- IOTA Tangle DAO LLC has officially resumed its active asset management program, prioritizing secure DeFi operations such as liquidity pools and lending on audited platforms.
- To ensure effective management of its DeFi activities, Tangle DAO LLC has implemented a detailed active asset management policy.
The Tangle Treasury Grant Committee has declared its plans to reinvest its digital assets including IOTA, SMR, and USDT, in the IOTA EVM DeFi protocols. The goal here is to focus on liquidity pools and lending activities.
The committee specified that speculative trading would be excluded from these investments. Moreover, revenue generated from these activities will fund grants, cover operational expenses, and strengthen the Tangletreasury’s financial position.
Tangle DAO LLC Resumes Active Asset Management Program
In its latest blog post, Tangle DAO announced that it has officially resumed its active asset management program. As a result, this program will emphasize participation in secure decentralized finance (DeFi) operations such as liquidity pools and lending on audited platforms, while avoiding speculative trading.
This decision was in response to the extended periods during which a significant portion of Tangle’s assets, including IOTA, SMR, and USDT tokens, remained unused before being allocated for grants or operations.
However, one of the core principles of Tangle DAO LLC is to maximize the use of assets donated to IOTA and Shimmer communities. This approach will ultimately bolster the IOTA/Shimmer ecosystems while improving the organizations while improving organization’s financial standing, and extending its operational timeline while managing risks effectively.
This is one of the major implementations by the Tangle Treasury after it undertook anti-fraud measures to protect Grant distribution, per the CNF report.
🪙Tangletreasury to participate in #IOTA EVM DeFi🪙
Dear #IOTA #Shimmer community,
The Tangletreasury Grant Committee has decided to again use Tangletreasury assets such as $IOTA, $SMR, $USDT to participate in secure IOTA EVM DeFi protocols, for example in liquidity pools and…
— Tangle Community Treasury 🏦 (@TangleTreasury) October 25, 2024
Exploring Opportunities in the DeFi Space for IOTA
As reported by CNF, the IOTA DeFi EVM ecosystem is currently experiencing growth, supported by the IOTA EVM Liquidity Campaign, which is successfully bootstrapping liquidity.
This provides IOTA Tangle DAO LLC with low-risk opportunities to engage in liquidity pools and lending activities. Thus, the Tangle DAO can further strengthen its position via earned rewards and trading fees. Additionally, these efforts will contribute to enhancing the liquidity depth and quality within targeted pools, including the rebalancing of unbalanced liquidity pools using Tangle DAO LLC’s assets.
In order to oversee the entire process, the Tangle DAO LLC Grant Committee has established a comprehensive active asset management policy. Some of the key components of this policy include:
- All DeFi activities will be fully transparent, with public reports on asset usage, rewards earned, and other relevant information.
- All operations must comply with established guidelines to ensure responsible asset management.
- Each operation, such as participation in a specific liquidity pool with a designated amount of tokens, requires separate committee approval.
- All decisions must involve detailed risk and benefit assessments and clearly outline security measures.
