THELOGICALINDIAN - The communitydriven activity has climbed over 160 in the accomplished month
OlympusDAO has bounced off its summer lows and is rapidly abutting a new best high. The project’s able tokenomics, able community, and meme ability are all active adoption.
OlympusDAO Climbs Higher
While added crypto assets beat with bazaar volatility, one activity has consistently climbed college in the background.
OlympusDAO has risen added than 160% over the accomplished ages as absorption in the activity alcove a agitation pitch. The OHM badge is currently trading at $1,224 and is about 13.6% abbreviate of its best aerial of $1,415 accomplished beforehand this year in April. During the bazaar blast in May, the activity was hit hard, accident about 90% of its amount and bottomward to an best low of $162. It has back rebounded with strength.
OlympusDAO is the DeFi agreement that issues the absolutely collateralized, free-floating OHM token. The project’s ultimate ambition is to actualize a abiding crypto asset. However, back attractive at the actual amount swings of the OHM token, this may assume counterintuitive.
The accepted antecedent animation is advised in the aboriginal stages of the project. The DAO’s accepted cold is to aboriginal abound the accumulation of OHM tokens, with stabilization advancing later. In adjustment to abound the badge supply, OlympusDAO has complete a able tokenomic arrangement to draw in new users and accommodate value.
The DAO works by acceptance users to band added crypto assets such as MakerDAO’s Dai stablecoin to the protocol, accepting anew minted and discounted OHM tokens in return. This brings in assets to the DAO, which are again deployed to accomplish yield.
OHM badge holders can pale their tokens to accept the yields generated by the DAO, which incentivizes them not to advertise their OHM. This, in turn, creates added acceptance in the approaching of the activity as yields accumulate increasing. When the OHM badge crop increases, the bazaar ethics the tokens higher, accretion the price. This encourages added bodies to band their assets in barter for discounted OHM, appropriately commutual the cycle.
This tokenomic “flywheel” will alone assignment if abundant bodies are application the agreement to set it in motion. OlympusDAO has fatigued users to the activity through its able association and meme ability surrounding the project.
On amusing media, abounding proponents of OlympusDAO (who accredit to themselves as “Ohmies”) action the (3, 3) suffix in their names to announce adherence to the project. The (3, 3) tag references the bold approach of how the activity works. If a user stakes OHM tokens, it is conceptualized as a 3 absolute for the DAO as it causes scarcity, accretion the amount of OHM. If all DAO participants accept to pale their OHM, it after-effects in the accomplished accessible net absolute for all badge holders, represented by (3, 3).
The bold approach meme architecture has become so arresting that it has alike continued to added projects. For example, users of addition DeFi protocol, Tokemak, accept adopted a agnate meme application radioactive signs instead of numbers.
Additionally, Olympus AO has gone on to affect several agnate projects. The afresh launched TempleDAO takes afflatus from Olympus’ meme culture. At the aforementioned time, Wonderland, a absolute angle on Avalanche, was created by DeFi 2.0 avant-garde Daniele Sestagalli, and has accustomed the absolution of the OlympusDAO team.
Currently, the OHM badge amount looks strong, with added trading aggregate than anytime before. While the tokenomics advance that the amount will abide to increase, critics accept likened the agreement to a Ponzi scheme. Whether OlympusDAO will be able to sustain its accepted amount of advance charcoal to be seen.
Disclaimer: At the time of autograph this feature, the columnist endemic BTC, ETH, and several added cryptocurrencies.
