Short Term Treasury Diversification

Finance Treasury
19

This :point_up: discussion has been very helpful.

Iā€™m parroting :parrot: back in a way that makes sense in my brain. With no intent to misconstrue:

Problem: The Index Coop Treasury is invested only in INDEX. Today, INDEX is a volatile asset. This threatens long-term Coop sustainability.

Solution: Purchase $200k ETH from the treasury committee wallet using approx. 8000 INDEX tokens

Why:

  1. To prepare for implementation of the smart treasury
  2. To reduce the volatility of Index Coop Treasury holdings
  3. $200k is 10% of the available market liquidity for INDEX tokens, the maximum we can sensibly trade over a period of a few days.

How: A mixture of OTC and market selling

Immedite Effect: After purchase, the Treasury Committee Wallet will hold approx. 14,000 INDEX tokens.

Background:

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