FAQ

All the questions and answered related to the DAOventures product and DVG governance token

General

Is this safe? How risky is this?

  • Please do your own research and make your own decision.

What was the reason for DAOventures?

  • The DeFi environment is still in its infancy and young due to its poor user experience, anonymous founders, inexperienced team, and some random technical issues. We aim to build the simplest and best tool to invest and manage your DeFi portfolio.

  • Our core team researched, analyzed, and follow the latest DeFi protocols to filter the best from the rest, and our main value proposition is focused on simplicity to improve user adoption and trust with the best performance with risk averse strategies.

  • Gas prices have been really high, and it was expensive to invest by ourselves, so we pooled our funds together to try to save on gas. We decided to build the solution that we were looking for ourselves, and hopefully will help many others.

Feedback

If you have questions about what it is, who we are, or how to operate then we can help:

If you have any feedback or any suggestion or something else you can directly reach us at

Product

dao_stablecoins

What is dao_stablecoins?

  • dao_stablecoins are LP tokens that is issued (or minted) by the Yearn-Farmer smart contract when liquidity providers (LP) make a deposit into the contract.

  • Currently, there are daoUSDT, daoDAI, daoUSDC & daoTUSD and more LP tokens will introduced in the future.

What is daoUSDT, daoDAI, daoUSDC & daoTUSD?

  • daoUSDT, daoDAI, daoUSDC & daoTUSD are the yield-bearing versions of these assets, which are being automatically yielded by DAOventres algorithm. These assets are automatically appreciating, and you can redeem them at any time for daoUSDT, daoDAI, daoUSDC & daoTUSD.

Yearn Farmer

What is Yearn Farmer: USDT?

  • Yearn farmer: USDT is a simple-basic algo strategy that deploys user’s cryptocurrency to the Yearn.finance yield aggregator (simply known as yEarn) and yVault USDT strategy for lending platforms that rebalances for highest yield during contract interaction.

What is a yVault?

  • yVault employ strategies to automate the best yield farming opportunities available. Vaults can use any asset as liquidity, can use liquidity as collateral, and manage collateral at a safe level in order to avoid a default. On the other hand, it also can borrow stablecoins and put the stablecoins to work on some farming. Sometimes it also reinvests earned stablecoins.

What is yEarn?

  • yEarn is a yield aggregator for lending platforms that rebalances for the highest yield during contract interaction.

  • Deposit USDT and it will auto lend to the highest lending rate on these platforms Compound, Dydx or Aave

Why should I choose vaults even if I can do it by myself?

  • You can do it by yourself but vaults help you save on gas, keep a good collateral/debt ratio to avoid defaults, and auto optimizes for the highest yielding stablecoin strategies, even while you are sleeping.

ROI on the vaults page the correct one?

  • Actually it is the historical average for that vault. Current APY / returns are not shown as vaults are a beta product and being tested live. Various third party sites provide APY and other info in the near future.

What are the risks of investing with DAOventures?

  • There are few noticeable risks associated with investing with DeFi. Some of the known risks are technology risk, i.e. exploits and bugs with the codes, market and timing risk and potentially unknowns.

  • Technology risk such as smart contract risk with any contracts that the vaults interact with poise a potential unknown risk.

  • While the assets deposited can't decrease, the debt of the vault can increase. If a strategy does not manage to outperform the debt, then a portion of the asset will be impermanently locked. If a strategy later outperforms the debt again, the asset will again be available to withdraw. There are mechanisms in the vaults to prevent this but nothing is bulletproof.

I deposited into a vault, what will I get out when I withdraw?

  • You can only withdraw the crypto asset type that you put in.

  • You will get the amount you originally put in, plus the yield you've earned, minus the fees.

Revenue

Biz Model

  • DAOventures business model is plain and simple, "Asset fund manager". All fees and profit shares are recorded on the smart contract for transparency.

Fees

What are the Fees?

  • 1% network fee on funds deposited to the DAOventures strategies for operational and development cost.

  • 10% fee for profit sharing with the DAOventures protocol sustainability and the DVG DAO community pool.

Where do the fees go?

  • They go to a dedicated DAOventures treasury contract that is controlled by a multi-sig wallet to ensure transparency and shared vested interest for the long term project success. This is the address: 0x59E83877bD248cBFe392dbB5A8a29959bcb48592

Governance

DVG token

Why $DVG governance token?

  • DVG is created with 100% fair launch. There are no pre-mine for the team & advisor, heck, we paid for security audits and development ourselves.

  • We also believe in long-term success by encouraging more market participation into DAOventures as supporters. Hence, the deflationary distribution model, with low daily inflation rate to reduce market selling pressure. Simple and proven to work!

  • We also believe that the late market adopters should get a 2nd chance to participate in the same category of successful DeFI protocol as YEARN.finance. $YFI is only limited to 30,000 tokens and it has completed its mining reward distribution. The only method to participate into the YEARN protocol is to acquire the $YFI token from the secondary market (priced at $30,000 on Sept 4 2020 according to CoinGecko).

What is DVG exactly?

  • DVG is the governance token that vote, propose and approve any consensus or proposal that governs the DAOventures protocol.

  • Consider it as “equities/shares on a decentralized finance protocol”.

What are my benefits as a DVG holder?

  • He/she would be able to propose, vote, approve and “set the direction” for the future growth of the protocol.

  • As a reward, DVG governance token could be traded in the secondary market. The prices are determined by the free market.

  • $DVG holders will also receive shared 5% from the profits of the DAOventures product (if staked in the governance contract, similiar to YEARN)

How do I acquire $DVG governance token?

