PCV Guidelines - New Version

Hello Tribe!

After feedbacks from the community, we have a new and simpler version of the PCV Guidelines (ex-Investment Policy Statement).

All feedback is welcome as this document is a work in progress. We hope this could help community to have more clarity and convergence over potential next deployments of PCV.

To gather the community sentiment and priority regarding some PCV deployment options, we kindly ask to answer the poll below.

1. What would be your priority in terms of PCV allocation considering the following options (you can vote in two options):

  • Provide liquidity for FEI-stable coins pairs
  • Provide liquidity for FEI-WBTC pairs
  • Provide liquidity to FEI-DeFi Large Caps pairs
  • Generating yield with ETH (eg.: using Lido to stake)
  • Generating yield with other stablecoins

0 voters

2. Do you agree with a target allocation in stable coins between 10% and 30% of PCV with the objective to provide liquidity for FEI markets or generate yield?

  • Yes
  • Yes, but with a higher allocation
  • Yes, but I prefer an upper limit of 20%
  • Yes, but I prefer an upper limit of 10%
  • No allocation in other stable coins at all

0 voters

3. Do you agree with a target allocation in BTC up to 10% of PCV?

  • Yes
  • Yes, but with a higher allocation
  • No allocation to BTC

0 voters

4. Do you agree with a target allocation in DeFi Large Caps up to 10% of PCV?

  • Yes
  • Yes, but with a higher allocation
  • No allocation to DeFi Large Caps

0 voters

*We considered DeFi Large Caps, projects with more than than $ 1 bln of market cap.

3 Likes

Instead of an allocation to 2 segments “DEFI large caps” & mid/small, why not a position in DPI index? it has a large liquidity and gives a very good exposure to DEFI. It is market cap weighted with monthly rebalancing, so mostly composed of large caps and no work to maintain it.

1 Like

Thanks for the comment!

DPI is a great product when thinking only with the investment perspective. The advantage I see in buying DeFi Large Caps is to provide liquidity for FEI-Token pairs (FEI/UNI, FEI/COMP, etc). In addition, it could enable meta-governance, which would not be possible by holding DPI.

I’m converging to the view that PCV management should be run largely around on-chain data + (maybe) crypto crowd sentiment modelling and respective metrics — I’m moving towards Joey’s view of PCV as a special beast of its own, it’s not an investment portfolio/sovereign wealth fund/endowment/treasury and its risk management and composition should be treated accordingly in compliance with its purpose.

1 Like

There could be some great synergies to align ourselves strongly with a project like Index Coop, FEI could be a great liquidity source for their Index tokens and we can easily add them to the Fuse pool for additional leverage @Bruno

The PCV is a great advantage and also a limited resource, so we should try to optimize for the highest impact deployments in terms of FEI utility.

2 Likes

Yes, interesting view, I did not think by this perspective at the first moment. But, it is true, providing liquidity to FEI-DPI could be good to drive FEI adoption. It could be complementary of providing liquidity to FEI-DeFi Large Caps.