Paradox DAO will act as a venture capital thanks to the treasury raised with the bonds.
🏦 Reserve:
Approximately 1/3 of the Treasury will be the actual Reserve also known as RFV (Risk Free Value). In case the price of PRDX trades below 1 DAI, the protocol would use this reserve to buy back and burn PRDX. This has the effect of pushing PRDX price back up to 1 DAI.
The amount of assets backing PRDX will grow thanks to the bond sales and also from the profits generated with the Venture Capital investments.
💎 Venture Capital
Approximately 2/3 of the treasury will be oriented to feed the Venture Capital Fund.
The goal is to invest and return value to the treasury, which will provide higher support for PRDX token.
These investments will provide the protocol with the full spectrum of exposure to the space, ranging from illiquid venture capital assets (including early-stage tokens and multi-stage venture capital equity) to more liquid assets like BTC, ETH, and other cryptocurrencies.
<aside> 🔒 Notice that both the 🏦 Reserve funds and the 💎 Venture Capital funds will back the price of PRDX, the only difference is that the reserve funds are not used for investments and the venture funds will.
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A new model of investment and fundraising that allows investors to accessing new projects and coordinating using new formulas of collective intelligence.
In a Decentralized Venture Capital, everyone can participate, no matter how much funds are participating with. These investors become part of the community that supports the project not only with their funds, but also with their proposals and decisions.
It is a paradox that most of Olympus DAO forks are not actually functioning as a DAO, and only the core team is making decisions.
Paradox DAO is powered by a DAO. That’s where Paradox DAO name comes from.
<aside> 🔰 Every aspect of how this protocol operates will be decided by the users. Nothing will be done without a vote by the community.
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We understand that the perfect DAO architecture doesn’t exist...yet. But here’s is our approach.
The architecture behind the DAO mainly consist of: