DXdao should consider adding equity holding in DeepDAO to it's assets porfolio

dxDAO
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Hellow DXers,

What if, we find a way for DXdao to become the first totally ethereal and non-regulated DAO to have exposure to equity in a venture that has legacy equity structure as a foundation?

Motivation to invest in DeepDAO’s seed round

DeepDAO is building an important hub for data visualization, analytics, research tools, media and more.

Aggregation and discovery:
If we reflect on the development of the crypto space over the years, portals like Coinmarketcap, Coingecko, Blockfolio and others served as a one stop shot to address markets data discovery.

Services like Etherscan, Blockchain.info and others are indispensable and are a must have integration in almost every dapp or service used today.

Synthesizing and serving data that is originating from the blockchian is super important to drive growth and adoption, because verifiablity and accessibility are core principles of the cryptoeconomy and particularly the DAO space.

The Opportunity for DXdao

DeepDAO is currently in discussions with strategic investors, the present venture structure is traditional equity structure. The team is focused on the product and while we’re open to explore tokenized business models it isn’t the core important part decided to go with.

Today DeepDAO is serving as the “CMC for DAOs”. DeepDAO is expanding data capabilities and to analyze more protocols and provide even more insights.

The beauty of investing in DeepDAO is that considering getting backing and contributing to what would become the Bloomberg or LinkedIn of web3. In a future DeepDAO will be a hub that people can discover, interact and draw insights and share their on. this future will be a future where every organization, community or any commercial activity really will have a DAO component to it.

Call To Action

Lets schedule a dedicated DXventures call to consider the intricacies of such an exciting investment proposition.

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I like the concept. As shared in Keybase, I believe it is very hard for DXdao to “invest” in an entity, unless there are tokens the dao can hold immediately.
There could be some type of implied social contract, but that is a different approach then.
Did you have more specific ideas around how you could see this happening?

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Hey Sky, didn’t find your comment on Keybase. Indeed it would be a new concept to consider a DAO investing in an equity deal. This deal is going to be on a SAFE/T so obviously the scenario it turns to be tokens makes it easy to fit into current DXdao mandate, but I think it would be cool if DXdao would appoint some service provider or representatives as custodian of the investment holding. How does that sound?

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The mechanism for how this could happen is unknown. Given how DXdao has always and continues to operate, I don’t think the solution would be to just “appoint some service provider or representatives as custodian”.

I believe that DXdao would strive to accomplish a task like this in a way that maintain’s its core values and methods.

As part of this overall discussion, it would be great to figure out if and how this could be achieved. Are there any other example of scenarios like this, where a smart solution was found?

The work into finding a solution to this problem would likely benefit DXdao in the long run.

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The closest example I can think of is the dOrg BBLLC structure where the DAO is binded to a legacy nation state corporation. I was thinking that either DXdao votes to trust a service provider (simple, but require trust) or alternatively: We can explore setting up DXventure as DXdao’s alternative to dOrg’s BBLLC but for DXdao’s holdings as an asset management entity instead of a freelancer DAO.

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Regardless, I think having the ability for DXdao to invest as a VC similar to how The LAO and Venture DAO are operating would be a cool thing. I’d suggest exploring opening DXventure arm and deploy capital into a few promising deals that aren’t what we would otherwise be able to invest in purely as a builder driven DAO.

I’d be very interested in DXventure arm as an investors and as a venture builder. It would be ultra attractive for ventures to be backed by DXventure arm knowing they’re getting backed by a very active DAO that has an ecosystem coming with it!

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Thats interesting,like metacartel did.

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+1

I think either you find a way to allow entities without legal entity to invest or otherwise im with sky here, i dont think we find a representative/custody, unless theres a decentralized solution.

also, what about investing through metacartel?

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Yeah I understand the fully on-chain no custody appeal. It’s one of a kind and perhaps a DXventure arm should keep adhering to that indeed.

I think it’ll be very interesting to explore the formation of DXventure onchain investments team within DXdao.

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I think I figured it out. Maybe we can use NFT’s that DXdao can hold to solve this obstacle?

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Are you thinking of an NFT that represents shares/FE and is issued by the off-chain project as a proxy? That could be super innovative actually!

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Incorporate a Deep DAO subsidiary in Liechtenstein, hire a lawyer to tokenize the shares, and transfer the tokens to the DXdao treasury: https://medium.com/@philippsandner/liechtenstein-blockchain-act-how-can-nearly-any-right-and-therefore-any-asset-be-tokenized-based-389fc9f039b1#:~:text=The%20Liechtenstein%20Blockchain%20Act%20is%20a%20collection%20of%20new%20rules,to%20the%20Token%20Container%20Model.

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@exponent that’s how I would do it.

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Really cool innovation. Cheers for sharing. Might get to these things at some point.

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This is super interesting. Thanks for sharing @papa_raw.
Do you happen to know of any entities that have put this to work? That would make things far easier.

I think this may be that extra step that entities seeking investment from DAOs might have to go through. Hopefully, the process is quite simple.

It would’ve been nice if The DAO had led the way with this!

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No, I was approached by a group who wanted to do this, and they wanted the Lab to own the technical part of it, but the convo didn’t move forward.

A quick google search reveals some law firms that could basically do it for you though:

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