Staking, Investing & Governance
By integrating staking, investing, and governance into a comprehensive and participatory framework, Ape Wealth not only democratizes access to venture capital but also empowers its community to play a direct role in the platform’s success. This approach ensures that investment decisions are made collaboratively, transparently, and with the collective interest of the community at heart.
Fund Creation and Project Dealflow
The Fund Creation process begins with the initial creation by the Ape Wealth team. As DAO operations ramp up, co-creation with the retail community is facilitated through proposals and voting. The Dealflow Board, comprising VC partners and industry leaders, provides the vetted dealflow for Ape Wealth funds, ensuring high-quality investment opportunities. This rigorous selection process is essential for maintaining the integrity and potential of the investments.
DAO Diligence
In the DAO diligence phase, users who stake their Ape Wealth tokens can vote on the inclusion of projects in the funds. This participatory model allows the community to propose and vote on projects, new funds, and new networks. By decentralizing the due diligence process, Ape Wealth ensures that investment decisions reflect the collective wisdom and preferences of its community, enhancing transparency and trust. Active DAO members also have a higher chance at securing whitelist spots for the Ape Wealth Promo Fund.
Investment Process (DAO Funds)
The Investment Process involves several critical steps:
Capital Allocation: Users commit capital to the fund and receive an NFT representing their share in the fund. This NFT is freely tradable and fractionable, providing liquidity and flexibility.
Capital Distribution: The allocated capital is distributed to the projects in the fund in exchange for future tokens, typically under a SAFT (Simple Agreement for Future Tokens) agreement. This structured approach ensures that capital is efficiently deployed to high-potential projects.
Payout Process
The Payout Process comprises several stages to ensure fair and timely returns:
Token Liquidations: Based on the SAFT agreement, projects unlock tokens over a specified vesting period. These unlocked tokens are sold in secondary markets to generate returns.
Wealth Fee: Users receive a profit split of 60-90% depending on whether Ape Wealth tokens are staked. This fee structure aligns the incentives of the platform with those of its users, rewarding long-term participation.
Capital Distribution upon Fund Completion: Fund distributions begin once all projects in the fund have completed the vesting and issued all tokens owed as per the SAFT. The profits are split between the users and the platform, ensuring a balanced distribution of returns.
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