🇫🇷 Disponible dans le 2ème post
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Proposal summary:

This proposal aims to establish a liquidity strategy for the REG token on Sushiswap v3, using concentrated liquidity pools. The objective is to improve the token's liquidity, thus facilitating purchases for future DAO participants and stabilizing the REG price.
Another proposal will be made to validate the position management committee, the composition.
This proposal therefore aims to validate the creation of the positions mentioned below, the implementation entrusted to RealT while waiting for the committee to be ready.
The first pool will be in USDC, other proposals can be made later to set up the same type of strategy for other stablecoins

Motivation:

Adding liquidity on Sushiswap v3 will improve the accessibility of the REG token, encouraging increased participation in the DAO. This strategy aims to support the growth of the RealTokens ecosystem by offering better price stability and facilitating transactions for investors.

Specifications:

Use of Sushiswap v3
200,000 REG to be deployed
Distribution of liquidity across multiple price levels
Safe DAO for liquidity management 0x0212B941Cb5c80c9FcDA00035D126Ac067169E72
Pool REG/USDC fee 1%

Context:

We propose using Sushiswap v3 for its concentrated liquidity pools feature. This platform will allow for strategic distribution of liquidity across different price levels, thus optimizing the efficiency of invested capital. The initial strategy consists of deploying 200,000 REG distributed across several price ranges.

Implementation steps:

Creation of a Gnosis Safe for liquidity management
Approval of the proposal by the OnChain DAO
Transfer of 200,000 REG to the management Safe
Creation of liquidity pools on Sushiswap v3 according to the following distribution:
- 100k REG between 1.88$ and 10$
- 10k REG between 1.88$ and 2.00$
- 20k REG between 2.00$ and 2.16$
- 20k REG between 2.16$ and 2.35$
- 50k REG between 2.35$ and 3.16$
Selection of the management team to be added to the Safe

The price ranges are subject to adjustment based on market conditions and REG price at the time of pool creation, as the DAO only puts REG into liquidity, the pools must be created above the REG price at the time of creation.

Team:

RealT: creation of a Gnosis Safe and positions
Realtoken DAO to manage liquidity with the Safe

The management team will be composed either exclusively of the REALT team, exclusively of elected community members, or a combination of both. The exact composition will be decided following a discussion on the governance forum before the onChain vote.

Budget:

The main cost is the allocation of 200,000 REG for liquidity
Transaction fees on Gnosis, for the creation of the Safe and positions (carried out by the REALT team)
A budget of a few thousand REG will be allocated to compensate the management team, the exact amount will be determined in a subsequent vote.

Financial implications:

This strategy involves using 200,000 REG from the DAO's treasury.
Potential revenues for the DAO come from trading fees generated by activity on the liquidity pools.
If the management team is compensated, managers could sell the REG
26.2% increase in the circulating supply of REG
Increased token liquidity, allowing for smoother transactions and reducing manipulation risks
Ease for newcomers and existing holders to buy the token to participate in the DAO
Progressive exchange of REG for stablecoin, allowing to feed the DAO's treasury

Roadmap:

Discussion on the governance forum - 7 days min
Safe setup - 0 day
OnChain vote - 7 days
Queue - 2 day
Creation of positions by RealT - 3 days

Objectives:

Facilitate REG purchases for newcomers and existing holders
Reduce manipulation risks
Decrease transaction slippage
Acquisition of stablecoin to feed the DAO's treasury

Success metrics:

Progressive increase in REG price
Increase in the total number of wallets holding REG
Increase in the average number of REG per wallet
Increase in trading volumes

Alignment with the mission:

This proposal aligns perfectly with the DAO's mission to manage the RealTokens ecosystem. It aims to improve the liquidity and accessibility of the REG token, thus strengthening the entire asset tokenization ecosystem.
Implementing a liquidity strategy will reduce the risk of manipulation and improve the stability of the REG price.
Setting up a management team will allow the community to take ownership of liquidity management, the life of the DAO.

Key terms:

REG: Governance token of the DAO
Sushiswap v3: Decentralized exchange platform with concentrated liquidity pools
Concentrated liquidity: Method allowing to provide liquidity in specific price ranges
Safe: Smart contract allowing to manage funds securely with multiple signatures
Slippage: Difference between the requested price and the actual price of a transaction

This proposal aims to strengthen the RealTokens ecosystem by improving the liquidity and accessibility of the REG token, while offering control and adjustment mechanisms for the community.

Points to discuss before creating the onChain proposal

Composition of the management team
- Determine if the team will be composed of REALT members, community members, or a combination of both
- Define the selection or election process for team members
Compensation of the management team
- Discuss the exact amount to allocate for compensation
- Determine the compensation structure (fixed, performance-based, etc.)
Potential adjustments to the liquidity strategy
- Discuss the relevance of the proposed price ranges
- Consider other possible distributions of the 200,000 REG
Frequency of reports and adjustments
- Define how often the management team should report to the DAO
- Discuss conditions that would trigger a new vote to adjust the strategy
Choice of trading pair
- Confirm if the pair will be REG/USDC or REG/XDAI
Initial duration of the strategy
- Determine an initial period after which the strategy will be re-evaluated
Procedure for managing positions in full stablecoin
- Refine the proposed strategy for positions that go to full stablecoin
- Discuss thresholds and timeframes for triggering actions
Security mechanisms
- Discuss control mechanisms to prevent abuse or management errors
Detailed success metrics
- Define quantifiable objectives for each proposed success metric
Communication plan
- Discuss how updates and performance will be communicated to the community
Exit strategy
- Define the conditions under which the DAO might decide to end this liquidity strategy

These discussions will allow refining the proposal, obtaining community consensus, and ensuring that all important aspects are taken into account before the final vote. This will strengthen the legitimacy and effectiveness of the proposal once implemented.

📍 CHECK-LIST: ( 🔲 : under discussion / ✅ : finalized / ❎: not applicable )
✅ Proposal Summary
✅ Motivation
✅ Context
✅ Implementation steps
✅ Team
✅ Budget / Allocation
✅ Roadmap
✅ Objectives
✅ Key terms