Summary
The purpose of this proposal is to:
- Approve partial treasury divestment from Delysium $AGI
- Update the use of realised treasury returns from liquidity placement activities
Proposal Background & Context
- Approve partial treasury divestment from Delysium $AGI
In November 2022 the Perion DAO invested 150,000 USDC into Delysium for 4,500,000 AGI tokens. As at 9 December 2024, 1,625,000 AGI tokens have vested to the treasury. With the current AGI price of $0.20 and a cost basis of $0.033 per token, this is a highly successful investment for the DAO.
At the time of the initial 150,000 USDC investment, Delysium was building a Web3 game that incorporated Artificial Intelligence (AI) agents. This aligned with the vision of the Perion DAO to support high quality Web3 games. Delysium has since pivoted to creating a blockchain layer purpose built for AI agents to exist and proliferate. While this pivot has been successful in achieving a high valuation for the AGI token, the Perion DAO is focused on investing in Web3 games and not AI, thus it is recommended to look for divestment opportunities.
With the current overwhelming price strength of Bitcoin and the crypto asset market, the Perion treasury needs to take advantage if AGI experiences even more price strength in the short term. The sale of the 1,625,000 vested AGI tokens will still leave the Perion treasury with significant exposure to AGI as the treasury will receive an additional 2,875,000 AGI tokens over the coming 2 years.
- Update how the treasury uses realised returns from liquidity placement activities.
In January 2024 through DM-001 the DAO approved the following:
- 60% of DAO of realised returns the treasury accrues will be reserved by the treasury to fund ongoing operations (to be used as per current operating procedures)
- 40% of DAO of realised returns the treasury accrues will be used to purchase PERC and ETH at market, the PERC/ETH will be added to the the Sushi LP pool and staked on the Perion staking platform
With the DAO treasury being utilised to support the continued development of XP.GG it is no longer a priority of the DAO to be allocating 40% of realised treasury returns to increase the amount of PERC/ETH liquidity in Sushiswap. Find more information about XP’s traction to date here: XP.GG Surpasses 20,000 Users — Data Overview | by Perion Labs. | Dec, 2024 | Medium
To achieve the long term vision of the Perion DAO, it is more important to continue to support XP.GG rather than increase the PERC token DEX liquidity. The XP.GG platform will be incorporating PERC utility in early 2025 aimed at incentivising users and increasing engagement across multiple channels.
Proposal Actionables
- Approve partial treasury divestment from Delysium $AGI
The Perion DAO gives the Treasury SubDAO subcommittee authority to facilitate the sale of the 1,625,000 liquid $AGI tokens plus any subsequent vestings into USDC over the coming 180 days.
Given that $AGI is most liquid on centralised exchanges, the Perion DAO will engage Flowdesk to carry out the sale on the most liquid venue available. This will incur a fee of 0.5%.
- Update the use of realised treasury returns from liquidity placement activities and asset sales.
Discontinue “40% of DAO of realised returns the treasury accrues will be used to purchase PERC and ETH at market, the PERC/ETH will be added to the the Sushi LP pool and staked on the Perion staking platform” on all asset sales immediately after the vote is passed.
Consequently, 100% of DAO of realised returns will be reserved by the treasury to fund ongoing operations in relation to the XP.GG platform.
Voting timeline
11th Dec’ 24: Feedback and amendments
14th Dec’ 24: Stage 1 vote
17th Dec’ 24: Stage 2 vote
Conflicts of interest
No conflicts are present at this time.
License
Copyright and related rights waived via Creative Commons CC0