DODO DODO
About
What Is DODO?
DODO is a DeFi protocoldecentralized finance (DeFi) protocol and on-chain liquidity provider whose unique proactive market maker (PMM) algorithm aims to offer better liquidity and price stability than automated market makers (AMM).
The PMM pricing mechanism, which mimics human trading, utilizes oracles to gather highly accurate market prices for assets. It then provides enough liquidity close to these prices in order to stabilize the portfolios of liquidity providers (LP), lower price slippage and negate impermanent loss by allowing arbitrage trading as reward.
DODO also caters for new crypto projects with a free ICO listing through its Initial DODO Offering (IDO) which requires issuers to only deposit their own tokens.
DODO’s smart contract operates as an ERC20 token on the Ethereum network.
Who Are the Founders of DODO?
Dodo was officially launched in August 2020, founded by Diane Dai, Radar Bear and an anonymous development team. It initially attracted a $600,000 seed round led by Framework Ventures.
The team announced in September 2020 that it had successfully completed an additional $5 million private sale funding round, led by Pantera Capital, Binance Labs and Three Arrows Capital.
The private sale round also attracted investment from several other prominent venture capital firms, cryptocurrency exchanges and trading firms that include Coinbase Ventures, Galaxy Digital, CMS Holdings and Alameda Research.
What Makes DODO Unique?
DODO positions itself as one of the most competitive liquidity providers that offers very low transaction fees and price slippage through its PMM algorithm, first conceived in April 2020.
The team claims their PMM algorithm provides superior pricing over that of AMM competitor Uniswap due to a flatter price curve.
The PMM collects funds near market prices to establish enough liquidity, which drops quickly the further the price moves from the market price. DODO automatically adjusts market prices in order to attract arbitrage that will help keep liquidity provider portfolios stable.
This ensures more favorable pricing, higher fund utilization and decreased price slippage, single risk exposure and no impermanent loss (explained here).
For traders, DODO offers sufficient liquidity comparable to that of centralized exchanges (CEX), which can be natively used by smart contracts for on-chain transactions such as liquidation and auctions. Arbitrageurs can also take advantage of price differences between DODO and other exchanges.
Liquidity providers are not required to make a minimum deposit and are not restricted on the type of asset they provide. LPs can create their own trading pairs, deposit their own tokens to negate price risk and also collect a portion of DODO transaction fees as rewards.
DODO also attracts new crypto projects with a free listing as an Initial DODO Offering (IDO). Unlike AMM protocols, DODO does not require quote tokens, and IDO projects only need to deposit their own tokens to the liquidity pool, after which the PMM creates its own ask-side depth. To start an IDO, a project needs to only set the oracle price to a constant. Liquidity is improved by depositing more quote tokens.
How Many DODO (DODO) Coins Are There in Circulation?
The total supply of the DODO token is 1 billion (1,000,000,000). There are currently 12 million coins in circulation.
DODO’s total supply will be distributed as follows:
- 15% to the core team/future hires/advisors
- 16% to investors
- 1% to initial liquidity provision (IDO)
- 8% to operations/marketing/partnerships
- 60% to community incentives
How Is the DODO Network Secured?
DODO is a decentralized protocol and therefore resistant to centralized network attacks relying on a single point of failure. DODO’s smart contracts were audited by PeckShield, a blockchain security company, on July 10 2020. Its audit report on DODO can be accessed here.
Please be aware that DeFi protocols are innovative and high-risk projects and therefore vulnerable to coding bugs and security issues that could be exploited by hackers and result in the loss of funds.
Where Can You Buy DODO (DODO)?
DODO can now be traded on the centralized exchanges MXC.com, L Bank and BiKi, as well as decentralized exchanges (DEX) like Uniswap V2, Mooniswap and Dodo. You can find others listed on our crypto exchanges page.
Want to purchase cryptocurrencies like Bitcoin and Ethereum directly by credit card in the fiat currency of your choice? Read this guide to learn how.
AI Analysis
What is the DODO (DODO) cryptocurrency good for? What are its main use cases?
DODO (DODO) is a decentralized finance (DeFi) protocol designed for trading and liquidity provision, primarily through its innovative approach to market-making known as Proactive Market Making (PMM). Here are some of the main use cases and features of DODO:
Decentralized Trading: DODO allows users to trade various cryptocurrencies directly on its platform without the need for a central authority. This promotes greater transparency and security compared to centralized exchanges.
