Idea for discussion: DXventures
DXdao is a decentralized collective that builds and governs decentralized products and services for the world. In this process, DXdao strives to use unstoppable, decentralized technologies that allow it to operate and govern while maintaining its core values.
During this journey, DXdao often encounters situations where the tool or service needed may not exist. In this scenario, DXdao is often exploring what is possible, what can be built, and who can build it. Sometimes, DXdao is able to fill the need itself, and other times, DXdao hires someone to build what is needed. And finally, there are times when these needs remain unsolved.
For this reason, DXdao is always looking for projects and teams that are building products that fill these needs and will be important in a decentralized world.
Today, DXdao has the opportunity to accelerate the work being done in this field, and would like to present the idea of DXventures.
Introduction of DXventures
DXventures is a focused, internal investment fund to seek out and invest in promising projects that are solving the pain points of decentralized organizations. The problems that DXdao needs solved are the same problems that all DAOs will likely face. If we believe that the future will be full of these types of organizations, then we probably also believe that teams building solutions to these problems are also likely good investments.
Why DXventures is important for DXdao
For the past couple months, the DXdao community has been actively discussing the topic of “How does DXdao collaborate, incubate and partner with entrepreneurs, projects and communities?” often as part of the DXbiz Weekly Meeting and in discussion channels.
DXdao is already having conversations with a few projects about funding needs to accelerate the progress of those projects.
DXventures is a way to formally establish a program within DXdao to pursue these opportunities.
DXventures will also be a beneficial addition to DXdao’s use of its treasury, becoming a key part of its diversified holdings.
DXventures is also a great way to create deal flow for Mesa and Swapr. You can image a clear path for ideas to become revenue generating entities:
Pain point for decentralized org
Team with idea to solve pain point
DXventures provides seed funding for team to build out idea
Solution gains traction (and is used by DXdao)
IDO on Mesa for token sale
Swapr liquidity for secondary trading
Further relationship with project
Proposed Structure for DXventures
This post proposes an initial structure for DXventures.
DXdao would commit and earmark $1m of the treasury to be used for DXventures.
DXdao would seek out opportunities to invest up to $100k each in projects seeking seed or growth capital.
DXdao would remain flexible when it comes to the terms and structure of these investments. If the project has a token, there could be a funding-for-tokens exchange. If no token exists, there could be an on-chain agreement.
To help mitigate risks, a staged funding ladder where the investment happens in stages could be implemented.
DXdao exists as a global on-chain collective, and new ways of interacting and investing in organizations will likely have to be created.
Opportunities for DXventures
Question: What types of projects will DXventures be looking to invest in?
Answer: Projects that are creating things that DXdao needs!
- Decentralized Medium
- Decentralized payroll
- Decentralized key management
- Decentralized node operation
- Decentralized repository
- Decentralized code collaboration
- Decentralized …
- Other (probably decentralized) cool ideas!
Community discussion, improvements and feedback around idea
Launch DXventures to the world
Launch with a couple initial investments