DiveIn: GalleonDAO — A competent investment guild

GalleonDAO is a protocol seeking to supplement the scarcity of asset allocators in the crypto asset management space. In essence, Galleon binds competent asset managers and allocators who will research, curate, and implement structured products developed in-house or alongside third-party asset managers. The protocol is currently headed by Andrew, a long-time advisor to Set Protocol. 

GalleonDAO was created to respond to the shortage of capital allocators on Set Protocol. To properly appreciate the proposition of Galleon DAO, we need to examine how Set Protocol works. 

Set Protocol - An Overview

Set Protocol allows anyone to allocate capital in a trustless manner and then earn revenue from actively managing investment strategies. Set enables people to create products similar to index products in traditional markets in lay-mans terms. So imagine you wanted to invest evenly in the top 5 decentralized finance protocols; set allows you to bundle tokens of the top 5 protocols into one. Thus, you can then invest in one crypto asset that contains an equal quantity of the top 5 DeFi tokens. For example, the set included in the image below will comprise 40% Bitcoin, 40% Ethereum, and 20% Sushi tokens. Thus when you buy 100 dollars worth of the set, you get $40 worth of bitcoin, $40 worth of ethereum, and $20 worth of sushi tokens. 

 The ability to allocate resources in indexes and sets allows new investors to gain exposure to digital assets without the stress of researching individual tokens. Similar to how investors could gain exposure to the stock market simply by buying the S&P Index. 

For example, by buying the one unit of the Metaverse Index -

Source: Set Protocol

You own the following assets in the manner shown below.

Source: Set Protocol

Creating there must be a methodology and a lot of thought to make each of these sets. However, on Sets Protocol, few reputable asset allocators are designing these sets for investors to take advantage of, which is Galleon DAO's proposition. Therefore, to create a group of asset managers whose sole purpose will be to design high-quality sets for investors to take advantage of. 

Doubloon Token - The Governance Token of GalleonDAO

Between 1730 and 1770, the Spanish had a gold coin called Doubloon. The doubloon is now reincarnated, only that this time its primary purpose is to serve as the governance token of the GalleonDAO. With the doubloon, the DAO will implement an optimistic voting system that enables the asset management guild to churn out structured assets relevant to consumers quickly. In addition, holders of the doubloon token will enjoy a share of the revenues generated from assets under management. 

Tokenomics 

There will be a maximum supply of 100 million Doubloon tokens($DBL). However, there are currently about 22 million $DBL tokens in circulation. The token is presently priced at $0.16 per $DBL. Galleon DAO  did the seed round at $0.05 per $DBL. Below is a snapshot of the token distribution:

Source: Galleon DAO.

Weight Ranking 

Galleon DAO is a protocol that can become the cornerstone of index investing. Crypto investing for newbies is usually overwhelming and often confusing; thus, there is a need for structured, easy-to-access products that allow the seamless onboarding of capital into the crypto ecosystem. Also, as institutional investors deepen their usage of asset management protocols like set protocol, we can expect to see revenues flow to Galleon DAO. We feel the $DBL token can be a splendid investment as institutions rely on asset management protocols like Set, and we invite you to examine this investment opportunity. 

Worthy of Mention

In this week’s newsletter, we feel it is important to shine the spotlight on a protocol that we find intriguing. While this is not the core topic of this article, we think it is worthy of note and will like our readers to be aware of this beautiful protocol. The protocol in this newsletter’s worthy of mention segment is called Ichi. Look through, but do not FOMO. Remember, what goes up usually has to come down 😎