Monthly BTC Purchase: January 2025

Description

This proposal follows on from Proposal 881 which allocated 25% of the Osmosis non-OSMO taker fees to be used for purchasing BTC, January's purchase is expected to be around 1.4 BTC.

As stated in the proposal, until this is an automatic process, the purchase will be manually performed each month through a community spend.

Method

A snapshot of the community pool at the time of Proposal 881 passing was taken and compared to the community pool contents at the time of drafting.

As 55% of non-OSMO Taker fees are allocated to the community pool in total, 25/55, or 5/11 of the difference between these values is the amount to be sold for BTC.

The three community spending proposals and refunds that took place during January were offset when calculating this spending.

ProtoRev revenue was not offset and accounts for around 20% of this revenue for USDC, ATOM and BTC.

Assets totaling under $100 in value are excluded to reduce complexity.

Assets totaling over $4k in value, excluding BTC, will use limit orders via USDC to minimize slippage; all other purchases will use standard swap routing.

Once acquired, all BTC will be deposited into the BTC/USDC Margined vault as previously used in Proposal 882.

The Osmosis Liquidity subDAO will be utilized to perform this multi-stage liquidity deployment as in previous proposals and return the receipt tokens to the community pool once all actions are complete.

This proposal will approve the above mechanism - if there are no further changes beyond values to these rules then further purchases will have no forum time before chain to speed this process.

Assets to be swapped to BTC

Forum Post: https://forum.osmosis.zone/t/monthly-btc-purchase-january-2025/3451