Company attributes
Other attributes
DAO Maker is the developer of a participatory platform that offers growth and funding opportunities for blockchain and cryptocurrency start-ups, with reduced investor risk. This includes community-based fundraising for projects, which provides social mining for incubation and growth, DYCO and SHO for fundraising support, and venture bond and yieldShield to create safe environments for fundraising. This ecosystem enables a project to use DAO Maker's resources and the project's resources to build a token, while community members who engage in project-enhancing actions are rewarded based on the value-add assessed by the token holders.
DAO Maker was co-founded by Christoph Zaknun and Giorgio Marciano in 2018. The company was built to serve retail investors who are looking to grow their capital but are unable to afford to risk large portions of their money.
DAO Maker's platform is a decentralized platform for venture capital, in which community members can stake DAO tokens to engage in fundraising and token sales while cryptocurrency, blockchain, and NFT projects can launch on the platform and raise funding through the platform. The intent of the platform is to offer retail early-stage exposure to start-ups working on the future of anything, including finance, insurance, healthcare, and transportation.
The platform is intended to be fiat-enabled for venture funding, and to support FDIC-insured stablecoins and fiat coins. It will also involve tiered levels of risk to offer different products based on a user's risk appetite. This includes its venture bond, dynamic equity/coin offerings, refundable strong holder offerings, and standard offerings.
The venture bond is for near-zero risk, but with reduced rewards to the investor. While the standard offering for an equity or token issuance provides no protection, it can deliver the greatest rewards for a maximum risk appetite. The Dynamic Equity/Coin Offerings (DYCO) allows a start-up to raise funds while holding them accountable, to give DYCO participants the right to claim refunds at specific milestone dates. This requires the project to perform at a level that keeps the community convinced in its longevity. The refundable Strong Holder Offering (rSHO) is a funding focused on seeding projects in the community if they have filled private rounds with VCs.
Venture Bonds are structured financial products designed by DAO Maker to:
- enable start-ups to issue a bond accessible to retail investors
- deploy principal funds collected from bond purchasers to generate interest
- allow users to swap interest for equity or tokens (with the interest becoming funding for start-ups, while retail purchasers earn tokens or equity from the bond), and
- return to the buyer their principal, at the maturity of the bond.
The bonds may only generate around 8 to 10 percent in interest, but they protect the bond purchaser. And as the purchaser can swap that interest for early-stage equity or tokens, it could represent a larger growth opportunity.
Another feature of DAO Maker's platform, Stablecoin Yield Farming (or Stablecoin Farming), allows users to deposit and lend their stablecoins on a decentralized financial mark in order to earn an interest rate on those coins. DAO Maker's Stablecoin Farming uses the same protocol as the Anchor Protocol on the Terra Blockchain, but it opens the concept up to blockchains and cryptocurrencies beyond $UST, including tokens such as $USDC, $DAI, $USDT, and $UST.
In order to participate in SHOs, users are required to stake DAO tokens, which can provide venture yield rewards. The size of the reward depends on the staking period, with longer stakes that pay better but require users to pay 50 percent of their earned rewards when unstaking before the end of the defined period. The DAO Maker Venture Yield Simulator enables to understand what they stand to make, based on the staking amount and the staking period of time.
The DAO Maker token (DAO) is a governance token for the DAO Maker ecosystem. The token is built on the Ethereum blockchain, and holders of the token are allowed to exercise control over the ecosystem. The token is part of DAO Maker's aim to build a decentralized ecosystem that can serve as a go-to platform for retail venture investing. Those wishing to invest in a token or blockchain on the DAO Maker platform do so using the DAO token through the token sale framework, called Strong Holders Offering (SHOs).
Further, the token is an ERC-20 token, which is secured by smart contracts built on the Ethereum blockchain. The yield staking is audited by Certik, Hacken, Peckshield, SmartState, and Zokyo. Any investors on the platform have to go through a mandatory KYC/AML verification before participating in sales.