DigixDAO (DGD) – A Beginner’s Guide, Review & More
What is DigixDAO?
Digix is a company which formed the first major DAO, which is short for Decentralized Autonomous Organization. A DAO is an organization that exists on the blockchain and has its rules written in and executed by code. DigixDAO has created two types of ERC20-tokens on the Ethereum blockchain:
- DGB token – Digix Batches, tokens where the holders can submit proposals for the usage of the collected funds, where given to large investors
- DGD token – Token for the DAO, holders can participate in making active managerial decision to any proposals submitted to DigixDAO as well get a share of transaction fees. Holders are rewarded every quarter in the form of DGX tokens.
- DGX token – Each token represents one gram of 99.99% LBMA Standard Gold, the physical counterpart is stored in a Singapore vault. The Gold is redeemable for token holders and can be exchanged in Singapore.
The goal of DigixDAO is to create a stablecoin on the Ethereum blockchain. The DGX token is backed by physical gold.
DigixDAO was one of the very first projects that did a crowdsale on the Ethereum blockchain. If I recall right, only Augur was earlier. And it was the first successful creation of a decentralized autonomous organization. The ICO was held from 29. to 30. March 2016 and the equivalent of 5,500,000 USD in ETH was collected.
Can DigixDAO be mined?
No, DGD and DGX are tokens.
What differs DigixDAO from other Cryptocurrencies?
DigixDAO was the first that tokenized Gold and used the immutability of the blockchain to prove ownership. It is designed as a stablecoin and redeemable against the underlying asset.
How much is DigixDAO worth today?
What is the total and the circulating supply?
The circulating supply of DGD is 2,000,000, but it is a possibility that new tokens are issued in another crowdsale if the project needs additional funding.
The supply of DGX is dependent to the demand of tokenized gold.
Where can you buy DGD?
You can buy DGD on several cryptocurrency exchanges, most notably Binance and Huobi.
Can DGD be sold for cash?
You can sell DGD for cash on several cryptocurrency exchanges that have fiat-pairings, most notably Bitbns (not recommended).
The team is constantly working on the platform. The aim is to spread awareness, form partnerships and continuously improving the user interface.
Verdict and Rating
An interesting project that is around for some time. Could be the future of the gold market.
Tokenization of assets will be a trillion-dollar industry in my opinion. And DigixDAO has first mover advantage here and has excellent contacts in the blockchain space.
DisclaimerThe writer’s views are expressed as a personal opinion and are for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.
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