Deep Work Treasury
Upon completion of each project, profits are immediately diversified based on the barbell approach. Assets dedicated to any activity and funding efforts within the organization.
80% BTC, 10% ETH, 10% SOL. USDC for operating costs for 1 month is kept in a separate wallet.
0x6a2137fbFc0F9AdB6261bf174E761ce233f631A4
Contains Ethereum-based assets.
For miscellaneous expenses, handled by Andrej. Assets in ETH or USDC on Ethereum mainnet and Arbitrum, can also hold BTC.
BTC Wallet
Contains Bitcoin, for long-term storage.
Operating Costs Wallet
For SaaS subscriptions and other monthly expenses.
Team Wallets
For all projects, money has to arrive before the work starts. We accept stablecoins on Ethereum mainnet (USDC, USDT, DAI) and ETH.
When a project is completed, the team is paid and the profits are sent to the treasury (see above).
The profit margin can vary depending on the scope of the project, client relationship, and project risk. It should be between 5% and 25% of the total cost.
0x693A7517ec0F6cc042205928c1D4a2E9AfF7339b
2 signatures minimum
0xf60716AcbCec42CCCf6430B0cbEb81F8ed6f1E44
1 signature minimum
Procedure
Allocation of Funds:
- Primary Allocation:
- 80% in Bitcoin: The majority of the funds should be invested in Bitcoin. This is due to Bitcoin's stability and dominance in the cryptocurrency market, making it a reliable store of value.
- 10% in Ethereum: A smaller portion is allocated to Ethereum, which is valued for its smart contract capabilities and potential for future growth.
- 10% in Solana: Similarly, Solana is included due to its fast transaction speeds and growing ecosystem, providing diversification within the cryptocurrency holdings.
- Internal Expenses:
- Any internal expense needs to be described and shared with the community. The purpose of the expense also needs to be clear.
Investment Strategy:
- Barbell Approach:
- The strategy involves balancing between high-risk, high-reward investments (Ethereum and Solana) and a stable, well-established asset (Bitcoin). This approach is intended to mitigate risk while still providing opportunities for returns.
- Averaging in/out:
- It’s impossible to predict the market, but we aim to average into investments on the rise of the market and average out in the bear market. This volatility is likely to persist at least over a period of 2-3 years from early 2024.
Treasury Management:
- Regular Investment:
- Funds should be allocated into the specified cryptocurrencies immediately after the completion of each project. This ensures that the treasury remains consistently invested and benefits from continuous market exposure.
- Operating Costs:
- A separate wallet should be maintained for operating costs, kept in a stablecoin like USDC. This ensures that funds needed for operational expenses are stable and readily available, avoiding the volatility of cryptocurrencies.
- Short-Term Holdings:
- Operational funds should be kept in USDC for a short duration (approximately one month) to cover immediate expenses, then converted into the primary allocation strategy if not used.