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Invest In A Project

Invest In A Project

In Vintage DAOs, investing in a project is done through an Investment Proposal. An investment must go through three stages: submission of the investment proposal, voting, and execution.

Step 1: Submit An Investment Proposal (By Scout)

This step is carried out by Scout. Any Governor in a Vintage DAO can submit an Investment proposal and become a Scout for this investment project. In this section, "You" refers to Scout.

You can initiate an Investment Proposal by clicking on Investment Proposal from the Management page.

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The Investment Proposal includes the following sections to fill in:

  • Project Info
  • Links
  • Investment
  • Escrow
  • NFT

Project Info

You can provide some information about the investment project in this section. This section is optional.

Item
Description
Project Name
The name of the investment project.
Round or Tag
Proposer can set the funding round or category label for the investment project.
Description
The description of the investment project.
Poster
The poster of the investment project.
Logo
The logo of the investment project.

Links

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You can also add links to provide more information about the investment project. This section is optional.

Investment

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Item
Description
Investment Amount
Investment Amount
Funding Currency
Default display the currency symbol of the fund.
Investment Receiver
The wallet address of the recipient of the investment funds.
Receiver ID
Investment Receiver's Profil3 profile. Used to check the correctness of the investment receiver address.

Escrow

If you are launching a token-based investment and the investee is willing to use the Vesting provided by DAOSquare Incubator to deliver Payback Tokens to the investors, then you can choose to use the Escrow. After you enable Escrow, you need to set up the Payback and Vesting functions. See Escrow to learn more about Escrow.

Payback

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Item
Description
Payback Token Address
A project Token provided by the Investee in exchange for investment funds.
Payback Token Currency
Symbol of the Payback Token.
Price
The price of the project token (denominated in the proportion of investment).
Payback Token Amount
The total amount of tokens that the investee needs to exchange in this transaction.
Payback Token Approver
The address where Investee approve the Payback Token for Escrow. [Note: This address does not need to be the same as the Investment Receiver's address].
Approver ID
Profil3 data of the Payback Token Approver. Used to check the correctness of the address.

Vesting

See Vesting for details on Vesting. The following is an overview of the parameters.

Item
Description
Vesting Start Date
Start time of vesting.
Vesting End Date
End time of vesting.
Cliff End Date
End time of cliff period.
Cliff-Vesting Amount
The percentage of tokens released to investors at the end of the Cliff.
Vesting Intervals
Period unit for releasing the tokens.

NFT

You can enable NFT for this investment. When the NFT function is used, the investment beneficiary is assigned an NFT to represent their investment benefit eligibility, and transferring the NFT transfers his representative's investment benefit eligibility.

See NFT for a detailed introduction to NFT functions.

When you are finished, click Submit button to complete the proposal submission.

Step 2: Start Voting (By Governors)

Once an investment proposal has been successfully submitted, it is ready for voting. A Governor needs to click "Start Voting" to open the voting period. Any Governor can do this. Before clicking Start Voting button, you need to check the following questions:

  • If the Voting period conflict with the Redemption or Refund period of the fund, when you click Start Voting, the proposal will fail.
  • If this is an investment proposal that uses Escrow, you need to check the Approve module to see if the Payback Token Approver has approved enough Payback Tokens. If it's not enough, when you click on Start Voting, the proposal will fail. Therefore, you need to contact the Approver and ask them to complete the Approve action as soon as possible.

If all is in order, click Start Voting button to start voting. When the proposal moves into voting period, any Governor of the DAO may vote. Check out Voting for more details.

Step 3: Execution

When an investment proposal reaches the end of the voting period, anyone can click the "Execution" button to execute the results.

If you click Execution and vote passed, the transaction will be executed:

  • Investment amount will be sent to the address of the Investment Receiver.
  • The Governor Fee will be sent to the Governor Fee's receiving address.
  • Scout Fee will be sent to Scout's address.
  • Protocol fee will be sent to the Governomy of DAOSquare.

See Fee & Carry to understand how fees charged.

  • If the investment uses Escrow, Vesting for the investment will be created and the Payback Tokens can be invoked by Vesting to release the tokens to all investors and possible relevant beneficiaries (e.g., Governors, Scout). See For Investor / Claim Vesting to learn how to claim Vesting.

If the proposal is not approved, clicking Execution will cause the investment proposal to fail and close.

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