Aragon Project adds $20 million in ether to treasury for safety amid FTX collapse

Quick Take

  • Aragon swapped $10 million worth of USDC and $10 million in wrapped bitcoin for ether.
  • ETH tokens now account for 42% of Aragon’s $153 million treasury.

The Aragon Project increased the ether (ETH) holdings in its treasury by over $20 million in an attempt to improve its exposure to more censorship-resistant crypto assets.

Aragon swapped $20.4 million worth of USDC and wrapped bitcoin for ETH, according to its weekly report. . Ether tokens now account for about 42% of the Aragon treasury which is currently worth $153 million. Aragon swapped another $5.2 million worth of wrapped bitcoin for BTC. The project’s treasury rebalancing also included moving $20 million in USDC to the DAI stablecoin. 

Aragon, an Ethereum-based project that offers users the tools for creating and managing DAOs, comprises a non-profit called the Aragon Association and DAO called the Aragon Network DAO.

Aragon treasury including ether holdings

Ether now accounts for 42% of the Aragon treasury. Image: Aragon

The treasury reallocations were made to safeguard the project amid the FTX collapse, which highlighted the failure of centralized crypto infrastructure, Aragon said.

“Moving more of our treasury to ETH, DAI and BTC improve our security and censorship-resistance, by reducing our exposure to assets that are at risk of mismanagement or interference by centralized forces,” Aragon said.

 


© 2023 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.