For the implementation of any project, it should be an initial capital. So, this is a point – to accumulate this start-up capital. There exist some features in the common FIAT field.
The most common is “pitching.” How it works: The person has a clear understanding of the idea, strategy, and how to implement it, and with all this, he understands that they can occupy a niche that has not yet been filled or has weak competitors. It turns out that all that is required is a platform on which all this will work. Here our entrepreneur can go three roads:
- Present the most detailed business plan to potential investors.
- Fully substantiate his idea and the niche for which he will work.
- Hope that everything will be OK.
There is also so-called crowdfunding. A very interesting solution since fundraising for a project is entirely up to the community. The most famous Kickstarter crowdfunding platform. Here people post their projects and look for funds for development. It also attracts investors who can find something worthwhile without investing too much money. Thanks to this, the project is not fully funded by the whales but receives the necessary funding exclusively from the community. It has been successfully launched in the cryptocurrency world.
Reference Community-Based Token
DogeCoin is the reference and first community-based coin because of its attractiveness as a meme-based value asset. Community-based coins have become extremely popular in the crypto market, producing an increasing number of tokens, platforms, and solutions that adhere to this principle.
However, there is a difference between meme-coin and community-driven projects. So what does “Community-based” means? Community-based coins are almost always based on hodling and staking rewards. They also focus on the brand image and everything around it rather than the actual utility. Of course, this causes doubts and apprehension.
IDO Platforms
This IDO and ISO schema circuit has enabled the community to be the direct contributors to a project. As a result, community members invested in the coin now hold an asset for a profit. Although there is still much scam in the crypto world, direct community involvement in the project is still important for the future outcome of its success, especially in the early stages of development.
It turns out that the growing hype of community-based projects must be placed in a trusted space so that retail investors can work stress-free. Nevertheless, unfortunately, it works only on IDO platforms, as they provide a safer option of investing in the earliest stages of a project.
Community part on IDO Projects
IDO’s success is a difficult problem. Almost all IDOs fail because building a community is a very difficult task and requires much effort.
Daisy – Reference DCO Project
Daisy looks to be an ecosystem. It is a leader in attracting new people. They have assembled a powerful community, and their DCO (Decentralized Community Proposal) is community-oriented.
The core of being “community-based” in the crypto world is keeping followers and exciting them to be in touch. Daisy accomplishes this through years of practice and continuous and consistent development. Unlike many other IDO platforms that start from scratch, Daisy DCO has the advantage of having its community loyal and willing to embark on projects incubated on the platform.
What about Daisy’s benefits? Firstly, Daisy is an interoperable cross-chain project, and the goal is to unite as many blockchain platforms as possible under its wing. Daisy aims to systematically support the growth of products with an even distribution across sales rounds.
Daisy singles out their project as being similar to Capital Investors nowadays, offering the listed products an investment guarantee. One of the solutions of Daisy is its approach to solving management issues.
All DCOs held at Daisy will be determined by the community through the electoral system. Following the Daisy Team, there will be a “defining democratic vote” in the community. This way, by voting on a specific product, the community can decide if the project is worthy of incubation on the Daisy platform so that Daisy will outsource the entire adaptation process on the platform to the community members.
Daisy offers an agreement DPoS method that works at the community point. As a rule, It presents participants to validators and community members and gives awards depending on their contribution to the cause.
Ending
Clear that community-based projects and crowdfunding are the most important things that define DEFI, which will move the entire crypto market up.
