The DAOventures project is supported by its own governance token, the DVG, a token which allows users to shape the future direction of the protocol.
DeFi may be the new kid on the blockchain, but such is the speed of the nascent sector’s development, even seasoned crypto heads are struggling to keep track. Decentralized finance is currently experiencing a Cambrian explosion in its evolution, but with such rapid development comes concomitant challenges. While getting to grips with DeFi is probably the toughest task in blockchain right now, there are a few development teams looking to lend a helping hand and simply the experience for everyone.
DAOventures is one such project. DAOventures is a personal robo-advisor with the mission to simplify decentralized finance. It allows newcomers to start investing, without having to learn technical minutia, and without spending their every waking moment chasing down the best returns. Described as an ‘automated DeFi money manager’, DAOVentures aims to amplify the gains and minimize risk.
DeFi Is Exciting but Flawed
There’s no doubt that DeFi is the most exciting area of blockchain right now, but it is not without challenges. As outlined by DAOventures a number of major pain points are holding back the industry from reaching a wider audience. These are the following ones:
- Poor user experience: Decentralized finance is still in its infancy, and until now has served a largely “in crowd” of crypto natives. When you compare DeFi with social media platforms or intuitive brokerage apps, the user experience in the sector is significantly lagging behind.
- Trust: Anonymity and blockchain have a proud history that dates back to Bitcoin, but for users outside the crypto sphere, that anonymity can provide cause for alarm. Most people aren’t comfortable entrusting their money to anonymous or pseudonymous coders.
- Security: Developers often work by the “most fast and break things” doctrine, but in DeFi smart contract vulnerabilities can be incredibly costly for individual users and the wider community.
- Profitability: For users that are new to the space, finding the most profitable strategies is incredibly challenging and time-consuming. Individuals often miss out on the most profitable strategies through a lack of experience and industry knowledge.
For these reasons many people are put off investing in DeFi even within the crypto space. To really turbocharge the sector and have it reach its full potential, these issues must be resolved.
The DAOventures team have designed a product that can deliver the very best of DeFi in a single simple intuitive user interface. Further to that, DAOventures have created a product that is designed to demystify DeFi, lower the barriers to entry, and make it possible for almost anyone to invest.
Potential investors are asked to supply liquidity (money) to an investment pool, and in return, DAOventures seeks the best potential returns on their cash. DAOventures is built on four key pillars which provide considerable advantages over going it alone.
- Simple: Users can browse and select from a range of investment opportunities from an intuitive and easily understandable dashboard. Graphs and chart data make it easy to compare and contrast investment strategies and maximize profits.
- Secure: The code which built DAOventures is subject to a security audit, code-review, open-source review, pen-test and a third party audit.
- Trusted: The team behind DAOventures is as transparent as their code. They are a group of established fintech and cryptocurrency professionals. No anonymity here.
- Affordable: Thanks to a pooled investment fund model, users save on transaction costs (gas fees) on the Ethereum blockchain.
Governance Decentralized Too
The DAOventures project is supported by its own governance token, the DVG, a token which allows users to shape the future direction of the protocol. Each DVG token is worth one vote on the platform, with a minimum number of 1,000 tokens required before a user qualifies for voting. The DVG tokens can only be acquired by staking in the protocol’s smart contract, providing yet another compelling reason for participating in the DeFi sector through DAOventures.