Deep DAO

DeepDAO is based on a seamless integration of traditional finance and crypto networks. This allows the DAO’s software to run an attractive arbitrage strategy, capturing daily currency prices differences. These returns are then compounded for the benefit of DAO token holders. Digital currency is the future of money. The total addressable market is enormous. 

The expected returns are 2-10% per month. 

The DEEP token represents real-world cash flows, on-chain. It offers one of the highest yielding, and highest quality, returns in DeFi. And, one of the most solid collateral. Essentially it is tokenized TradFi, available in crypto for the first time. 

Expected returns compound over time. The token supply is capped.

DeepDAO harnesses the power of the crowd to make the returns even bigger for everyone. The DAO’s mission is to eat Wall Street hedge funds and make DAO token holders rich.

1. Deep is seamlessly integrated into the traditional and crypto systems. With Deep, currency can be dragged and dropped on- and off-chain in seconds. 
2. The TradFi-crypto integration allows Deep to capture currency price differences not usually available elsewhere. This is a result of cutting out middlemen (like banking and payment systems), delivering digital currency, and use of p2p networks. 
3. Currency returns are compounded, for the benefit of token holders. 

DeepDAO has access to most banking systems around the world, including Swift, SEPA, UK Faster Payments, Fedwire, ACH, AusPayNet, FPS (HK), SKN (Indonesia), IBG (Malaysia), EFT (Canada), RIX (Sweden), NICS (Norway), IMPS (India) and others. 

Deep DAO (via Fluid) also runs on Arbitrum and will expand to Ethereum Mainnet shortly.

Ethereum Mainnet and Arbitrum*. 

*Via the operating partnership with Fluid. DUSD - DAI pools are built on Balancer.

DeepDAO uses digital and traditional networks to capture currency price differences for token holders. Almost no one is integrated into these networks like DeepDAO and no one else applies this strategy. 

The currency markets are large. Foreign exchange volume was approximately $7.5 trillion per day in 2022 on a net-net basis*.

*Bank for International Settlements, 2022 Triennial Survey of turnover in OTC FX markets.

DeepDAO uses some of Fluid’s integrations for buying and selling currencies. Fluid is a financial super-app based in Switzerland that enables currencies to be dragged and dropped on- and off-chain from a bank account. DeepDAO can replace Fluid or add other partners. Fluid cannot provide competing services to any other entity or end the relationship with the DAO (only the DAO can end it).

DeepDAO token holders can decide on any future strategy, similar to an investment club. For example, DeepDAO might decide to organise investments in tech stocks, indexes, commodities, etc. These would probably be separate from, and additional to, the existing currency strategy.

You can use a referral code, if you have one.

No. Anyone can purchase tokens on the DeepDAO website without a referral code.

It’s straightforward - either enter it into the purchase screen in the Fluid app, or you can buy DEEP with a Web3 wallet, click "Add referral code", then enter your referral code.

DEEP tokens are designed to be composable throughout DeFi. You can also use them for borrowing on Bakery Finance (launching soon). 

Yes, DEEP token holders will get a future airdrop of BKR tokens, from Bakery Finance. 

Yes. Chartwell & Partners in Switzerland controls the operations on a monthly basis. There are no asset investments (like commercial paper, treasuries, etc) that have variable valuations, just simple currency. Currency is as reported by the partner banks (e.g. via Currencycloud). Financial statements will be audited quarterly by SIGTAX in Switzerland. 

It is actually profit-sharing from currency arbitrage, rather than yield. DeepDAO is integrated into the traditional financial system and also crypto, so we are able to take advantage of the difference between the official rate and the market rate in many countries.

DeepDAO sources currencies at wholesale market rates and (at times) uses digital rails and peer to peer markets to offer a much better rate to the user and captures an attractive spread for the DAO. DeepDAO also matches different currency flows, cutting out the payment system middleman. By reducing the (often grossly inflated) cost of sending money globally, we contribute to our mission of building a better financial model for a better world and also generating attractive returns for our users. And, like everything we do, it is open for everyone, not just the 1%.

All investments have risk and you should never invest more than you are prepared to lose.

