This article is developed in the form of questions and answers. Friends who do not know DAO Maker can quickly understand such a project in a few minutes.

The basic logical framework of this article:

• What is DAO Maker?

• How does DAO Maker do it?

• secondary title

What kind of project is DAO Maker?

secondary title

What do DYCO, SHO, dTeam, and Venture Bond appearing on the official website represent?

DYCO and SHO

DYCO is the first idea proposed by Vitalik. It is a crowdfunding financing method with a redemption mechanism. The purpose is to protect the interests of retail investors by setting a guaranteed price and a redemption mechanism.

The specific method is that after the project party raises funds, it cannot withdraw all the funds raised at one time. DAO maker allows project parties to withdraw 20% of the fundraising funds at a time, and then unlock them slowly, once a quarter.

The project party and the platform will agree on a price floor. If the project party’s token price remains above the price floor within the specified time, DAOmaker’s smart contract will automatically distribute the remaining fundraising funds to the project party in proportion; Otherwise, the redemption mechanism will be automatically activated.

When the project side redeems the tokens, the amount that needs to be repurchased is about four times that of the unlocked part. For example, if the unlocked part is 20%, then 80% of the tokens need to be redeemed. In this way, the interests of retail investors will be protected. When the price is lower than the price floor, retail investors have the motivation to buy, and there is room for arbitrage.

Now DAO Maker's DYCO and SHO are combined and can be collectively referred to as SHO. The mechanism is as described above.

dTeam

dTeam is the first generation of social mining products. It is equivalent to a SaaS platform (software as a service) for the project party to use, the project party uses dTeam to the community, and the rewards are set on the dTeam platform. According to this logic, dTeam can be considered as a task distribution system that motivates community participation.

Venture Bond

Venture Bond is a unique design, which itself is a DeFi financial product. The DAO Maker platform will inject funds into lending platforms, smart pools, etc., and then the income from DeFi farming will be invested in relatively high-risk projects ( Users can independently choose which projects to invest these earnings in).

The design here is very ingenious. The principal is used for farming, and the interest is used for high risk. There is no loss of principal, and the return on income and risk control are relatively reasonable. This product is currently not available in DAO Maker.

Toll Bridge: Active Transformation of Time and Space

Example:

Example:

The first phase of unlocking is between 10-30% (assumed to be 30% here), and there is still 70% for investors, assuming that the currency price at this time is ten times higher than that of IDO. At that time, 1,000 US dollars was invested, which theoretically became 10,000 US dollars at this time, but only 30% can be unlocked, 3,000 US dollars, and the remaining 70% will be unlocked in advance, so 50% will be directly destroyed, and 20% will be withdrawn ( That is 70%-50%=20%), that is to say, at this time, I unlock 30% normally, and unlock 20% in advance, and then these coins can be exchanged for 5,000 US dollars. Change 1K to 5K, and get the immediate profit of 4,000 US dollars.

The reason why the project party is willing to accept such a plan is that it can make the general agent circulation of the project deflate in the future. Therefore, the role of Toll Bridge is to achieve a win-win situation for the project party and investors.

operation method

There are currently two forms of DAO Maker participation:

First, pass KYC, and then use DAO Maker's platform token DAO to conduct IDO (new);

Second, participate in the distribution of tokens related to DAO Maker on the two trading platforms of Kucoin and gate. DAO Maker has strategic cooperation with both.

The above are the basic rules and operation methods of DAO Maker.