# Introducing VESQ: A Treasury DAO

By [Vesq 💜💚](https://paragraph.com/@vesq) · 2022-12-27

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WHAT is VESQ?
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> **VESQ** is a decentralized community that transcends geographical and political borders, working together to form a **Treasury DAO** ([Decentralized Autonomous Organization](https://www.investopedia.com/tech/what-dao/)), which utilizes [smart contract technology](https://www.investopedia.com/terms/s/smart-contracts.asp) to accumulate blue-chip digital assets and participates in the most efficient and optimized yield generation, while sharing sustainable rewards and venture investment opportunities with our community.

WHY: Sustainability
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> **Sustainability is key** in our revenue share design, as we intend for every person to benefit from their participation in Vesq **without fear** of being hoodwinked or blindsided and used as exit liquidity. This **aligns the goals** of every community member and **unlocks a higher level of collaboration and coordination**.
> 
> The typical ponzinomic structure is **unsustainable** as users can only make a profit by selling a token after pumping the price through marketing and hype, using new investors as exit liquidity for early investors. Being a community member of such a project will require one to be adept at psychological ops as it becomes a **game of the** [**greater fool**](https://www.investopedia.com/terms/g/greaterfooltheory.asp) as to who will sell first, lest one gets caught in the [**tragedy of the commons**](https://www.investopedia.com/terms/t/tragedy-of-the-commons.asp).
> 
> In such an environment, it is naturally **very hard for people to trust** each other, especially in a bear market, when the value of their holdings plummet, while **marketing loses effectiveness** and **liquidity in cryptocurrency wanes**. How can you work together with another token holder when you are also afraid that he will stab you in the back and sell before you? How can a project succeed if token holders do not work together?
> 
> Thus, **sustainability is key**. Vesq is introducing a protocol where users can feel **safe** to form **long-term relationships** and actually **collaborate** with each other to make the ecosystem succeed.
> 
> Instead of looking at hype and token price for the best time to sell, we anticipate that users will look at the token price and determine **how big of a slice** of the [Protocol Rewards](https://vlabs-1.gitbook.io/vesq/protocol/staking/protocol-rewards) pie they can get and **how long it will take** for their participation in Vesq to become risk-free.
> 
> The main risk holders will face is **dilution**, as new users come in, causing one's protocol rewards to reduce. In such a situation, holders can choose to reduce their positions for a profit. Meanwhile, those who remain get **an even bigger piece** of the rewards, resulting in a win for holders, a win for leavers, and a win for Vesq.
> 
> Therefore, Vesq aspires to spark the **sustainability** narrative.

HOW: Be The Largest Community-Owned MATIC Position In The World
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> The primary question to ask for any protocol: **Where is the yield coming from?** If you can’t identify the source of a protocol’s yield, then you are the yield. Bear in mind, we might see this in Vesq at its early stages as the ecosystem is being built out and it finds its place it the broader marketplace.
> 
> In order for our plan for sustainability to succeed, **Vesq** employs smart contracts on the Polygon network that exchanges our VSQ token at a discount for MATIC, the native token of Polygon, as well as other blue-chip tokens. This is a proven accumulation strategy as people trade for a greater control of the protocol or a larger share of the rewards.
> 
> Obviously, this accumulated reserve is then deployed in **market making**, **liquidity providing** and other strategies in order to generate optimized **yields** which are shared with the community. However, yield generation is merely a minor part of this strategy.
> 
> The key is to gain **influence over other protocols** and become [**too big to fail**](https://www.investopedia.com/terms/t/too-big-to-fail.asp). When we succeed in accumulating the largest community-owned MATIC position in the world, **projects will come to us** offering favorable terms and venture opportunities.
> 
> First, we will cement our foothold on Polygon. Then, we will extend our influence onto Ethereum, L2s, ZK solutions, and other L1 networks.
> 
> This will enable VSQ to wield a large influence across **multiple ecosystems**, earning high yields, and profiting off becoming a community-owned **Liquidity as a Service**, i.e., **The People’s MATIC Whale**.

Let’s Go!
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> We are excited to embark on this exciting new journey with all of you!
> 
> **Twitter:** [@vesqhq](https://twitter.com/vesqhq) | **Discord:** [discord.gg/vesq](https://discord.gg/vesq) |**Telegram:** [t.me/vesqhq](https://t.me/vesqhq) **Website:** [vesq.xyz](https://vesq.xyz) | **Docs:** [vlabs-1.gitbook.io/vesq/](https://vlabs-1.gitbook.io/vesq/)

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*Originally published on [Vesq 💜💚](https://paragraph.com/@vesq/introducing-vesq-a-treasury-dao)*
