Hello Everybody! Today we are talking about DODO — we are going to know every aspect of this platform, its historical background and how it works
C’mon — let the article begin!
DODO’s — Historical Background
DODO came onto the scene aiming to shake up the DeFi space. They introduced the Proactive Market Maker algorithm, which focused on liquidity around oracle prices to boost capital efficiency and improve exchange rates for mainstream assets. Over time, they've added amazing features like the Swap Aggregator DODOX, Limit Orders, Crosschain Swap Aggregator, Launchpad, Token Creator, Trading Widgets etc,.
DODO has been busy, with deployments across 14 mainnets and over $141 billion in total trading volume through more than 24 million transactions, engaging over 3.31 million users globally.
The launch of DODOchain in April 2024 was a big step towards becoming an Omni Trading DEX, allowing the platform to bring together liquidity from different chains and support direct asset trading across the Ethereum and Bitcoin ecosystems.
We got the background now question is what is DODO but before starting it it important to know about PMM algorithm
WHAT IS PMM ALGORITHM — IT’S WORKING
You must be thinking of the PMM algorithm because it is a term very unfamiliar to our daily lives right & the DODO platform revolves around it - Let's know
The Proactive Market Maker (PMM) is DODO's system to make sure there's always enough liquidity (availability of tokens) in its trading pools. Liquidity is important because it allows traders to buy and sell tokens without big price changes.
PMM is like an upgrade of the well-known AMM system, commonly used in decentralized exchanges. The DODO team developed PMM based on how traditional financial markets work to make trading smoother and more efficient.
WHAT IS DODO?
Let me break it down for you in easy words!
DODO — a platform where people can easily buy, sell, and create digital assets without needing a middleman, yes!
It uses a special system called Proactive Market Maker aka PMM to ensure that there is always enough liquidity, meaning there are always enough tokens available for trading at fair prices.
For traders, DODO helps them get good prices. For people who provide tokens to the platform to help with trading, it reduces the risk of losing value — a common issue called impermanent loss. Also, DODO makes it super easy for anyone to create their own tokens, with no complicated steps.
HOW DOES DODO WORKS — KNOW EVERYTHING
DODO is all about making it easy to trade different cryptocurrencies across different blockchain networks, even the ones that aren't EVM-compatible. It's made up of three main parts:
1- The DODO Core Trading Engine
2- Trusted Bridges
3- Layer3 architecture.
If I call the DODO Core Trading Engine — the heart of the DODOchain, it would not be a lie. It uses smart market-making algorithms to keep the trading smooth and prices fair across any blockchain. It changes prices based on how many people are buying and selling, so you always get a good deal.
You are totally in good hands when it comes to DODO
Then there are the Trusted Bridges — They're like super-safe bridges that help you trade between different blockchains.
They pick the safest and most efficient bridges, so you don't have to worry about complicated or expensive transactions.
WHAT YOU CAN DO ON DODO — A POINT TO PONDER
On DODO, you can do a bunch of things related to DeFi. Here's a breakdown:
1. Token Trading: You can buy and sell digital tokens at ease.
2. Liquidity Mining: You can earn rewards by providing your tokens to help the platform run smoothly.
3. Token Creation: You can create your own digital tokens if you want to start a new project.
4. Initial Liquidity: You guys can kickstart your token by adding liquidity, so people can trade it.
5. Custom Liquidity Pools: You can set up your own pool for trading tokens.
All these tools on DODO are designed for you to be safe, efficient, and super easy to use. DODO's special PMM algorithm and liquidity aggregation make trading smooth and reasonable.
WHAT’S THE THING — DODO X:
DODO X is one of the best new platforms in decentralized finance that makes trading smoother and easier. It’s like a one-stop shop for trading across different blockchains, giving you the best prices, smooth transactions, and an easy user experience.
Let’s Know The Key Features:
- Liquidity Pools: These are like pools of tokens that help make your trading easier. You can add your tokens to any pool or even create your own based on your needs. For example, there’s a special pool for stablecoins and another one for people who want more control over trading strategies.
SIMPLE
- Mining: Let’s talk about some EXTRAS because DODO thinks all about your benefits — DODO offers a way to earn extra rewards by adding your tokens to liquidity pools. What’s unique is that you can even start your own mining activity, allowing you to give any token as a reward.
- Crowdpooling: This is my favorite one — I call it a fundraising method for new tokens. It lets anyone raise money and distribute their tokens while instantly providing liquidity for these tokens.
- Token Creation: DO YOU WANT TO CREATE YOUR OWN TOKEN — If yes, DODO makes it super easy. No coding is required—you can issue a token with just one click across multiple blockchain networks.
DODO X makes trading, earning, and creating tokens in DeFi really simple and user-friendly — isn't it super duper amazing?
THE ADVANCEMENTS OF DODO
DODO is all set for the launch of DODOchain, where it will become the main exchange supported by amazing tech like Arbitrum, EigenLayer, and AltLayer.
WHAT’S THE BENEFIT? This move will make trading even better, offer more rewards, and cement DODO's position in the decentralized finance world.
Also, $DODO will soon roll out a platform for creating and trading Meme coins. Plus, DODO's got some big investors on board like Binance Labs, Pantera Capital, Coinbase Ventures, and more.
