Introduction
What is Kepler DAO?
Kepler DAO is the world’s first treasury-backed investment protocol on Ethereum blockchain which is based on the native KEEPER token. We are building a model for web3.0 venture capital (VC). Funds in the protocol are raised, managed and deployed by the community in promising web3.0 protocols to earn shared returns from the investments. The protocol raises its treasury from buyers of the KEEPER tokens who then become a part of the community that manages the treasury capital.
The investments are made by the community through a community elected fund management team (a team of experts in crypto investing). Each KEEPER token is backed by assets in the treasury which consist of a basket of risk-diversified tokens such as (i) stable coins, (ii) crypto native assets such as ETH, BTC and most importantly, (iii) tokens from protocols that the treasury has invested in
What is the vision of Kepler DAO?
The long-term vision of Kepler DAO is to provide a toolkit for decentralised VC investing supported by smart contracts and a sound model for consensus-based governance. Higher security, trustlessness and adoption of blockchain has meant that retail investors can now participate in owning a part of an asset class that was previously inaccessible. The community not only raises its own liquidity, but also manages the capital and shares the returns there being a self-sufficient ecosystem.
Why should I become a part of Kepler DAO?
Great question - you have limited time and bandwidth and the rate at which DAOs are growing is just mind boggling. Let’s cut the crap and answer this - WIIFM?
The returns from very early stage investment come with significant risks but also market beating upsides. An average private sale investor has already made about 20x returns by the time the project hits the DEx/CEx and a retail investor gets to buy its token. Having a seat at the table of a good early stage project is extremely difficult due to a couple of reasons: In early stages, most projects are not only looking for capital but also support for growth, so these opportunities usually land up in the hands of institutional investors/very well known individuals.
Raising money from individuals is time consuming for the average ticket size of a retail investor (~$2-5k). Projects usually would raise upward of at least $20k from an investor. Individuals do not come with time/expertise that it takes for a project to succeed, hence are not the preferred option for early stage ventures. For retail investors, the risk early on is significantly high as compared to investing once protocols have stabilised and shown some growth. But it’s too late to get exponential returns by that time.
These barriers are solved through a model of community investing because of the following reasons:
For the protocols, it becomes easier to not just raise sizable initial liquidity, but also to bootstrap a community with diverse expertise which is the key to success in web3.0 → risk free capital, lower risk of product market failure thanks to community backing
For the investor community, risk is highly mitigated because of combined decision making and due diligence.
It is generally difficult as an individual investor to get to participate and hold exposure into multiple early stage projects - this can be achieved easily in this case as any holder of KEEPER token is an owner of a diversified portfolio of crypto tokens in which the community has invested → lower risk + alphas greater than the market
Therefore, a community investing model can potentially be a win-win for all the parties involved. The protocols gain from support of a community and the community gains exposure to early stage investment opportunities with a significantly minimized risk.
Who runs Kepler DAO?
KeplerDAO is not run by any centralised authority. It was created by a team of 5 developers with backgrounds in engineering, consulting, entrepreneurship, finance and management with a combined experience of 25+ years. This project was started with the vision to put the power in the hands of the community to their own and manage their capital through a decentralised democratic community investing tool. We aim to become a Decentralised Autonomous Organisation, and we are actively working towards that goal with each decision that we take.
Why is Kepler DAO on Ethereum?
We're launching our v1 on the Ethereum network. This is primarily because of two reasons: Kepler is essentially SPV for investments - what that means is, unlike trading platforms, we do not have high frequency, low volume transactions. Rather, just the opposite which is why we want to optimise for other things than gas fee. What are those things? We want to optimise for node depth, liquidity, growth and versatility of projects available on the network.
That said, we'll be soon launching on other networks after stabilising our V1 on ETH.
How do I participate?
There are two main strategies of participating in Kepler DAO - buying and staking the native KEEPER token. Stakers earn their rewards in the form of more KEEPER tokens minted at a predetermined rate. Buyers can purchase the KEEPER tokens by depositing liquidity into the treasury.
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