Proposal #16 BUY Creepz Overlord (Genesis) Assets

PROPOSAL: [BUY][up to 25 ETH] Creepz Overlord (Genesis) Assets

This Proposal is to enable Signatories to use up to 25 ETH to acquire Gens between now and November 15, 2023 (the “Time Period”). This move aims to attract fresh Overlord community members into the DAO and amplify our influence. By applying buy pressure to the floor, including in the form of WETH bid walls, we can show new Overlord members that haven't heard of the DAO our commitment to the Overlord ecosystem and help stabilize floor prices before team launches upcoming products. This action also echoes our overarching objective to see the Overlord brand succeed. Guidelines for Signatories:

• The goal is to purchase through DCA throughout the Time Period. This would reduce the risk of being front run by traders or creating artificial price impacts that reduce our purchasing power, while also increasing the amount of gens that can be purchased through the allocated funds.

• Our target should be to acquire 25 gens or spend 25 ETH, whichever comes first. There must be almost a full emphasis on WETH offers below floor, more specifically with 1-3 active WETH offers on OpenSea and Blur at all times. Offers should be in the range of .05 below floor and not less than .10 below floor, but this is not absolutely mandatory and signatories shall have the discretion to make pragmatic adjustments. There should be an effort to be the top offer by .01, working within the parameters contained herein.

• Direct purchase from exchanges (i.e., not bids) may be considered but require a full vote of the Admin team (signatories + advisors) to determine that the purchase should be made. Direct purchases may only be made after 24 hours of no offers being accepted from DAO bids on OpenSea and Blur.

• Over the first month of the Proposal being live we should not purchase more than 1 Genesis from a given holder (across wallets), unless approval has been obtained from holders via a Discord vote first (100 positive votes for the motion to pass). This removes any risk of conflict and protects against reputational risk. This restriction does not apply to WETH/collection offers since the eventual seller is not known at the time of bidding. Although DAO signatories and advisors must declare any conflicts of interests to the rest of the Admin team, the emphasis will mostly be on WETH offers, which would diminish the chance of any conflicts of interests.

• The goal is to acquire based on price, not rarity in order to acquire as much volume as possible. Signatories will aim to acquire at least one purple Genesis.

• The target is to average 0.8 ETH per Genesis (less where possible) and we will not pay more than 0.85 ETH per Genesis. Should the floor rise significantly we will not chase the new floor price unless another vote is put to the DAO.

Pros

• We can expand our holdings by up to circa 25% or more without fully depleting the treasury.

• Increase $token allocation, which can provide DAO with a newly flush treasury for future endeavors.

• We provide visibility to the DAO to new holders of Overlord.

• We are not competing with organic new holders, or pricing out new holders.

• Provide floor support and buy time for the team to deliver upcoming products. If the floor rises we benefit through our existing holdings.

• Re-energize the DAO with new ideas and holders that can lead to interesting use of IP and other benefits.

Cons

• This increases the risk that we need to sell Genesis Creepz in order to fund unforeseen operational costs.

• This reduces our optionality and flexibility to take advantage of other opportunities (for example new hero collection(s)), although the DAO will already be minting its runes.

• Possibility of being front run.

• This use of funds reduces the hedge that we have where Genesis Creepz remain at the same $$$ value while ETH runs to a higher $$$ value, a scenario that would increase our buying power. The Proposal carries risk with it in general. Broadly speaking it increases the likelihood of selling for funds later. The DAO has no income generation so if funds were required for any reason we would sell to use. It also removes a small % hedge we have against a rapid run in the ETH price with a repricing of NFT floors. Some of the cons herein are mitigated due to increased $token allocation from additional gens.