Polywrap Strategic Partners Proposal

Snapshot Link: Link

Summary

We propose that the Polywrap DAO fix the total supply of WRAP at 50,000 and sell 12% (6,000 WRAP) to strategic DAO contributors at an aggregate purchase price equal to 10m USD.

We propose to finalize these transaction terms in a Snapshot vote in order to complete the contemplated transactions as soon as possible, assuming the proposal is approved.

This proposal also ratifies the first of the token purchasers, who will be purchasing 1,800 WRAP for $3,000,000. There will be follow-up proposals to account for the remaining 4,200 WRAP.

Motivation

Over the past year, the Polywrap DAO has made tremendous progress developing the toolchain, growing the contributor base, and integrating feedback from a variety of stakeholders.

We are confident that Polywrap is on the path to becoming foundational infrastructure for bringing web3 everywhere.

This proposal seeks to accelerate our progress, while strengthening us as a distributed self-governing standards body.

Funds Usage

Sales proceeds will go directly to the DAO’s multisig and all WRAP holders may participate in directing the use of the sales proceeds.

We propose that sales proceeds are primarily used to grow our developer ecosystem and accelerate adoption of the standard.

Terms

Please ask for the link to the transaction documents in a private Discord chat.

4 Likes

A few questions:

  1. Other than WRAP tokens (which convey some governance rights), will the strategic partners gain any other form of control (i.e., the equivalent of a board seat in a typical corporation)?
  2. Once this sale is completed, will any of the new strategic partners become the largest token holder?
  3. If I understand correctly, the total supply of WRAP wasn’t previously fixed (i.e. new WRAP was created and issued as needed). What is the purpose of fixing the total supply of WRAP at 50k at this time?
  1. All WRAP-IOU token holders have the same rights within the DAO, no special privileges.
  2. No, this will be the largest purchase amount (1,800 WRAP-IOU), and you can see that there are others with more WRAP-IOU here: WRAP-IOU (WRAP-IOU) Token Tracker | Etherscan
  3. There was in fact a previous “total supply” that was agreed upon in the start of 2021, it is 20,000 WRAP-IOU. Details can be found here: https://github.com/polywrap/dao#token-distribution

NOTE: We have not minted 20,000 tokens yet, as we have been minting as we go, keeping in mind the total supply + distribution %'s shown in the document linked above.