The DAO Treasury is managed by the LEVEL DAO through the governance participation of LGO holders.
The DAO Treasury can be split into two distinct categories:
- Treasury Reserve = LVL tokens
- Treasury Liquid Assets (on BNB Chain) = Senior LLP
- Treasury Liquid Assets (on Arbitrum) = Senior LLP + Mezzanine LLP + Junior LLP and LVL/USDT LP
The LEVEL DAO has a Treasury Reserve of LVL tokens made up entirely of the remaining LVL supply (excl. team allocation).
Typically, the Treasury Reserve is used for:
30% of protocol revenue is distributed to the DAO Treasury in the form of Senior LLP tokens that continually increase in value with fees from the protocol. The DAO Treasury also owns a position in LVL/USDT LP. These liquid portions of the DAO Treasury represented by LLPs and LVL/USDT LP can be redeemed from LGO holdings.