Liquidity Provision: Users can provide liquidity to trading pairs on DODO, earning fees from trades that occur within those pairs. Unlike traditional automated market makers (AMMs), DODO's PMM model aims to minimize impermanent loss for liquidity providers.
Stable and Efficient Pricing: DODO's PMM algorithm adjusts the price based on market conditions, which helps in providing better pricing and more efficient trades compared to constant product AMMs. This can lead to less slippage for traders and better returns for liquidity providers.
Token Swaps: Users can swap tokens easily and efficiently on the DODO platform. The protocol is designed to minimize trading costs and optimize execution prices.
Initial DEX Offerings (IDOs): DODO offers a platform for projects to launch their tokens and conduct IDOs, facilitating the raising of funds for new cryptocurrency projects while providing opportunity for early investment to users.
Governance: DODO holders can participate in the governance of the protocol, influencing decisions regarding future developments, policies, and updates.
Cross-Chain Capabilities: DODO has explored cross-chain solutions to facilitate trading across different blockchain networks, enhancing liquidity and the utility of the platform.
Overall, DODO aims to enhance the trading experience in the DeFi space by providing more efficient market-making and trading technologies while promoting decentralization and user empowerment.
What blockchain does DODO use? Is it its own blockchain or built on top of another?
DODO is primarily built on top of the Ethereum blockchain, but it also operates on other blockchain platforms, including Binance Smart Chain (BSC) and Polygon (formerly Matic). DODO is a decentralized exchange (DEX) known for its innovative liquidity solution and is not its own standalone blockchain. Instead, it utilizes the existing infrastructure of the aforementioned blockchain networks to provide trading and liquidity services.
Is DODO programmable? Does it support smart contracts or decentralized applications?
DODO is a decentralized exchange (DEX) that primarily operates on the Ethereum and Binance Smart Chain networks. While DODO itself is not a general-purpose programmable platform like Ethereum, it does have the capability to integrate with smart contracts for liquidity and trading functionalities.
DODO utilizes an innovative algorithm called Proactive Market Making (PMM) to provide liquidity. While it doesn't directly support the creation of arbitrary decentralized applications (dApps) on its platform, developers can build dApps that interact with DODO's smart contracts for trading and liquidity services.
So, while DODO itself is not programmable in the same sense as Ethereum, it does function within a programmable environment where developers can create applications that leverage DODO's features.
How fast are DODO transactions? What is the typical confirmation time and throughput (transactions per second)?
DODO is a decentralized exchange (DEX) built on the Ethereum blockchain and other networks that utilize an automated market-making (AMM) model. The speed of DODO transactions depends on the underlying blockchain network it operates on.
Confirmation Time:
- On Ethereum, transaction confirmation times typically range from a few seconds to a minute, depending on network congestion and gas fees.
- On other blockchains like Binance Smart Chain or Polygon, transaction confirmations can be faster, often happening in seconds.
Throughput (Transactions per Second):
- Ethereum has a throughput of roughly 15-30 transactions per second (TPS) under normal conditions, but this can be affected by network congestion.
- Other networks such as Binance Smart Chain can handle significantly more, around 50-100 TPS or more.
- Layer 2 solutions like Optimism or Arbitrum can also increase throughput substantially.
Overall, using DODO on different blockchains will yield varying transaction speeds, but it generally aims for low latency and high throughput to enhance user experience. Always check the current state of the network for the most accurate confirmation times and throughput metrics, as these can change based on congestion, market activity, and updates to the network.
How much data can I store on the DODO blockchain? Does it support on-chain data storage?
DODO is primarily a decentralized exchange protocol focused on providing liquidity via an Automated Market Maker (AMM) model. It is not designed primarily for data storage like some other blockchain platforms that support smart contracts, such as Ethereum or Filecoin.
The DODO platform does not provide features for on-chain data storage in the same way that some other blockchains do. Instead, it is designed for trading and liquidity provision. While you could store some minimal transaction-related information on the blockchain—such as transaction logs or event data—it's not meant for general data storage.
If you're looking for a blockchain that supports extensive on-chain data storage, you might want to explore platforms specifically designed for that purpose, such as IPFS (InterPlanetary File System) for decentralized file storage, or Ethereum for creating decentralized applications that may utilize on-chain data storage through smart contracts.
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