DODO Project is all set to Revolutionize Crypto Exchanges

The crypto industry is all set to explode in the future, provided its fast-moving pace and acceleration—decentralized crypto exchanges (DEXs) being the substantial proof to this. While several DEXs are operating on the concept of automated market makers (AMM), the DODO project aims to boost things and change the way DEXs operate. The platform currently has over a million in funding and is backed by Binance, among others.


Unique Differentiating Factor


A DEX (decentralized crypto exchanges) platform, DODO promises traders highly capital efficient liquidity pools that support single token provision, reduce impermanent loss, and minimize slippage. This comes from the proactive market maker (PMM), a new kind of algorithm that makes buy and sell decisions on the platform.

DODO is differentiated by the PMM. DEXs are driven by smart contracts instead of companies. While trading on a DEX, the platform needs an ETH-USDT liquidity pool. DEXs achieve this by allowing anyone to provide liquidity, and smart contracts define when liquidity can come into play. On regular DEXs, these smart contracts are called AMMs.

The DODO project claims that its PMMs can even be adjusted to take into account external price oracles to avoid impermanent loss, which is a phenomenon that affects liquidity providers when the price of an asset changes between the time it is deposited to provide liquidity and when it’s withdrawn.


The vDODO Token


The vDODO token, which is the native cryptocurrency of the DODO project, has three categories—traders, liquidity pool creators (LPCs), and liquidity providers (LPs). The tokens have three functions—governance, crowd pooling and initial dex offering (IDO) allocations, and trading fee discounts on DODO. The vDODO token is used to serve as proof of membership in DODO’s loyalty program and can be minted at a fixed rate of 1 vDODO being equal to 100 DODO. The platform also encourages long-term membership by redeeming vDODO tokens to DODO tokens by employing a variable exit fee.

On the governance front, holders of the vDODO token can vote on proposals with a single vDODO token being equal to 100 votes. The platform also introduced a ‘lite’ version of the DODO app, which is meant for those who are new to the decentralized finance (DeFi) ecosystem. The DODO LITE app provides users with a clutter-free experience and performs trades more easily.


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