DeepDAO’s strategy is designed to be lower risk. Besides some fixed costs, the DAO deploys funds to earn some of the difference between different currency rates, meaning the risk parameters are fairly limited.

It is more like USD > mint DUSD > DAI > Local currency through local partners or Fluid’s P2P market.

There are also other routes, involving purely fiat currencies. Fluid accesses FX at wholesale rates usually only available to the largest banks, giving it a price advantage.

There is also the pure crypto route: arbitraging our DAI – DUSD pool on Balancer. Often this provides returns of >1% daily.

DeepDAO compounds returns on a daily basis. 

Here are two guys who know a lot about compound interest;

"Compound interest is the eighth wonder of the world. He who understands it, earns it…he who doesn't… pays it"- Albert Einstein

"My wealth has come from a combination of living in America, some lucky genes, and compound interest"- Warren Buffett

The effect of capturing daily currency price differences is used by DeepDAO to compound returns for the benefit of token holders. This can be seen from DeepDAO models, below.

Minimalistic. DeepDAO token holders are in charge, but it is intended that the investment thesis is treated a bit like a constitution and not to be changed unless necessary. 

Many DAOs have low governance participation rates. DeepDAO is intended for token holders to actively accept the DAO’s strategy, but then the strategy should just execute. There is no core team, no overhead expenses, just a partnership with Fluid for operations. 

In principle, DeepDAO token holders can change anything. Fluid can be replaced and additional partners can be added. The DAO can also adopt other strategies.

The fee to Fluid is set at 2.5% of TVL (AUM) per year to maintain operations.

The incentive fee to Fluid is set at 30% of profits per year. The incentive fee is payable after the DAO has earned 10% on an annual basis. This means that Fluid will be paid 30% of the profits above a 10% threshold rate for facilitating the success of the DAO. 

For example, if DAO earns 25%, then the 15% above the threshold rate will be shared between the DAO (70%) and Fluid (30%). In this case, Fluid would get 30% of 15%, equal to 4.5%. The DAO would get 10% + 10.5%, equal to 20.5%.

No. The DAO just uses Fluid’s infrastructure and Fluid carries out the DAO’s strategy. 

Yes.

Yes.

No.

Yes, a governance forum is planned. DeepDAO is a bit like an investment club and the forum is intended to be a place to discuss executable ideas. 

No, because the DAO is just starting. There is a proposal and voting mechanism being developed. 

Membership in DeepDAO is an active function. You are not making a profit from the actions of others. You, yourself, decide on the actions of the DAO. 

That being said, after the initial decision to group funds to exchange currencies as principals, there isn’t much to do. The decision is then just put into action.

Some members have suggested meet-ups where Wall Street types are fed to pools of piranha in a James Bond-style movie scene, but this has not yet been approved by lawyers.

No. There have been some suggestions to incorporate the DAO as a foundation in Switzerland. DeepDAO token holders can decide on this in the future.

Yes*.

*Unless you are on a naughty list from the Swiss government. DeepDAO also does not accept users from all countries set out in Annex 5 of the Fluid app. See fluid.ch for terms.

You can buy DEEP tokens directly through the DeepDAO website with crypto, or through the Fluid app. DEEP will also be available on Uniswap.

DEEP tokens may be purchased by initial participants at $1 per token. The DAO intends to create a pool for these tokens on Uniswap after the public sale. At this time, the price of the DEEP token will vary according to demand between buyers and sellers.

DeepDAO intends to establish a pool on Uniswap, on Ethereum Mainnet. The pool that is planned is DUSD - DEEP. 

DUSD is Fluid’s digital currency, which is essentially real money, on-chain. You can connect your Web3 wallet to an account and drag and drop DUSD on and off chain. DUSD can also be easily converted to DAI and used throughout crypto.

Details of Fluid’s DUSD digital cash are set out below.

You can buy DEEP tokens with DAI, USDC and USDT.

Correct.

No. 

DeepDAO is owned by token holders and acts as a principal in simple currency exchanges. The DAO coordinates token holder funds, executes an agreed strategy based on software, and delivers the exchanged currency to token holders. The DAO does not act as a foreign exchange broker, nor undertake futures or other regulated transactions.

