With the shift in focus from TIME to wMEMO, we have an opportunity to make clear to the market that Wonderland is not a copy/paste OHM fork where the only attraction is the APY.
Wonderland is a hedge/VC fund.
The DAO takes in capital through mints and treasury sales, and deploys that capital for a return. As such, the most important information we can provide to the market it the health and performance of the treasury.
We report a treasury balance on the dashboard. However, since a number of holdings do not have reliable price oracles, it is impossible to reconcile that balance with treasury holdings visible in Zapper or Debank. FUD related to the dashboard treasury balance being “fake” or including large amounts of treasury-held TIME is a daily occurrence on the dashboard.
I would propose a simple treasury report be generated on a monthly basis and posted to Medium. This report should include:
- Treasury balance at the end of the previous month
- (plus) Capital raised from mints and treasury sales
- (plus) Changes in investment values
- (plus) Returns from deployed assets
- = Current treasury balance
The report should also include a listing of treasury assets that can be reconciled with the treasury value on the dashboard.
The true value driver for Wonderland is the size of the Treasury and the ability of treasury management to deploy those assets profitably. By making treasury performance more transparent, we can show the equivalent of a price/earnings ratio for Wonderland.
A 20% annual return on the current treasury would imply a P/E ratio of 8.5 based on the current price of wMEMO. Making such an attractive P/E explicit, combined with a proven ability to raise capital through mints/treasury sales, should result an increase MC/treasury ratio and benefit current holders.
Now that the strategy of the DAO is clear, we should provide the transparency for investors to evaluate our performance and invest accordingly.