SushiSwap Unveils Plan to Diversify Treasury and Boost Stability
SushiSwap (SUSHI) has introduced a detailed plan to diversify its treasury, which is currently made up entirely of its native tokens.
The initiative, called the “Treasury Diversification Proposal,” is designed to create a more stable and flexible financial structure for the platform.
The proposal focuses on three primary goals. It aims to reduce the treasury’s reliance on SUSHI tokens to minimize volatility and enhance stability. Additionally, it seeks to increase liquidity, ensuring there are sufficient readily available assets to support operations and future strategies. Finally, the plan intends to generate passive income by utilizing diversified assets for activities such as staking and lending.
To achieve these goals, Sushi DAO plans to reallocate its treasury assets into three categories: stablecoins, major cryptocurrencies, and high-potential DeFi tokens. The majority of the treasury will be converted into stablecoins, including USDC and USDT , to provide liquidity and reduce exposure to market fluctuations.
READ MORE:
From Joke to Top Cryptocurrency: Dogecoin Celebrates 11th BirthdayA smaller portion will be allocated to well-established assets like Bitcoin and Ethereum , offering both diversification and the potential for growth. The remaining assets will target promising DeFi tokens, selected based on a comprehensive evaluation of their risk and reward profiles.
The transition to this diversified treasury will be carried out using a dollar-cost averaging (DCA) strategy. This gradual approach is intended to limit market disruptions while enabling a smooth shift toward a more balanced and resilient treasury structure.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Ethereum Power Struggle: Buterin vs The Community Voice
Unmasking the Tug of Power: Vitalik Buterin's Lone Decision-Making Steering Ethereum Foundation Amidst Pending Leadership Reforms
Analytics Company Put Forwarded New Argument: “Whales May Be Preparing For Entry In This Altcoin”
According to cryptocurrency analytics firm CryptoQuant, whales may be preparing to enter a surprise altcoin.
Swiss Bank Managing $5.7 Trillion Launches Joint Gold Initiative with Surprise Altcoin
According to the latest information, Switzerland's largest bank has entered into a surprise gold joint venture with an altcoin. Here are the details.
Who holds Ethereum ETFs? Complete list of institutional holders in the 13F filings
The total inflow of ETH ETFs reached $2.73 billion, while Grayscale's outflows exerted downward pressure. SEC filings show that institutional investment levels in Ethereum ETFs vary.