L

LibCon

Keep it simple, stupid.

Short Introduction to the Citadel DAO

Tips: This post is organized in a slideshow style.

How to be the largest Bitcoin holder?


How to be the largest Bitcoin holder, together?


The largest so far except Satoshi

  • Luna Foundation Guard: LFG
  • MicroStrategy

The largest so far except Satoshi

  • ~~Luna Foundation Guard: LFG~~
  • ~~MicroStrategy~~
  • Citadel DAO

What's Citadel DAO?

Citadel is a treasury DAO aiming to be the largest community owned Bitcoin position in the world.

The treasury and protocol will be governed by the CTDL token, with a predominant Bitcoin treasury actively earning yield and shared with long term CTDL holders.


What's Treasury DAO?

DAO's Treasury -> Treasury DAO

  • BitDAO
  • AladdinDAO?
  • OlympusDAO (largest so far?)
  • ...

What's Governance Token?

  • for governance (UNI/ENS)
  • for monetary incentives (CRV/CVX/BAL)

https://snapshot.org/favicon.png


How it works in a nutshell?


Treasury Assets

  • Bitcoin (main target)
  • Other yield influence assets (e.g. CVX and Badger) for boosting yield

Mechanism

  1. Swap Bitcoin or yield influence assets for xCTDL (interest bearing Citadel) at a discount price
  2. Lock xCTDL for 21 weeks to receive a boost weight in CTDL emissions and other earnings sharing

Three Steps

three steps


Basic Operations

swap page


Explain Like I’m 5!

Bond 🏛️ (4,4) --> Lock 🔒 ve(3,3) --> Breathe! 👃🤑


Explain Like I’m 5!

Bond 🏛️ (4,4) --> Lock 🔒 ve(3,3) --> Breathe! 👃🤑

TLDR: It looks like the OlympusDAO with treasury assets focusing on BTC and putting assets into badger or other yield protocols.


Token in Different Forms

  • CTDL
  • xCTDL
  • vlCTDL

CTDL --(stake)--> xCTDL --(lock)--> vlCTDL


What Matters Most to a Treasury DAO?

  • How to make treasury grow fast?
  • How to maintain sustainable yield?

How to Make Treasury Grow Fast?

  • A successful launch
  • An attractive yield

How to Maintain Sustainable Yield?

  • Accelerated treasury growth
  • Good tokenomics
  • Good yield strategies

Target APR

target APR


Yield Strategy Example

yield strategy example


Tokenomics


BTC / ETH / USD


CTDL Emissions & Supply Curve

each epoch is 3 weeks


CTDL Emissions

emissions


CTDL Supply

supply


Elastic Emissions

CTDL emissions are distributed to

  • locked CTDL, staked CTDL
  • Treasury Funding

based on the percent of supply staked and the current Market Cap to Treasury ratio.


Emissions Split Example

Emissions Split


Rewards for vlCTDL and xCTDL

  • vlCTDL holders: CTDL APR, strategy yielding BTC, and bribes

  • xCTDL holders: CTDL APR


Initial Allocations


Treasury Strategies


Citadel Strategy #1: Convex + Badger

https://thecitadeldao.medium.com/an-insight-into-citadeldao-treasury-strategies-aa2456e3bba1

yield strategy 1


Treasury Yield Policy

  • Funding Revenue
    • 10% to holders of vlCTDL
    • 10% to the DAO
    • 80% to the Treasury
  • Treasury Yield
    • 50% of yield to holders of vlCTDL
    • 50% of the yield will be used for auto-compounding treasury positions

https://thecitadeldao.medium.com/an-insight-into-citadeldao-treasury-strategies-aa2456e3bba1


Citadel Initial Sale Parameters

https://thecitadeldao.medium.com/citadel-initial-sale-parameters-8bec5c957066


Partners

  • Alchemix
  • Convex Finance
  • Frax
  • Jones DAO
  • Redacted
  • Ren Protocol
  • Tokemak
  • Tribe DAO

Citadel x Badger

Citadel is a sub-dao of Badger.

badger in citadel


BadgerDAO

https://rekt.news/badger-rekt/

badger rekt


Code

https://github.com/Citadel-DAO/citadel-contracts

BrickedStrategy.sol
CitadelMinter.sol
CitadelToken.sol
Funding.sol
GlobalAccessControl.sol
Importer.sol
KnightingRound.sol
KnightingRoundGuestlist.sol
StakedCitadel.sol
StakedCitadelVester.sol
SupplySchedule.sol
interfaces/
lib/
mocks/
oracles/
test/

Discussion

  • Pros and cons
  • APE IN or NOT
  • Potential Risks
  • Valuation of CTDL token
  • TVL in initial sale (prediction)

Reference Links

What Is Citadel DAO?

Update: Check out this new post to learn more.

A number of treasury DAOs have sprung up recently, bringing some assets into the treasury to be managed by the DAO itself. I found Citadel DAO recently.

Citadel is a treasury DAO aiming to be the largest community owned Bitcoin position in the world. The treasury and protocol will be governed by the CTDL token, with a predominant Bitcoin treasury actively earning yield and shared with long term CTDL holders.

Looks ambitious, right? I'm interested in the Citadel DAO at first glance. I will try to dig into what it is and how it works in this post.

Official Links

https://citadeldao.io/

https://twitter.com/TheCitadel_DAO

https://docs.citadeldao.io/

Short Introduction

TLDR: It looks like the OlympusDAO with treasury assets focusing on BTC and putting assets into badger or other yield protocols.

The introduction post written by the official team is easy to read.

Basically, Bitcoin is the Citadel DAO's main treasury asset and the DAO seeks to hold as much Bitcoin as it can. The CTDL token is its governance token.

Treasury Assets

  • Bitcoin (mainly)
  • Other yield influence assets (e.g. CVX and Badger) for boosting yield

Mechanism

  1. Swap Bitcoin or yield influence assets for xCTDL (interest bearing Citadel) at a discount price
  2. Lock xCTDL for 21 weeks to receive a boost weight in CTDL emissions and other earnings sharing

Nothing new for me.

Will it succeed?


Code

https://github.com/Citadel-DAO/citadel-contracts

Why Should I Start Writing Here?

It's been a while since I've written anything publicly.

Writing is certainly helpful. For a long time, I've been jotting things down in bits and pieces in note-taking software. That hardly qualifies as writing. I wanted to ask more of myself.

Noticed that a lot of people are using all sorts of knowledge management software. However, the most important thing for me is to keep recording and thinking. Meanwhile, the simpler it is, the easier it is to stick with it.

Writing publicly forces me to sort out my content better and try to think more deeply. The sense of accomplishment that comes from writing quality content is a good positive incentive for me.

The Listed and Standard Notes are simple enough to fit my principles.

So by writing this, I have answered the title of this article.

Finally, a brief list of my writing principles.

  • Keep it simple, stupid
  • No need to wait for it to be perfect before publishing