Stacker Ventures & Fund 1 Are Live!
We’re excited to announce that Stacker Ventures and Stacker Ventures Fund 1 are live!
If you didn’t read our first blog, Introducing Stacker Ventures, go see what we’re all about!
In short, we are reimagining venture capital with a primary focus on launching and managing open access, community-led, blockchain-native funds. Structured as a DAO, Stacker Ventures initiates decentralized funds, accelerates portfolio investments through an involved community, and provides checks and balances to fund management. The DAO’s first fund is an expedited crypto-native fund that invests in up-and-coming projects.
The STACK token
STACK token holders play an essential role in governing the Stacker Ventures DAO and funds, as well as helping support and accelerate portfolio projects of venture funds.
As a STACK holder with interest in the sustainability of Stacker Ventures, token holders engage in (and/or get rewarded for) some of the following activities:
- Governance of the Stacker Ventures DAO
- Engaging in the governance of Fund 1
- Sourcing projects for investment
- Supporting fund investments by adopting, testing, contributing, sharing, etc.
Get STACK: Yield Farming & Participation Mining
The more open finance enthusiasts, builders, followers, and projects involved in the Stacker Ventures DAO, the better! So we made sure there were many ways to earn STACK!
A few ways to start earning STACK:
- Yield Farming with Alpha Homora on Fund 1 Commitments (View the current APY)
- Liquidity Mining: Got STACK? Get farming!
- Participation Mining in Fund 1 Portfolio Projects – We’re live! Portfolio project BeTheHouse launches participation mining promo
- Participate in Fund 1 (you don’t need to fully commit to earn STACK)
Check out the Token Distribution blog for more details on ways to get involved and earning STACK.
Stacker Ventures Fund 1 ($SVC001)
Fund 1 is the first fund to leverage the Stacker Ventures protocol and community, and relies on a v1 Stacker Ventures fund framework in addition to an integration with Alpha Homora.
Fund 1 is governed by a Fund Contract, audited smart contract logic that takes input from a Due Diligence Committee (who conduct due diligence and negotiations), Fund 1 investors (who can veto and dissolve the fund early), and the Stacker Ventures community (who source and accelerate quality projects).
Fund 1 Parameters
|Open Date||Fund 1 will be open for capital contributions on March 1, 2021|
|Close Date||Block 12346260 (~April 29, 2021*) or when Hard Cap is reached *dependent on average block time|
|Fund Lifespan||1 Year|
|Hard Cap||There will be a hard cap of $5m in “hard commitments” (defined below) for Fund 1. If the hard cap is met, soft commitments will have until the fund close date to withdraw from the fund. Otherwise, all soft commitments will be deposited into the fund automatically at the fund close date and locked. |
Note: in the case that a hard cap is reached and soft commitments choose to leave their funds invested, the total fund capital may be greater than $5m. After the fund closes, no more soft or hard commitments can be made.
|Incentive Structure||Management fee: 5%, paid to the Stacker Ventures DAO Treasury |
*minted at natural fund dissolution as SVC001 tokens. If dissolved early by investors, the total management fee will go to the Stacker Ventures DAO Treasury.
Fund 1 Asset Management
Fund 1 will be managed by a Due Diligence Committee, part of the Stacker Ventures DAO. The Due Diligence Committee will be responsible for managing deal flow, vetting opportunities, and passing proposals to the DAO Council for vote.
Fund 1 will kick off seeded with a gifted/bonus investment in the BET Gaming Network’s native BET token. We’ll share more details in the following blog!
In addition to the BET token investment, as part of the initial STACK distribution phase, 5% of the STACK token supply will accrue to Fund 1, claimable by investors after the natural dissolution of the fund.
STACK Rewards for Participants
There’s STACK to be claimed by anyone that commits funds to Fund 1, and Fund 1 itself has been seeded with a significant number of STACK tokens. The best part? If you’re not ready to fully commit, you can “soft commit,” reserving your place in Fund 1 while still earning STACK. You will still be able to withdraw before Fund 1 starts if you change your mind – and you can keep the STACK! Go to Fund 1.
Alpha Homora Integration and Yield Farming
“Yield! And all farmers were cast under her spell.”
Fund 1 is focused on investing in early stage DeFi projects, so we built in a way for investors to earn interest during the Fund 1 contribution period, and for Fund 1 to earn interest on undeployed capital!
And in addition to the interest from Alpha Homora, investors will earn STACK tokens for committing capital to Fund 1 according to the following multipliers:
4x – Users that deposit directly into Stacker Ventures Fund 1 (‘hard commitment’) will receive a 4x multiplier on STACK rewards while securing first access to the fund.
1x – Users that ‘soft commit’ to the Stacker Ventures Fund 1 will receive a 1x multiplier but will be able to withdraw until the Fund 1 closing date.