BitDAO is a decentralized autonomous organization (DAO) that aims to build a decentralized tokenized economy that is accessible to everyone. The governance token for the BitDAO ecosystem is BIT, which comes with proposal and voting power.
The goal of the project is to grow the DeFi ecosystem by developing BitDAO DeFi products and supporting DeFi partners and projects. The project will also provide funds to BitDAO contributors, such as for the development of a bespoke governance module or community management initiatives. All decisions for the project will be made through the BitDAO proposal and voting system.
Participating in the BitDAO (BIT) Project
There are several ways to get involved in the BitDAO project:
- Community members: Non-token holders can join the BitDAO community by joining the forum and following social media channels, as well as by pitching their ideas. BIT token holders can embrace good ideas presented to them and may delegate votes to community leaders.
- Contributors and partners: Any DeFi or CeFi project that can help BitDAO or is interested in exploring ways to collaborate in a partnership can get involved.
- Token holders: BIT token holders own the platform and have the ability to recommend and vote on BitDAO’s growth strategies, as well as the use of BitDAO’s treasury resources.
How BitDAO (BIT) Works
BIT token holders govern and manage BitDAO through a proposal and voting process. This decentralized autonomous organization (DAO) mechanism allows BIT token holders to have control over BitDAO activities. Proposals and votes on the DAO platform will determine the following actions:
- Funding and milestone incentives for development teams and R&D centers to create BitDAO solutions or support partner products.
- Upgrades to BitDAO’s core protocols, particularly governance and treasury management.
- Token swap feature for current and new initiatives.
- Deployment of treasury funds based on various strategies.
- Grants for blockchain technology projects, education programs, and other blockchain services.
- Support for partner initiatives in terms of cash flow.
The Governance Token (BIT) for BitDAO
The governance token for BitDAO is BIT, which is based on Compound Finance’s governance token (COMP). This was chosen over a regular ERC-20 token because it allows for delegated voting and off-chain vote aggregation, with the possibility of switching to on-chain governance in the future. Delegated voting allows BIT holders to vote or make proposals only if their voting rights are delegated to an address. This means that if a delegatee wallet is compromised, the BIT tokens are not lost and the BIT holder can delegate them to a different address.
The Growth Strategy of BitDAO (BIT)
BitDAO will seek out projects to collaborate with through token swaps and co-development initiatives. The project will swap tokens and build a portfolio of the best existing and new DeFi and crypto ventures. By supporting these partner projects in their quest to become category leaders, BitDAO will be rewarded and will also award grants to teams that make crypto-related research or products that benefit a wide range of audiences.
The project aims to create key products that will help BitDAO and other DAOs run more efficiently, such as a governance suite made up of on-chain and off-chain products and best practices, and a DeFi platform that allows for seamless cross-chain communication.
