Nodeseeds invests in Algodao
We are supporting the Algorand-based project along with other major backers in the Algorand ecosystem.
Building on Algorand
The Algorand ecosystem is among the most popular initiatives in the DeFi space, and for good reason. The ecosystem has a wide variety of innovative products, services and features which many in this industry have grown accustomed to and praised in the past. With that being said, AlgoDao has been making considerable progress in terms of further developing the ecosystem and bringing it to new heights while also being supported by VCs such as Borderless Capital, Algorand Foundation, Nodeseeds, among others.
What is AlgoDAO?
AlgoDAO is the Algorand ecosystem’s next-generation DAO-governed incubator, primary market infrastructure, and accelerator, powered by the ADAO token. In essence, AlgoDAO removes economic barriers to Web3 funding by giving builders access to a DAO-governed incubator as well as primary market infrastructure which allows them to access funding at scale.
In this way, AlgoDAO may best be defined as a community-owned and driven DAO, Incubator, Launchpad, and Innovation Pool designed specifically for the Algorand network. The goal is to make Algorand and the Web3 initiatives it powers more widely known so that they may garner mainstream attention.
The Four Components
AlgoDAO consists of four separate but interrelated key components. Firstly, through incubation, pre-money financing, and IDO (initial DEX offering) rounds, AlgoDAO Accelerator supports projects from incubation to market readiness and beyond. It has decentralized project-access controls as a DAO-governed accelerator which helps guarantee democratic access for everyone involved.
Next, the AlgoDAO Launchpad enables Algorand to scale its ecosystem, which is built around decentralized finance, decentralized applications, and Web3 applications. It does this by discovering, empowering, and supporting strong developer teams to build and launch on Algorand. By doing so, the result would be a thriving DeFi, dApps, and Web3 applications ecosystem that provides real value for all participants.
The AlgoDAO SIGMA pool is a special liquidity pool that is owned collectively by the AlgoDAO community. The SIGMA Pool uses a SIGMA token model to provide the community with access to fully democratic and participatory launchpad tokenomics. The SIGMA pool is intended to grow sustainably with each pre-money round financially backed by AlgoDAO and each IDO initiated via AlgoDAO Launchpad.
Finally, the AlgoDAO Liquidity Engine is a liquidity-providing and market-making model with liquidity pooling functionalities that aims to create effective and long-term liquidity throughout Algorand’s DeFi ecosystem. It should be mentioned though that the liquidity engine is still under construction, and the team shall notify the community when it is ready.
What Makes AlgoDAO Special:
AlgoDAO is a premier launchpad which includes the incubation of top DeFi projects along with a reliable voting system, with the end-goal being that it shall eventually become DAO-based. In this way, AlgoDAO is not a typical launchpad by any means as it involves a burn booster which IDO participants can activate, therefore making ADAO a deflationary token.
In addition, SIGMA is Algodao’s secondary token and can be acquired by staking ADAO tokens. It is also stackable, and even permits voting. Moreover, whenever a project is scheduled for incubation on AlgoDAO, it commits to donating a percentage of the overall tokens sold during the IDO to the SIGMA Pool. As a result, it is backed by projects that launch on the launchpad, acting as an index fund that provides exposure to all projects which start their journey on AlgoDAO.
Safety and Transparency
AlgoDAO has already undergone a formal audit by the Cyber Unit Tech corporation. This is a well-known cybersecurity firm that teaches businesses and governments alike how to boost performance, construct durable technical systems, and remove deficiencies in critical infrastructure. The final report of AlgoDAO’s smart contract code audit has also since been delivered, with the results concluding that there are no security risks or logical contradictions in the protocol.
Furthermore, AlgoDAO is a community-driven project which adheres to open-source principles. All interested parties are welcome to contribute to the DAO. AlgoDAO’s Federation for IDO Allocations is divided into five tiers, ranked from lowest to highest via ‘Ensign’, ‘Lieutenant’, ‘Vice Admiral’, ‘Flagship Commander’ and finally ‘Fleet Commander’.
It is true that Algorand is among the most technologically advanced L1 blockchains, with a protocol that is verifiably quick, decentralized, developer-friendly, safe, and versatile. However, one could argue that the Algorand DeFi ecosystem is currently lagging behind the DeFi ecosystems on other blockchains. The difference in TVL between Algorand’s DeFi and other comparable networks hence provides an opportunity to stimulate and incentivize development teams to build on Algorand, as well as for communities to emerge around what is being constructed.
AlgoDAO fills this void by serving as a DAO-governed incubator and primary market infrastructure to rapidly scale Algorand’s DeFi ecosystem in order to make ALGO a more productive asset, start engaging the community, and lay the groundwork for Algorand’s DeFi to flourish. AlgoDAO is also a self-sustaining community-owned and driven ecosystem and it has a delicately balanced governance framework which provides all DAO members a say in how AlgoDAO operates and functions. Ultimately, AlgoDAO acts as a primary market ecosystem, facilitating the rapid realization of Algorand’s mission of removing technical barriers to the widespread adoption of blockchain technology.