💴Monetization

Algo Capital DAO has devised multiple strategies to increase its treasury balance over time

1️⃣Acquire liquid listed / pre-sale tokens at low cost base (sweat equity)

2️⃣Actively managing our treasury (staking, hedging, trading, investing)

3️⃣Producing & selling professional research (NFT SaaS model)

4️⃣Sell internally generated new primitives as whitelisting

DETAILS👇

1️⃣ Acquisitions

Swapping our private $ALGO tokens for ones that are already listed or about to hit the market gives us a head start with liquidity. This means we get to enjoy the benefits of being in the public markets early, but giving us some room to build up our traction before we go public. This strategy is all about setting up the DAO treasury for a bigger return down the line.

💡Think of it like PIPEs in the traditional finance world—where private equity funds buy up stakes in public companies.

By picking up projects at a discount and then giving them a boost with our network of partners and investors, we’re positioning the DAO for better returns on these token acquisitions and a liquidity event in less than 12 months.

2️⃣Active Treasury Management

Having the liquidity at hand to reinvest following a full or partial exit, will give the DAO firepower to diversify into other monetization strategies or buy some protection.

There are infinite ways to monetize a treasury, here are some simple examples:

  • Stake or lend some capital into DEXs or Lending protocols like AAVE for APR

  • Leverage up the DAO balance sheet in opportune times to make acquisitions or investments

  • Become a staker in a remunerative L1 chain

  • Set-up automated trading strategies implemented by the community

The DAO's community will be able to decide and vote on the best allocations.

3️⃣ NFT SaaS model

The DAO treasury will also receive cashflow in stablecoins (DAI) thanks to the sale of NFT passes for accessing our internally generated research products.

Below a breakdown of the different prices and subscriptions available:

The DAO plans to launch marketing campaigns to promote these products and there's an on-going airdrop to giveaway some free subscriptions for the early participants.

We're anticipating strong demand for these products since the crypto market is heavily trader-focused, and we foresee a low churn rate because we're really confident in our ability to build trust swiftly through our product's performance.

If this NFT SaaS Model hits the mark, it could lead to significant cash flows in DAI, which the DAO could then use for further acquisitions or for staking/lending to earn yield, depending on the situation.

COLLATERALIZATION

The value of the $ALGO token will be underpinned by the total portfolio value of tokens our DAO manages to acquire over time.

So, even as a private token and despite its illiquidity, we expect it to achieve a higher valuation. Additionally, by consistently generating and increasing cash flow in stablecoins through the DAO-s research products, the $ALGO token's value is further protected against downside.

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