Shutter DAO 0x36 currently holds approx $460,000 in USDC (not including LP positions).
Shutter DAO 0x36 currently distributes approx $107K in grants per month.
If Shutter DAO 0x36 does not acquire more non-SHU treasury assets * and also continues to distribute grants at the current pace, then Shutter DAO 0x36 will deplete its non-SHU treasury assets in 22 months (April 2028).
* Shutter DAO 0x36 may be able to acquire more non-SHU treasury assets via revenue/fees from Shutter en/decryption services and/or selling Shutter Tokens (SHU).
The price of ETH is currently $1,550 - $1,600.
Shutter DAO 0x36 may consider selling USDC for ETH. If the price of ETH later rises, Shutter DAO 0x36 may consider selling ETH for USDC - thus increasing the Shutter DAO 0x36 runway.
This post is intended as an open discussion - not a proposal.
Diversification away from purely yield/stables strategies
Potential Downsides
Increased volatility in treasury value
Reduced stable capital buffer for grants
Opportunity cost vs. yield-bearing stable assets
Executing Swaps
Until 10 July 2026, Shutter DAO 0x36 can conduct tokens swaps on CoW Swap directly via the Decent “Explore dApps” transaction builder - without relying on a trusted intermediary.
Key Questions for Shutter DAO 0x36
1. Should We Swap USDC stablecoins into ETH at All?
Do we want ETH exposure in the treasury?
What strategic objective would this serve?
Is now an appropriate time from a risk perspective?
2. If We Want to Swap … How?
Which token should we swap?
How much should we swap?
At what ETH price should we swap?
Do we establish an “optimistic case” rebalance rule (i.e. - swap back all or some ETH to sUSDS or USD stablecoins if ETH exceeds a certain price)?
Do we establish a “pessimistic case” minimum sUSDS or USD stablecoins reserve rule (i.e. - swap back all or some ETH to sUSDS or USD stablecoins if Shutter DAO 0x35 sUSDS or USD stablecoins fall below a certain amount, regardless of ETH price?
Is it acceptable to propose swaps outside of the usual voting periods? Market conditions make timing important.
Discussion Goals
This thread aims to surface:
Strategic intent
Risk appetite
Governance preferences
Once there is clear sentiment, the next steps could be:
Draft a concrete parameterized proposal
Run a Snapshot temperature check
Propose a swap via Decent (if Snapshot temperature check passes, and if prerequisites for the swap are filled)
Looking forward to discussing this topic with Shutter DAO 0x36 members.
Thanks for opening this discussion. I agree Shutter DAO 0x36 should be thinking more actively about runway, treasury composition, and how to manage non-SHU assets over time.
One point I’d like to add: before the DAO focuses only on whether to swap USDC into ETH, I think we should also discuss whether Shutter DAO 0x36 would benefit from a clearer legal/entity structure to expand the DAO’s treasury management options.
If Shutter DAO 0x36 wants to become more intentional about runway, diversification, yield, and risk management, then it may be worth exploring whether a legal entity structure would allow the DAO to access additional options that are difficult or unavailable to an unwrapped DAO.
Thank you for starting this discussion. We support this proposal, but in our opinion we would suggest starting with a partial amount, let’s say a pilot of 10–15% of the USDC (around $45K–$70K).
This is because the USDC is the DAO’s main money for operations, and if we swap too much and the ETH price goes down, the DAO may not have enough money for grants. A small pilot lets the DAO test the idea first, and if it works well, we can vote to increase the amount later. We also think there should be a simple rule to keep enough stablecoins for at least 6 months of grants, and the swap should be done using TWAP (for example CoW Swap’s TWAP feature).
One more point: if the DAO buys ETH, it would be a plus if the ETH can generate more yield, for example by staking it (stETH or rETH) to earn around 3% per year.
Axia agrees that Shutter DAO 0x36 should be thinking about runway, treasury composition, and how to preserve non-SHU assets over time. However, Axia does not think a discretionary USDC → ETH swap is the right next step while the DAO lacks a clearer legal/entity structure.
The DAO is already deploying USDC into an onchain Steakhouse/Morpho vault, which may be a reasonable treasury action. But the fact that a strategy is onchain does not remove the broader issue: Shutter DAO 0x36 is actively managing treasury assets, and that creates responsibilities and potential risk for the DAO and delegates.
Axia is also cautious about reducing the DAO’s liquid USDC reserves. The DAO needs stable assets on hand to pay grants, service providers, and other operating expenses that my come up. ETH exposure may be useful in some contexts, but it should not come at the expense of near-term payment flexibility or stable runway.
Axia’s concern is less about whether ETH is the right asset and more about structure and sequencing. Before the DAO expands from stablecoin deployment into discretionary asset allocation, it should clarify whether a legal entity is needed to support treasury management, reduce ambiguity for delegates, and expand the DAO’s investment options over time.
A legal/entity structure could also give the DAO more optionality beyond direct onchain actions, including access to additional treasury-management tools and counterparties that may not be available to an unwrapped DAO.
This is not an argument against ETH exposure permanently. Axia would prefer the DAO first address the structure, accountability, and stable reserve questions around treasury management, then evaluate whether ETH exposure is appropriate
Thank you to everyone who participated in the recent off-chain vote on Snapshot. I created the vote to spur discussion and source signals on this topic. And in that sense, it was successful.
There appears to be broad consensus that Shutter DAO 0x36 should explore active DAO treasury management - event the largest “No” vote agreed on this point (while disagreeing that a discretionary USDC → ETH swap is the right next step).
Next Steps
If you are interested in exploring active DAO treasury management, please let me know. I will create a group on Telegram and invite interested people and orgs.
