FIP#67 - Try to Unwind the Mutant Ape Yacht Club Vault through NFTX Governance

Summary:

This proposal establishes our support for unwinding the Mutant Ape Yacht Club NFTX vault through NFTX governance.

Motivation:

We are currently holding slightly over 0.41 MAYC tokens after selling off the vast majority of our Mutant Ape position earlier this year. The MAYC token currently has no liquidity providers and there are no known plans for any liquidity to be added. This makes our position difficult to exit and not a reliable way to capture potential upside in NFT floor price. By exiting our MAYC position we could increase our eth exposure or we could choose to reallocate the funds towards productive strategies. Other active holders of the MAYC token are ready to act now. As time passes, it may become difficult to coordinate with all of them at the same time in governance, so it makes sense to strike while the iron is hot.

Proposal:

In the near future we will use the voting power from our MAYC tokens to support an NFTX governance proposal to unwind the MAYC vault. If passed through voting on the vault token level and the NFTX protocol level, unwinding the vault would allow NFTX to auction the two remaining Mutant Ape NFTs and split the proceeds pro-rata between MAYC token holders.

Risks:

  • Potential opportunity cost: We could miss out on potential gains in the case of the floor price of MAYC increasing and us actually being able to exit our position in the future.

  • NFTX counterparty risk: As far as I know no NFTX vault has ever been unwound, so there‚Äôs a little risk in being the first.

Polling period:

The polling period begins now and will end in 1 week at 17:30 UTC on 11/28/23. After this, a Snapshot vote can be put up and can also last 1 week.

Disclosure:

The author of this proposal is a holder of the MAYC vault token.

  • Try to unwind the MAYC Vault. Send this to Snapshot.
  • Leave our MAYC vault position as is
0 voters