Two wild ideas for your consideration:
Idea 1: Coordinated DPI Ecosystem Treasury Diversification
File this under longest-of-shots, or shared-pie-in-the-sky . . .
If there were an appetite among all or most of the component DPI protocols/DAOs to diversify their treasuries at the same time using DPI, the Coop could facilitate a multi-token swap whereby each DAO sends their native governance token to a contract (in proportion to % allocation within DPI), and (once all are in) it would mint and return a commensurate amount of DPI to each DAO. This solves the problem of placing downward pressure on token prices by swapping individually.
- Would need to buy tokens for any non-contributing DAO using the contributed gov tokens - complicating the transaction should not all DAOs be on-board. A critical-mass of the large component DAOs would need to participate to get over 90% participation by MC (UNI, AAVE, MKR, COMP, SNX, SUSHI, YFI).
- Getting some type on consensus on the amount that each DAO would be willing to contribute would be a cat-herding process that could break down pretty easily; however, because of the way DPI allocates (by MC with a fixed cap) the amount that each would need to contribute breaks down pretty nicely among the components:
- By way of example, If UNI were interested in a $100MM swap, MTA’s equitable share would be ~$500,000. Given the size of most treasuries these should be be relatively easy lifts for those protocols and most in-between . . . and would equate to a $425MM increase in DPI AUM, or over 300%.
- There’s a lot to consider here, but if the collective appetite exists a process could be roughed out to determine allocation amounts and the rest is just a math problem.
- This could be considered for MVI components as well.
Idea 2: Index Cooperative Treasury Swap Desk
I believe The Coop is uniquely positioned to spin-up a treasury swap desk to facilitate DAO-to-DAO (D2D) treasury transactions (direct treasury swaps). I think that a DAO-run initiative would be preferable to say an off-chain market maker or OTC desk, and The Coop likely has more D2D relationships than most other DAOs.