Hi All, Today I am here with my ideas to contribute to the Treasury with various incomes.
How does CityDao treasury generate income now?
- By Staking Ethereum
- Nft sales
- Ethereum buying and selling at certain periods
My proposal covers items one and three.
Before moving on to my opinion, as someone who has been actively trading in financial markets since 2013, one of the most important points for investors of companies or economic platforms is the health of their financial situation. This is the most important point not only in terms of investment but also for the future of companies and platforms.
To summarize the table of Citydao treasury since its establishment, based on the amount of eth in the bull period, the treasury capital was close to $ 8.000.000$ , and with the effect of mistakes and choices made at the wrong time, it is now at $ 2,500,000$, of which 1.000.000$ is cash.
The treasury’s income has not exceeded $50,000 for more than a year, the capital is at a constantly decreasing point and it does not have an income stream with a rising curve.
At this point, it seems that the Citydao treasury needs reform. For this reason, I would like to move on to my income-generating suggestions.
First of all, the amount of dollars held by the treasury must be reduced.
In a certain period of time, $400,000 will be used to purchase Ethereum.
The $1 million cash level for this will drop to $600,000 after the offer is accepted. However, the expectation of an increase in the dollar level along with the amount of Ethereum will be greater.
For Purchase and Sale, Tarkan submits a notice of intent to the Citydao treasury and council.
Procedures are initiated after obtaining the opinions of at least 4 council members. (Buying and Selling)
Purchases will be made on the first trading days from Q1 to Q4 (four equally). In case of sudden price increases in the market, the right to use the opportunity can be used to buy on the first trading day of the quarter.
Same day purchase for Q1 will be made once quote is approved.
Every Ethereum purchased will be staked on the lido platform on the same day. In each quarter after staking, the amount earned for council expenses and research and development is transferred to the wallet (new wallet or main wallet).
Since price change and interest rates vary, an exact figure cannot be specified, but the estimated staking income is expected to be between 13-17 Ethereum on an annual basis.
*Sales process: After the entire capital has passed, the first sale cannot be made below %50 of the purchase average.
The first sale amount cannot exceed 10%, and the last sale amount will be determined as the ceiling price based on the 500% level. Since the price cost is not yet clear, a total value of 1,400,000 USD or more is expected at this point, excluding Ethereum staking income.
Benefits to be gained with this CIP(Reform)
Financial Revival: Activation of the treasury, which has not had active income for more than a year
Alleviating the burden on the main wallet: Capital protection is ensured by creating income diversification of wallet expenses.
Aiming for a more decentralized citydao as the dependence on the dollar increases both inflation and political decisions.
Developing the citydao and increasing its visibility with more R&D and cultural events with the revenues generated. (competition, participation in meetings)
Long-Term Sustainability: Revenue growth and diversification can support the long-term sustainability of the treasury and fund CityDao’s future projects.
2024 will be the year of a stronger return to Ethereum for Citydao.
2024 Income - Expense balance will perform very well compared to the previous year.
The first sale decision to be at least 50% of the average price of the ethereum amount and to sell only 10% of the total amount were determined as difficult and difficult to manipulate targets for the C.I.P author.
Additional note: If the offer is accepted, the creation of a new multisig wallet will be healthier for the main wallet, as there will be more communication with new contracts. The discretion is left to the citydao council, the decision for the new wallet will belong to them.
The intellectual rights for this work will belong to Tarkan. And the commission fee will be 8% of all income earned.
UPDATE : The commission rate of 8% has been cancelled. The new request is $2,500 for 4 months and will be automatically extended if C.I.P benefits are seen to be provided. A 5% success reward will be given when a total capital of 1.5 million dollars is reached. Fees were determined by reviewing previous successful C.I.Ps.