HIP14- Proposal to use treasury for developing syncvote

Proposal
#1

TLDR:

We propose to use $100,000 from Hectagon treasury to continue developing Syncvote, a product being built by our own team. The investment will sustain five months of development and will be priced at the same valuation as the private investor round of $0.17. Syncvote is not yet ready for public beta, but a private tour can be arranged by tagging one of the admins on Discord.

Context & Motivation:

  • There are $100,000 BUSD in the Hectagon treasury earmarked for future investments.
  • We are six months into 2023 and the crypto market still shows no signs of recovery. Consequently, this makes Hectagon’s original strategy of investing in tokens close to IDO not viable because there isn’t enough demand for new altcoins in the market. In theory, if we just pick a good team with the capability to develop a good product, then we can still get a return from our investment in the long term. In practice, Hectagon invests in tokens that do not afford us any investor protection or control over the project. This makes any investment into the long-term product development of other projects too risky for us.
  • Being a small investor in this market leaves us at the mercy of both the market conditions for IDO and the type of projects available for investment. At the beginning of the year, we shared in a community call our view that there aren’t any new project types in the market, and our view has not changed since.
  • At the beginning of the year, we took steps to transition our team from an investing team into a builder team. This gives us more control over our destiny since we are building our own product now compared to making investments into others.
  • We have raised a small round of investment from our existing private investors to start the development of a new product, Syncvote.
  • The plan is for Syncvote to eventually release its own token with a part of the supply being airdropped for Hecta holders.

Proposal:

  • With the development of the Syncvote product near its completion, we would like to make a proposal to use the $100,000 in the Hectagon treasury to continue the development of Syncvote.
  • This investment from Hectagon to Syncvote will be priced at the same valuation as the private investor round of $0.17.
  • The investment will sustain five months of development for Syncvote.

Supporting document:

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