Magnet DAO Docs
Innovation Fund
Magnet DAO is developing an advanced crypto incubator β€” the goal is simple: cultivate, incubate, and invest in a variety of protocols under the Magnet DAO name.
Magnet DAO aims to utilize a small portion of this treasury to fund the innovative development of new protocols, as well as financially supporting and incubating new projects. Magnet DAO’s treasury will thus have investment exposure to projects in their earliest stages, delivering unmatched upside which can result in explosive growth. All this, while only allocating 10% of the treasury, so even if some projects are unsuccessful, 90% of the treasury is intact, providing a floor value for our token. The DAO committee will govern the use of the treasury set aside for new projects, deciding which types of projects to invest in as well as allocated amounts. The Magnet DAO team will also incubate these projects to ensure overall success, and our community will play a significant role in helping our incubated projects scale.
The first protocol that will be built is a native DAO tooling interface, which will be used for Magnet DAO. We want our governance system to be as smooth as possible and believe it is essential for us to develop a user interface that is seamless to use so that all token holders (members of the DAO) can have an impact. We intend to license out this tooling to other DAOs in the future.
Given that the incubation is an innovative, never-before-seen core component of Magnet DAO, a deep dive into the concept is only justified. Magnet holders receive the following benefits from this model:
β€’ Diversified treasury β€” a small, but important, level of exposure to projects that can yield explosive growth and value creation
β€’ Accessibility to investments that are typically only available to Venture Capitalists and Angel Investors
β€’ Early exposure to new protocols, without the arduous process of searching and filtering through thousands of dead-end projects. The DAO / core team will be building these projects ourselves and helping incubate projects that we believe in, thus increasing the probability of success β€” all while at the earliest stage of investment
β€’ Community network effect β€” as we develop and incubate new, innovative protocols, our community of token holders will play a significant role in helping these projects gain recognition, traction, and usage. On top of this, the DAO will aim to work on projects that are highly synergistic. We expect our $MAG token to play a significant role in allowing holders to participate in the growth of upcoming projects as well
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