Tezos StakerDAO will mark the entry of Tezos Capital into the DeFi movement. As the DeFi ecosystem blossoms, more and more players want a piece of the pie. Chief Executive Officer of Tezos Capital announced the launch of Tezos StakerDAO that will enable blockchain choice for staking.
The booming DeFi market promises good returns. DAO or ‘Decentralized Autonomous Organization’ is becoming the de-facto choice of many companies, especially altcoins, to promote their primary product.
Tezos StakerDAO is about helping the community earn more returns
As per the report by DeFi Pulse, the DeFi smart contracts are currently valued at around seven hundred million dollars ($700M). Most of this money is parked in the MakerDAO ecosystem, which is part of the Ethereum network. MakerDAO gives users the ability to borrow the DAI stablecoin against ETH deposits. The collateralization ratio and interest rate are calculated by the holders of MKR tokens.
Tezos StakerDAO works similarly, and STKR token holders experience benefits of the fundamental DeFi protocol. To increase their returns, token holders conduct a vote and decide the ‘Proof-of-Stake’ networks they will participate in.
The single token risk is minimized on the Tezos platform. STKR token holders further reduce risk and increase their rewards by switching between multiple PoS networks.
The decentralized realm is poised for exponential growth
Jonas Lamis, the lead developer of Tezos StakerDAO, explains that new synthetic derivatives must be extracted from the PoS realm to realize more returns. The downside risks must also be acknowledged accordingly.
Decentralized governance plays a crucial role in expanding the DAO influence. Tezos community is highly engaging with more than eighty percent participation when it comes to governance decisions.
An informed and engaging community means decisions are well-received and a tight centralized model is achieved. In Tezos StakerDAO, the returns and governance were combined to create a single entity that is far more efficient and performance-oriented.
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