generated over the next year.

-Benefits for Individual Holders as I will outline a portion of the profits made through this proposal to go specifically back to holders.

Timeline

This proposal can go into effect immediately after execution assuming BTC is still sub $40k. Ideally, we would prefer an entry between 30k-35k but will not be extremely picky about the entry point as long as it is still sub 40k.

Execution plan 1.) First off, the management of these funds will be through the founder’s Gnosis Safe wallet which is where we currently hold our Staked Ethereum as well as our already owned WBTC.

2.) Second, the execution of this plan relies on us converting the set amount of ETH to Wrapped Bitcoin. From there we will act as if the Wrapped Bitcoin is Bitcoin.

3.) The Breakdown of how we will go about this investment is as follows:

3A.) Purchase 2 WBTC on Gnosis WalletConnect while BTC is under $40k

3B.) Hold 2 WBTC until the value of 1 WBTC is equal to $80k+ where we will sell 1 of the WBTC and send those initial investment funds back into the DAO.

3C.) Following the sale of that 1WBTC, we will continue to hold the other 1 WBTC until we hit the price target of $100k per BTC MINIMUM. After the price target of $100k per BTC is met, there will be a further discussion as a community about how we want to move forward with the remaining 1 WBTC. Depending on the community vote, we will either sell the remaining 1 WBTC from this proposal OR we will keep holding till another specified price target is met (One established by the community).

3D.) Finally, whatever price the remaining 1 WBTC is sold at, 50% is returned to the Treasury and 50% goes directly back to holders through the DRS and/or community events.

Budget and fund utilization

-Total Budget required to perform this proposal is $80k. This is a large amount to invest as a project especially when considering the already held 2.67 WBTC. Please take this proposal into consideration and really weigh the opportunity cost and risk of executing this proposal.

1.) Using the approximately $80k sent to the Founder’s Gnosis Safe where we currently store our staked eth and already owned WBTC, we will then purchase/convert the total amount of funds to Wrapped Bitcoin.

2.) Following the purchase of the 2 Wrapped Bitcoin with the necessary amount of Eth, our first targeted exit price is $80k+ to sell 1 WBTC and get back our initial investment for the DAO treasury.

3.)Following the sale of that 1WBTC, we will continue to hold the other 1 WBTC until we hit the price target of $100k per BTC MINIMUM. After the price target of $100k per BTC is met, there will be a further discussion as a community about how we want to move forward with the remaining 1 WBTC. Depending on the community vote, we will either sell the remaining 1 WBTC from this proposal OR we will keep holding till another specified price target is met (One established by the community).

What areas of the community does this touch?

FrankenDAO, General

Proposed transactions

Transaction #1

FrankenDAO sends 38.5 $ETH to 0xb7cCB0Ee5C06562282048F95e27C73b148Dcb6d2