ZIGDAO

Let's walk you through our new DAO journey

Updated over a week ago

We are thrilled to announce this path Zignaly is taking! We present to you ZIGDAO

In this article:


What is a DAO?

A Decentralized Autonomous Organization is a community-led system, meaning it is a democratized organization.

Goals include being completely straightforward to pull off decisions for the future of the organization.


Why choose ZIGDAO?

This is part of our long-term vision and mission for why we created Zignaly.

We will do the hard job and create dynamic financial tools while remaining completely open, transparent, decentralized and user controlled.
The holders will delegate their tokens to the community members that they trust most, so they can represent them in a council. And it gets better! The final mechanism could change completely if the community decides to go for it.


The 6 layers

Data

We believe in transparency. That's why we share the track record of our strategy managers as they are.
The value of the SDT (Service DAO Token) will be stored along with relevant data like supply, assets and smart contracts used… as long as it doesn't compromise the approach of the strategy manager. The value of the SDT will be established by external oracles or transparent mechanisms when the oracles don’t support certain assets (for example tokens from IDOs).

Funding

Each service from the marketplace will have its own token. When someone connects to a service, they will buy tokens. When they disconnect, they will sell tokens.
The number of tokens allowed in each strategy is capped by the strategy manager. So that investors always have the ability to sell tokens, there will be two mechanisms: a liquidity pool program and an auto-liquidation mechanism; both built into the smart contract natively.

Governance

ZIGDAO looks for a fair, fast and transparent decision-making process. We try to avoid the 1-token/1-vote framework and strive for reaching a “rough consensus”.
Tokens still play an important role in this framework.

Interfaces

The interface will connect with Zignaly DeFi. It will be easy to use so that people do not need to understand what staking, validators, lending, futures/spot, or even crypto is in order to use it.
There will be a big "INVEST" button with easy-to-consume data (risk, track record) so that people can make decisions. A social component will also be present so that people can take into consideration feedback from the community.
The interface will also be connected to the protocol through an open API. This would allow anyone to create their own interface: hedge funds, language-specific versions, skins to gamify, etc.

Trading

There are many different ways to make money with blockchain technology. Some examples include trading in CEXs and DEXs, farming/staking, playing with NFTs, and lending and validating transactions. We will keep our agnostic approach and not build all those options.
We will provide a way for strategy managers to have access to these different opportunities in a safe way. The activity of these strategy managers with the different opportunities will provide a return which will be reflected in the Service Token.

ZigLAB

ZigLab is the business unit that created the vault, ZIGPad and raffles. It has three purposes: exposing Zignaly to other communities, providing benefits for ZIG holders, and creating opportunities for strategy managers.


Governance

ZIGDAO will be powered by the ZIG Token.
To reward ZIG-holding DAO members, we’ve also set a target of achieving 10 billion TVL (Total Value Locked) and 100 Million+ in transactions per month, by the fourth quarter of 2023. We believe that ZIGDAO.com, using the ZIG token, will generate $3 Billion or 30% in returns from the targeted TVL annually.


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