Yes. 

DeepDAO uses Fluid’s digital cash (and traditional currencies). These are available in 32 different currencies. On-chain, DeepDAO uses Fluid’s digital dollars (DUSD), which is exchangeable with other crypto. 

There is also the option to receive returns in all of the traditional or digital currencies offered through the Fluid App. DAO token holders can also spend the currency returns on Fluid Cards*.

*Fluid Cards are available to (almost) everyone globally. See fluid.ch for more details. 

Returns will be paid weekly. Note, you must stake your tokens to be eligible for the profit-share.

There will be a claims section on the DeepDAO website. Having a claims procedure allows token holders to have control. Token holders can decide when they want to take their profits, since this may have tax implications in some countries.

All of it, minus the fees to Fluid.

The returns for the DAO are not related to crypto at all. It is just that it is tokenized. The returns will come mainly from the difference between the official and the market rates for over 30 different countries that we are targeting.

A small portion does come from arbitraging the DAI – DUSD pool on Balancer. The profitability of the DAO is more related to currency differentials than crypto market sentiment.

They will be burned.

Yes, 15 million tokens were sold in a pre-sale (bonus included). These tokens have then been locked for the past several months. There was an uplift given to these early investors, of approximately 2x the purchase price. 

Of these tokens, approximately 78% are subject to a vesting period that starts on 1 February 2024 and then unlocks equally at the start of each month over the next 12 months. During this time, token holders benefit from returns and can vote, but may not sell their tokens into the pool. 

Informally, many of these pre-sale investors have said that they intend to hold the tokens for future currency returns and/or to convert the tokens into NFTs and stake them on Bakery Finance.

Officially, anyone can be a “member” of the DAO*. There is no membership fee. A big part of the DAO’s work is educational and we encourage everyone to understand more about how currency works, the benefits of compound interest, etc. 

However, only those who purchase tokens are acting as principals and pooling their resources to exchange currencies. We usually refer to these people as members.

*Since the DAO is open and permissionless, the concept of member doesn’t apply. The term member is used only for convenience. 

After the initial fundraise, you will be able to sell them on Uniswap. There is a two week lock-up from launch.

You can use a referral code, if you have one.

If you have a referral code, you can enter it when you purchase DEEP tokens. You will be prompted for a referral code at the time of purchase. 

Everyone with a referral code is eligible for a 5% bonus of DEEP tokens.

Yes.

Yes you can, staked DEEP tokens can be used as collateral on Bakery Finance. This can be done through an NFT mechanism representing the value of staked tokens.

Yes, that is the idea. DEEP tokens represent high-quality, real-world cash flows, tied to RWAs (Real-World Assets). They are designed to be amongst the best collateral in DeFi.

Yes. 

You can also use them for borrowing on Bakery Finance (launching soon). 

Other protocols may integrate DEEP tokens (or their NFTs) as well, permissionlessly.

Yes. 

DeepDAO and Fluid both intend to allow other protocols to use the infrastructure that has been built to integrate traditional finance and crypto. This is in development. 

Our vision is mass adoption of crypto. And high returns for DEEP token holders.

Bakery is a 1:1 borrowing-lending protocol focused on real-world assets. And a lot more. You can check it out here. 

You will be able to use our DEEP token as collateral on Bakery, as your DEEP token has a price floor (1 DEEP == x$ in the fund) you will be able to get up to 1:1 lending rate.

The DEEP token will be turned into an NFT representing your position in the arbitrage bot. No price fluctuations based on the DeFi Market, the NFT position is tied to the RWA in DeepDAO. You will be able to unlock the power of the arbitrage position while increasing your DeFi assets at a very low rate.

Deposit your DEEP as a collateral in Bakery, earn your nice APY, Borrow at a low rate DUSD against your DEEP with a price fluctuation protection, invest back your borrowing within DEEP or any DeFI product.

Example : 

• DEEP earning : 40%
• Borrowing interest rate : 5%
• DUSD re-investment APY : 40% 

Total earning: 75%, while the loan auto-repays.

Yes. You can follow Bakery socials for details.