A new proposal to acquire 13.7M CLOUD from Sanctum's Community Reserve has been put up by DeFiance Capital (@Arthur_0x, @eugenegeu).
The proposed purchase is for 13.7M CLOUD at $0.12 (1.6M USDC).
My thoughts: First and foremost, this is a well-respected fund signalling confidence in @sanctumso and expressing confidence to buy in size. I highly appreciate that gesture from the Defiance team.
The Defiance team are long-term investors in the space and are very sharp. We respect them a lot. Defiance invested in Sanctum in 2021, and from what I understand, have been quietly accumulating CLOUD over time.
To add colour to this proposal: Defiance approached the team in mid-September. The team chose not to sell from the Team Reserve at the given terms, but wanted to bring this option to the community so they could decide.
Why did we bring this option up to vote? We want to set the precedent that CLOUD holders control not just the ability to emit CLOUD, but also to sell it for USDC. In so doing, CLOUD becomes more and more an "ownership coin", just like MetaDAO is today.
This is rapidly becoming the most-traded proposal on Sanctum, ever, which is very exciting. It is still a toss-up for now, with 70 hours to go. I believe this is a very bullish proposal that sets an awesome precedent, regardless of if it succeeds or fails.
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PASS: If the community accepts, then this sends an excellent message that liquid funds are willing and able to buy CLOUD from the Community Reserve. More funds will certainly come after seeing this precedent, which I regard as very bullish.
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FAIL: The community can decide that it would rather hold the CLOUD instead of sell (meaning that we believe CLOUD is undervalued at $0.12), and that is potentially bullish too, in a sea of coins that go to 0.
This is our first ever OTC proposal, and we are learning a lot about how to improve for next time. But this is to be expected: we learn and we improve.
Thank you once again to DeFiance Capital for being a trailblazer here and to our superlative Cloudfam community members for being the most engaged and earnest people in all of crypto.
Onwards and upwards!