Shutter DAO 0x36 Proposal to Launch a Liquidity Bootstrapping Pool on Fjord Foundry

Voting ended about 2 years agoSucceeded

Status: Snapshot Vote Created

Forum Proposal Link: https://shutterdao.discourse.group/t/proposal-to-launch-a-liquidity-bootstrapping-pool-on-fjord-foundry/200

Forum Proposal Creator: Sausage Doge - Product Lead @ Fjord
Forum Proposal Created: 23 Jan 2024

Snapshot Vote Creator: FishDAO

Snapshot Vote Created: 26 Jan 2024

Summary

Launch a Shutter Token (SHU) Liquidity Bootstrapping Pool (LBP) on Fjord Foundry in mid-February 2024

Proposal

The Shutter Network community recently deployed Shutter DAO 0x36 and Shutter Token (SHU, 0xe485E2f1bab389C08721B291f6b59780feC83Fd7).

If/when SHU is transferable, it will be beneficial to a) employ a proven price discovery mechanism and b) to aid in the creation of liquid markets so Shutter Network community members can buy and sell SHU in exchange for other assets in trading pools on decentralized exchanges (DEXs) and/or centralized exchanges (CEXs). Trading pools require at least two assets: SHU and another asset - commonly USDC or ETH. Shutter DAO 0x36 is currently not able to set up trading pools because it currently holds SHU, but it does not hold significant quantities of any other asset.

Launching a Shutter Token (SHU) Liquidity Bootstrapping Pool (LBP) on Fjord Foundry would enable Shutter DAO 0x36 to acquire an additional asset in a transparent and decentralized manner. Launching the LBP in mid-February 2024 would align well with the timelines of Shutter DAO 0x36 and the Shutter Network community, and would capitalize on the current high levels of activity in the broader web3 space.

Fjord Foundry believes an LBP is a perfect fit for the Shutter DAO 0x36 because it is aligned with the mission and values of the Shutter Network community for several reasons:

An LBP enables a safe, neutral and market driven open price discovery mechanism,
An LBP opens up participation in the Shutter DAO 0x36 to a wider, more diverse group of people, and
An LBP is an on-chain mechanism which can be triggered via an onchain DAO proposal.

Fjord Foundry

Introduction

Fjord Foundry is a community-focused platform that specializes in connecting innovative projects with engaged backers. Fjord Foundry offers a variety of token liquidity and price discovery methods, including the most popular and well-renowned method---Liquidity Bootstrapping Pools (LBPs).

Fjord Foundry is built on the principles of fairness and transparency. Fjord Foundry's mission is to 1) democratize access to early-stage opportunities for their community of backers, and 2) provide projects the means to bootstrap liquidity in a seamless and straightforward manner.

For both backers and projects, Fjord Foundry provides an all-in-one environment geared towards early-stage ideas. Backers can explore a selection of early-stage opportunities that resonate with their passions and beliefs. Projects can focus on what truly matters---building out their vision and generating liquidity for decentralized exchange trading.

Fjord Foundry serves at the inflection point where backers and projects engage, collaborate, and grow together.

Proven Success and Expertise

Fjord Foundry boasts a significant track record, having assisted over 500 teams to bootstrap nearly USD $800 million in liquidity. This success is a testament to their expertise and understanding of the market. Additionally, Fjord Foundry's strategic partnership with Balancer amplifies our offerings, merging innovative liquidity strategies with effective token launch practices.

Flexible, Accessible, and Compliant

Fjord Foundry policies are attractive: no upfront fees, and capability to block specific countries to ensure accessibility and regulatory compliance.

Fjord is designed to be user-friendly, inviting broad participation from backers across the spectrum.

Comprehensive Advisory Support

Fjord Foundry is able to offer tailored advice to the Shutter DAO regarding LBP setup and execution. Their expertise in pricing strategies, liquidity management, and community engagement is geared towards optimizing token launches.

Ideal for DAOs

Fjord Foundry's approach is ideal for Shutter DAO because it is centered on transparency and community, and it embodies the principles of decentralized governance.

Context

A Liquidity Bootstrapping Pool (LBP) is a revolutionary approach to facilitate fair and transparent token launches. It operates on a high-to-low pricing mechanism, akin to a Dutch Auction, where prices start high and decrease over time. This mechanism is a strategic choice by project and LBP creators to mitigate the influence of sniper bots and large investor (whale) manipulation. Participants have the opportunity to engage in community-driven price discovery, buying tokens at a price point they find equitable. LBPs represent a significant advancement in creating a balanced and inclusive environment for token distribution.