Governance and Treasury Management

The Glue Approach to Fundraising

Glue's primary goal is to achieve capital efficiency, raising only the amount of money necessary to reach each developmental milestone and ensuring that funds are spent judiciously. This approach contrasts sharply with the prevalent trend in the crypto industry, where projects often raise absurd amounts of money from venture capitalists (VCs) simply because they can. While such funding can provide immediate financial support as well as increases in short term token prices, it near inevitably leads to long-term problems, including misaligned incentives, concentrated control, and market instability as large token holders seek to sway elections for their own benefit and exit their positions.

At Glue, we are committed to avoiding these pitfalls by advancing a broadly distributed token ownership. Our fundraising strategy is designed to support this commitment. By focusing on incremental capital raises, we ensure that every dollar is used effectively and efficiently, avoiding the pressures and risks associated with overfunding.

In essence, Glue's approach to fundraising is about more than just securing capital; it's about building a sustainable, decentralised, and resilient ecosystem. By raising funds incrementally and ensuring a fair distribution of tokens, we are setting the stage for long-term success and stability.

This careful and strategic approach to capital management underscores our commitment to creating a truly decentralised financial system that can achieve widespread adoption and deliver on the transformative promise of blockchain technology.