  • $DVG is “mined” by staking ‘daousdt’ (or equivalent dao_stablecoin) into the ‘DAOventures governance’ smart contract.

  • ‘daousdt’ are minted by providing liquidity to the DAOventure’s product.

  • The amount of $DVG rewards are split proportionately based on the amount of liquidity provided in the pools. Ie. 1000USDC in a 10000USDC pool equals to 10% of the pool. Proportion per block will be distributed to LP's smart contract.

  • Or, you can buy it from someone else after they successfully “farm” for it.

Can i buy it from the DAOventures team?

  • We truly recommend to earn for it by depositing liquidity into the smart contract pool.

  • Or, you can buy it from secondary market; ie Uniswap pool.

  • The treasury will a Uniswap pool to enable more liquidity in the market. See treasury and multi-sig for details.

Theoretically, how can I profit from $DVG as compared to being a pure LP provider?

  • LP provider gets their yield% from the DAOventures product strategies. Upon withdrawal, there will be a 10% withdrawal fee from the profit.

  • 5% will be contributed to the treasury for continuous operational and development of the protocol (similar to YEARN) and 5% will be distributed to $DVG holders proportionately in the DVG DAO community pool in smart contract.

  • This ensures that DVG holders will be rewarded even if they have moved their capital to other DeFi protocols. We believe in giving back to the community and supporters.

  • Of course, all of these treasury will be in multi-sig wallet ensuring transparency and vested interest for all signatures (nomination will be announced later)

Can you assure me that I can profit and not lose $ by mining for $DVG?

  • No, we can’t. We really can’t. If we do, we are running a ponzi scheme. Only ponzi schemes promise ridiculous returns with low risk. We are not associated nor intend to be such DeFi protocols.

Why should we bother then?

  • You shouldn’t. Especially if you are looking for “moon”, #lambo or 100x in a week. But if you do care, read “What the reason for DAOventures?” at the top of the FAQ.

Community

What is it? Does it really matter?

  • Governance proposes how features are added to the DAOventures ecosystem. Users start a proposal on the community, discuss it and gauge the sentiment of if the proposal will be accepted. If a lot of users agree with it then it can be posted on-chain for everyone to vote on.

How many people need to vote to pass a proposal?

  • The quorum is 20%. Which means that 20% of the staked DVG needs to vote on a proposal for it to pass or else it will fail. Also, it has to have at least 50% of the votes for yes.

  • You can post your proposal on-chain first but if people haven't talked about it, they probably won't vote for it.

How can I make a proposal?

  • Raise the topic on Discord or Telegram and discuss with other community members.

Who can make a proposal?

  • Anyone can post a proposal both on the forum and on-chain.

How do I vote?

  • Stake your DVG and then you can cast your vote for a proposal that are on-chain on the voting dashboard.

Treasury

Details

  • Minted $DVG tokens are sent to respective ‘treasury smart contract’. Treasury smart contract will be fully erc-20 compliant.

    • 15% goes to core team, tech, ops, and future hires. All tokens will be vested and distributed equally over 4 years to ensure vested interest with the DAO community believers.

    • 15% will goes to DAO community pool smart contract. All tokens will be vested and distributed equally over 4 years to ensure vested interest with the DAO community believers.

    • Balance 51% goes to the LP’s distribution in smart contract.

    • 19% are used for pre-sale, liquidity for AMM pools and kept in treasury.

  • Core team, tech, ops , and future hires

    • Core team = 8% of treasury funds are distributed to the core team All distribution for core team vests per block.

    • Tech and Ops = 7% used for daily operations; engineering & innovation of DeFi products.

  • DAO community pool for GP/advisors, growth, and community.

    • Community & Growth = 7% kept for further development and growth use; ie Referral programs, smart contract audits, bugs bounty, community rewards, etc

    • Partners and Advisors = 8% used for regional development, partners referral, advisory fees, etc.

  • ‘Treasury smart contract’ parameters and variables can only be changed by multi-sig approvers. See below for ‘multi-sig approvers’. The treasury will also receive 5% from the profit-sharing of LP’s withdrawal.

Multi-Sig Approvers

// aka ‘board of directors in the real world’ (refer to Yearn multisign approach)

  • Total 9 signatures for Multi-Sig approvers (using Gnosis Multi-sig)

    • Nomination to be confirmed by co-founders; Alvin Foo and Victor Lee

    • Weights are a mixture of core team, initial LPs, and ‘active+engaging DAO community members.

  • Quorum parameters:

    • Approve == 5 of 9 multi-sig.

  • All approvals will be published on DAO smart contract to ensure transparency.

Technical Support

I sent my ETH transaction but it says pending? How do I fix this?

  • You should always make sure to set your gas properly if you want a transaction to go through quickly. Check current gas prices at Ethgasstation or gasnow.

  • If you're using MetaMask and you put your transaction through but it's going too slow, you have the option to speed it up by clicking the speed up button below your last pending transaction under "activity". This should resend the same TX again with a higher gas price to get it confirmed faster.

  • If you've tried everything and your transaction is still stuck pending, you can fix it by sending a transaction to the nonce of the first stuck transaction with a high gas price to overwrite the stuck queue. Here's a good guide explaining how to do this.

Why is the withdrawal fee so high?

  • If you're seeing higher than normal fees while using the Yearn ecosystem then it may be due to Ethereum congestion and abnormally high gas costs. Check Ethgasstation. Your options are to wait until gas prices drop or spend the money to process your transaction now.

  • If the gas prices are crazy high, that means there is an error and the transaction will not be able to process.