DAOfi is a scalable DAO (decentralized autonomous organization) governed by decentralized exchange (DEX) built for community use cases. The DAOfi network aims to provide a lightweight, flexible infrastructure for healthy token economies. According to its whitepaper, DAOfi also aims to become a first-to-market decentralized exchange that caters to the needs of community leaders. DAOfi intends to simplify the user interface of the DEX to core functions and features necessary to launch successful community asset markets.
The vision of DAOfi is to create a wealth of experience and observation building products in Web3. Community assets within Web3 have a broad potential for encouraging adoption for a larger audience than the traditional DeFi community. However, several DAO community tokens struggled to find price stability and adoption due to the shortcoming of current market offerings.
In the current scenario of DEXes, there is no product available that can instantly solve the need for creating a customizable bonding curve liquidity market. DAOfi aims to offer more flexible bonding curves required for community assets markets. DAOfi seeks to allow for scalable curves with options for lower pricing schemes.
DAOFI is the currency of the DAOfi platform that the platform aims to use as the primitive token. Users can acquire and earn the token in a variety of ways. The platform allows users to earn DAOFI tokens as rewards for contributing to the network. Token holders can use the DAOFI coins to govern the protocol.
The platform intends to stake some of the DAOFI tokens to the DEX to provide a liquidity pool before creating a liquidity pool for an ERC-20 or ERC-721 smartcontract. Smart contracts are just like regular contracts. However, instead of being drafted on paper, these contracts run in the form of protocols on the blockchain. The DAOfi network seeks to reduce transaction fees on the DEX for DAOfi token owners. The reduction percentage is in ten tiers and applied to the trades occurring on the platform. DAO intends to apply 0.2 percent transaction fees across the platform. The platform seeks to use net fees to acquire DAOfi tokens held by DAOfi limited.
