Proposal to set up a CTX trading pool on Uniswap and Aerodrome on Base

Proposals
1

Dear Community Members,

The Cryptex DAO proposes to establish a CTX trading pool on Uniswap and Aerodrome, specifically on the Base network. This proposal aims to address the community’s request for a decentralized exchange for CTX and enhance liquidity within the Cryptex ecosystem.

Problem Statement:
The Cryptex community has expressed a strong interest in having a CTX trading pool on a decentralized exchange, specifically on Uniswap and Aerodrome on the Base network. The current low liquidity on Sushiswap (on Ethereum mainnet), combined with the anticipated rise in Ethereum transaction fees, presents an opportune time to establish a presence on a Layer 2 (L2) solution like Base, where activity is growing.

Proposed Solution:
To address this issue, the Cryptex DAO proposes the establishment of a CTX trading pool on Uniswap and Aerodrome on the Base network. The process will involve the following steps:

Utilize 50,000 CTX from the DAO treasury.
Programmatically sell 50,000 CTX for USDC using market makers to achieve this.
After the DAO has enough USDC, use additional CTX from the treasury to match the pool (50%/50%) to seed both sides of the pool (CTX and USDC).
The new Cryptex Sub DAO (to be established) will launch the CTX/USDC trading pool on Uniswap and Aerodrome on the Base network and manage the liquidity in the future.
More info about the Cryptex Sub DAO: Create a Cryptex Sub DAO to manage liquidity provision

Benefits:
Setting up a CTX trading pool on Uniswap and Aerodrome on the Base network will provide several benefits to the Cryptex ecosystem, including:

Increased liquidity for CTX tokens, making it easier for users to get CTX and get involved with governing the Cryptex protocol.

Conclusion:
Establishing a CTX trading pool on Uniswap and Aerodrome on the Base network will address the community’s request for a decentralized exchange for CTX and provide numerous benefits to the Cryptex ecosystem. By selling 50,000 CTX from the DAO treasury for USDC and using the funds to seed the pool, Cryptex can enhance liquidity, decentralization, and exposure within the DeFi space.

We kindly request the Cryptex community to vote on this proposal and support the establishment of a CTX trading pool on Uniswap and Aerodrome on Base.

2

Dear Cryptex DAO members,

As mentioned in the previous proposal (Tally | Cryptex | Transfer assets for TCAP liquidity to the Cryptex Liquidity Management SubDAO), we will proceed with the second on-chain vote regarding transfers for liquidity management.

Due to recent developments, the DAO has received USDC from market makers who have exercised their options. This influx of funds enables the DAO to proceed with the establishment of the CTX trading pool without the need for programmatically selling CTX for USDC as initially planned.

To expand CTX liquidity on decentralized exchanges, the Cryptex DAO will allocate 50’000 CTX and 150,000 USDC from the Cryptex DAO Treasury . This amount will be transferred to the Cryptex Liquidity Management SubDAO .

The Cryptex Liquidity Management SubDAO is a decentralized autonomous organization within the Cryptex ecosystem that manages liquidity provision for the protocol. It operates independently from the core development team and is governed by a multisig wallet managed by community members. The SubDAO’s primary role is to make decisions related to liquidity allocation, token pairings, and adjustments, ensuring the protocol remains decentralized and responsive to the needs of its users.

We invite all members of the Cryptex community to vote on this proposal to start the transfer. Your participation is crucial in shaping the future of our protocol and ensuring its continued growth and success.

3

Vote is now live on Tally: Tally | Cryptex | CIP-30: Q3 2024 Funds for SubDAO operations (fix)

4

The Cryptex Liquidity Management SubDAO has successfully added the liquidity to Aerodrome:

Because of CTX price change, the SubDAO only needed 129,376.88821 USDC out of 150’000 USDC to add liquidity, the remaining 20,622.91179 USDC will stay in the multisig and are reserved for future proposals.

This step contributes to the growth of the Cryptex ecosystem and ensures a liquid market for CTX. Thank you for your support!