BitDAO (BIT) operates as an open DAO (Decentralized Autonomous Organization). The group seeks to expand blockchain awareness and adoption through a variety of strategies. BitDAO provides startups and projects with the potential to improve the market with resources, funding, and liquidity. As such, the group has helped to further some well-known projects in use today.
BitDAO has secured a reputation for its wisdom in selecting projects to assist. Currently, the team manages billions in existing assets. These assets cover the entire scope of the market ranging from multi-layered blockchains, DeFi, governance, NFTs, and privacy tokens to name a few. Projects can access token-governed treasuries through the network’s unique voting structure.
History
BitDAO is a Singapore-based decentralized platform. The network launched on August 3, 2021, to significant support from the community. The network’s private sale secured $230M and included some huge names in the market. Specifically, the fundraising round included names like Peter Thiel, Founders Fund, Pantera Capital, and Dragonfly Capital, to name a few.
What Problems Does BitDAO Attempt to Fix?
There are many problems that BitDAO seeks to alleviate. The protocol enables anyone to participate simply by holding the BIT token and staking. This approach is more open and democratic. It puts the community in charge of deciding what projects merit further development. Additionally, it makes the sector’s development more transparent.
Centralization
Centralization in project developer circles continues to be a problem with average traders suffering losses. BitDAO eliminates centralization through its technical structure. The protocol operates as pure code. There is no central group that does not have employees acting as intermediaries. The platform provides open access to decentralized assets, DeFi, and much more.
Limitations
BitDAO seeks to press the limits of innovation in the market and help developers to achieve more helpful Dapps. The protocol leverages the most advanced governance and blockchain tech to accomplish this task. Other networks can leverage these services to improve their results.
Benefits of BitDAO
There are many reasons why developers and users would want to leverage BitDAO. For one, it falls in line with the spirit of DeFi with its open nature. All individuals can participate in the network regardless of location, credit history, or paperwork. This open structure means that the community can support more diversity, which helps to improve innovation over the long run.
Agnostic
BitDAO is chain agnostic. It’s not dependent or built to support any network in particular. It was devised to empower Dapp builders and improve adoption rates. The network interchain capabilities mean that any network can leverage its advanced governance system to improve its ecosystem.
Autonomous
BitDAO is a completely autonomous protocol that requires no human intervention to take and tally votes. The system eliminates human error and gatekeepers from the equation. The autonomous structure makes the network far more efficient than centralized alternatives like your local bank.
Sheer Size
It’s vital to mention that BitDAO currently operates as one of the largest DAOs in the world. The size and decentralization of the project help keep the network secure. There is no single point of failure and all transactions can be monitored in real-time via a blockchain explorer.
How Does BitDAO Work?
BitDAO operates similarly to other DAOs in that it is a set of management protocols that replace centralized alternatives. The first DAO was launched by Ethereum many years ago and today the use of helpful protocols is more widespread than ever. DAOs provide users with a way to be heard by the community.
BitDAO is unique in many aspects. For one, the protocol governs community treasuries designed to support the creation of next-generation Web 3 builders and groups. The group can help drive development in programs via expertise in a variety of categories including, decentralized assets, security, and the creation and management of DeFi organizations.
Builders Collective
BitDAO operates today s a collective of builders that focuses on the most promising projects available. The team has already helped many platforms achieve success through grants and support options. The network manages a group of treasurers as part of this strategy. These treasuries are built from transaction, swap, and yield fees collected over time. Many of these pools also include funding from contributions.
Token – BIT
The main governance and utility token for the network is BIT. BIT holders can use their tokens to conduct direct P2P commerce internationally. Like other fourth-gen cryptocurrencies, the token supports DeFi functionalities. You can save BIT to secure passive returns.
BIT is an ERC-20 token. This designation means that the asset resides on the Ethereum network. As such, you can store and trade your token on a huge selection of platforms. The BitDAO is chain agnostic so it’s possible to have BIT on other blockchains as part of the multi-chain approach to the market.
Governance
BitDAO is all about community governance. There are multiple ways that a user can participate in the platform. They can start as a community member. Community members are valuable users who test and share their experiences with other parts of the ecosystem.
The next level of participation is becoming a contributor. BitDAO is open to community members to join on the development side of the action as well. You can put forth your upgrades to the community and if voted in they will be integrated into the system autonomously.
BitDAO Partners and Token Holders
The next levels of participation are partners and token holders. BitDAO has managed to expand its ecosystem over the last few years by securing partnerships with high-level blockchain platforms. The network offers the features that these groups require and unmatched experience and decentralization.
Bottom Line
BitDAO is the perfect example of how innovation begets more innovation. The protocol’s open nature and proven record of success continue to drive interest in its model. As such, BitDAO fills a valuable niche in the decentralized economy, and is sure to see continued adoption moving forward.