DODO TOOLBOX — A SET OF POWERFUL TOOLS
The DODO Toolbox is a set of powerful tools designed to help people in the DeFi space. It focuses on two main features:
1. Create Token:
This tool lets you easily create your own ERC20 tokens (digital tokens) on compatible blockchains.
- You can set up important details like the total number of tokens, the token name, and how the tokens are divided.
- There are extra features like burning tokens and reducing supply, setting up trading fees, or increasing supply, making the process flexible and customizable.
2.
Liquidity Mining:
You can quickly set up your own liquidity mining campaign on DODO. There are two options:
- Single Coin Mining:
Stake your tokens without the risk of losing your initial amount.
- LP Market Making Mining:
Add your funds to liquidity pools, which could involve some risk, depending on the market.
Both options cater to different levels of risk and strategies, so if you have to choose one which will you choose?
THE CROWDPOOLING
Crowdpooling is a method for distributing tokens and starting a liquid market that’s open to everyone. It combines the ideas of crowdfunding which is raising money from a group of people and liquidity pools where people contribute tokens for trading
WHAT’S THE DIFFERENCE?
What makes it different is that it uses a system inspired by traditional stock markets, called a call auction. During the liquidity protection period, everyone gets a fair chance to invest without any rush, and it protects against experts or bots swooping in to take advantage, which often happens with other token launches on decentralized exchanges.
DODO STABLE POOL — FOR LPs
DSP — designed to improve the experience for people who provide liquidity when trading stablecoins.
Stablecoins, like USDT, USDC, and BUSD are linked to the US dollar, meaning their prices stay close to $1. Similarly, synthetic assets, such as WBTC is linked to Bitcoin and stETH is linked to Ethereum, maintain prices close to their anchor.
Since these assets stay close to their target price, DSPs focus on keeping liquidity near that price. This ensures that there’s always enough liquidity at the stable price, making trades smoother and more efficient.
DODO PRIVATE POOL — FOR MARKET MAKERS
DPP — a special type of pool made for professional market makers who need more control than what's offered by regular liquidity pools.
There are two key differences with DPP:
1. Exclusive Liquidity Provision: Only the person who creates the pool can add liquidity, meaning they have full control over the funds in the pool.
2. Dynamic Parameter Adjustment: The creator can change the pool’s settings anytime, like adjusting the price curve or fee rates.
In simple words, DPP lets you set prices and fees however you want and decide how much money to put in, giving you complete flexibility — this is indeed great!
Can DODO’s Multi-Chain One-Click Token Issuance and New Meme Platform Drive a Traffic Surge in the Booming Meme Sector?
Absolutely!
The Meme sector is currently on fire, and DODO's features are perfectly positioned to capitalize on this trend. Their one-click token issuance makes it super easy for creators to launch their own Meme coins across multiple blockchain networks. This simplicity could attract a lot of new users who want to jump into the Meme coin craze without technical barriers.
Plus, DODO's upcoming platform is set to provide a dedicated space for trading and creating these coins, which will likely attract even more traffic. With the ease of creating tokens and instant liquidity through features like Crowdpooling, the platform could see a surge in new projects and users.
We know that the Meme coin market thrives on fast trends, DODO's tools make it much easier for people to get involved quickly.
How DODO's Key Features Like One-Click Token Issuance, Self-Initiated Mining, and Pegged Pool Fuel the Growth of BTCFi Assets and Meme Coins
As we discussed earlier, DODO's toolkit is designed to support various digital assets, including BTCFI and Meme coins. Here’s how:
1. One-click token issuance: This feature is a game-changer for the development of Meme coins and BTCFi assets. It allows anyone to create tokens easily across different blockchains without coding. Imagine launching a Meme coin or BTCFi token in minutes!
2. Self-initiated mining: Projects can launch their own liquidity mining campaigns, offering rewards to attract users. This is ideal for Meme coin projects trying to grow quickly by incentivizing liquidity providers.
3.
Pegged Pool: For BTCFi assets (like Bitcoin-pegged tokens), DODO’s Pegged Pool keeps liquidity close to a fixed price (like Bitcoin’s price), which ensures that users can trade without large price fluctuations. This provides stability for assets like WBTC or stBTC that track Bitcoin’s price, while also maintaining liquidity.
Together, these features provide a strong infrastructure for both BTCFi assets and Meme coins, making DODO a place for innovation in these sectors.
Does DODO's Lower Market Cap and Top Institutional Backing Enhance Its Growth Potential?
Yes, DODO’s lower market cap presents a significant growth opportunity. When a project has a lower market cap, it generally means there’s more room for price appreciation compared to more mature platforms.
DODO’s strong backing from top-tier investors like Binance Labs, Pantera Capital, and Coinbase Ventures adds credibility and trust, making it more appealing to both retail and institutional investors.
DODO’s unique features, like PMM, offer solutions that other platforms don’t, such as better capital efficiency and reduced impermanent loss. Coupled with its low market cap, DODO is in a prime position for explosive growth as more users and liquidity providers realize the benefits of its technology. The upcoming launch of DODOchain and support for cross-chain trading could also attract a lot of attention, boosting its potential for market expansion even further.
DODO's combination of innovative technology, strategic partnerships, and growth potential makes it a strong contender in the DeFi space
ARE YOU JOINING?
