For discussion around the Proposal to use DXdev MS to Exchange ETH to DAI for DXdao Treasury
This proposal is a request for $122,500 worth of ETH to be sent to the DXdev SAFE Multi-sig with the intent to exchange it to DAI and immediately return it to DXdao treasury.
At current price of ETH 1225 this would be 100 ETH
This amount will enable DXdao to cover at least a month of payments.
This will be the first experiment of this kind as just one method of getting USD-based stablecoins into the treasury.
The DXdev MS (3 of 5) is controlled by a set of active DXdao contributors who have significant REP holdings (that can be slashed by DXdao). This provides an additional safety mechanism if anything were to happen to the funds.
MS wallet: 0x5F239a6671BC6d2bAEf6D7Cd892296e678810882
There will be a plan to do some additional exchange requests to go inline with DXdao’s overall Treasury management strategy. Additional exchange proposals will be spaced out at least every couple days, so REP holders have the ability to downvote future proposals if necessary.
DXdao having USD-based stablecoins is important for DXdao monthly expenses and to remove much of the volatility around these actions. This experiment is just a small part of the overall strategy for DXdao to hold USD-based assets and to be used in addition to DXdao being able to do this directly using the coming Multicall functionality.
Proposal Request Summary:
Send 100 ETH to DXdev MS: 0x5F239a6671BC6d2bAEf6D7Cd892296e678810882
To be exchanged to DAI and returned to DXdao treasury.
Additional info and questions:
1) so the multi-sig would immediately exchange for Dai when it’s received?
yes, it’s not automatic, but the multisig holders will be aware of when the proposal will pass, and can be ready to exchange and return within a couple hours.
But yes, it will be done at then current market price.
Potentially in 1, 2 or 3 txns depending on if 1inch slippage makes a difference.
This is one drawback of this solution versus Member Balancer. This will take mkt price in 7-8 days.
Member Balancer can take mkt price RIGHT NOW.
but ETH price would be lower or higher in 7-8 days - who knows.
but if proposal passes, it will be done at then current price, with basically no waiting.