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Advanced Treasury Diversification/Management
Crypto

Advanced Treasury Diversification/Management

Diversifying DAO Treasuries

Concept

An organization or protocol that takes an existing wallet or collection of wallets and builds a diversification strategy semi-programmatically each quarter.

Longer Description

Treasury management and diversification is incredible underwhelming and understudied in DAO operations. With extreme asset correlation in down (and up sometimes) times, and an increase of on-chain financial products, DAOs need to outsource (or properly source) the management of their treasuries in a far more advanced way.

Not only is this about managing individual tokens and diversifying/gaining yield on them, but also should be about implementing programmatic ability to do things like automatic buybacks of tokens at certain prices etc.

Other thoughts

  • There’s an easy way this becomes a services business, which is not compelling from a venture lens, however starting partially as “forward deployed treasury mangement” on the enterprise side makes sense.
  • Simple diversification strategies that allow for recurring payment due to quarterly re-balancing makes sense in addition to tiered pricing models across size of treasury and # of active vs. passive strategies implemented.
  • This could lead to a monetization strategy as a % of excess yield earned.

Comparable Companies

  • Llama
  • Friktion Vaults
  • Yearn
  • Hedgey Finance

Related Reading

  • This thread from @mhdempsey on treasury management
  • https://0xsmac.substack.com/p/treasure-whats-yo-pleasure?utm_source=post-email-title&publication_id=923451&post_id=86974769&isFreemail=true&utm_medium=email

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2026 Compound