We should only buy it when it is at a favorable price so the dao can later re sell it at a higher price ifanythign but should really diversify to other non spl assets to ensure the dao can last and eventually pay distirbutons and grow that into a cash cannon to distirbute or retain for activities that add value only to the game for things that are important or mostly in monitary value to futher strengthen the dao until its basically a endowment with so much cash flow it can pay distirbutions and fund development etc and be in a very strong diversified postion instead of all in spl assets which is fairly risky. We deff need to get cash flow coming in and put are assets to use and that would increase the unit price bc ppl would see a point in owning it as it would show a path to it providing serious cash flow at some point.
You are viewing a single comment's thread from:
Perhaps it should be set as a stabiliser, much like the HBD stabiliser.
Agree we should only buy DEC at favourable prices when it concerns the DAO, but using the DAO as a failsafe for DEC/PEG will give bad actors a benchmark to work with. That is in essence what the proposal is trying to do and in a bull market would be a safe bet. Your ideas are warranted but that is not what this proposal is about. We are not in a bull market and bad actors will exploit the failsafe of this proposal until it breaks. Then we go down due to the overcreation of DEC through SPS burning and buy-resell from bad actors outside of market demand. 500k is alot of money with even more SPS still to be minted and once we break it, we end up devaluaing the DAO and relying on playerbase to once again fight through natural demand to slowly creep back to peg again...This may not happen immediately and maybe land staking would delay such effects but outside of a bull market we will place a huge risk against a predicatable tumble and that is a risk anyone with meaniful investment should not entertain.