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AlgoDAO Introduction & FAQ

Introduction

AlgoDAO is a community-owned and community-driven DAO, Incubator, Launchpad, and Innovation Pool purpose-built for the Algorand network.

AlgoDAO serves as a primary market ecosystem that aids the rapid realization of Algorand’s mission to eliminate the technical barriers that hamper the mainstream adoption of blockchain technology. As Algorand eliminates the technical barriers, AlgoDAO eliminates the economic barriers by providing access to a DAO-governed incubator and primary market infrastructure that enables builders to access funding at scale.

As AlgoDAO continues to achieve its development targets to attract greater interest from institutional and private stakeholders, we are excited to share with you more details about what’s under the hood at Algorand and what you can expect as we continue to build.

We are undertaking an ambitious project to mainstream Algorand and the Web3 projects that it powers, and we encourage you to come along for the ride.

What is AlgoDAO?

AlgoDAO is a next-generation DAO-governed incubator, primary market infrastructure, and accelerator for the Algorand ecosystem powered by the ADAO token. AlgoDAO eliminates the economic barriers to Web3 funding by providing access to a DAO-governed incubator and primary market infrastructure that enables builders to access funding at scale. AlgoDAO is made up of four distinct but complementary building blocks;

DAO-governed Accelerator

AlgoDAO Accelerator supports projects from incubation until they are ready for the market, and beyond through Incubation, Pre-money financing, and IDO rounds. As a DAO-governed accelerator, it has decentralized project-access-controls to ensure democratic access for all participants.

Launchpad

AlgoDAO Launchpad empowers Algorand to scale its DeFi, dApps, and Web3 applications ecosystem by discovering, enabling and supporting strong dev teams to build and launch on Algorand towards a thriving DeFi, dApps, and Web3 ecosystem.

SIGMA pool

AlgoDAO’s SIGMA pool is a special liquidity pool collectively owned by the AlgoDAO community. The SIGMA Pool has a SIGMA token model which empowers the community to access truly democratic and inclusive launchpad tokenomics. The SIGMA pool is designed to continue to grow sustainably with every pre-money round funded through AlgoDAO and from every IDO conducted through AlgoDAO Launchpad.

DAO-governed liquidity engine

AlgoDAO Liquidity Engine is a liquidity-providing and market-making model with liquidity pooling capabilities aimed at creating efficient and sustainable liquidity across Algorand’s DeFi ecosystem. The liquidity engine is still in development and we will inform the community when it is live.

Our Motivations

Why Algorand?

Algorand is one of the most technically advanced L1 blockchains, with a provably fast, decentralized, developer-friendly, secure, yet flexible protocol. However, we observed that the DeFi ecosystem on Algorand currently lags behind the DeFi ecosystems on other blockchains. The disparity between the TVL of Algorand’s DeFi relative to other comparable networks provides an opportunity to stimulate and incentivize dev teams to build on Algorand and for communities to emerge around what’s being built.

AlgoDAO addresses the need by functioning as a DAO-governed incubator and primary market infrastructure to rapidly scale Algorand’s DeFi ecosystem to make ALGO a more productive asset, get the community more engaged, and build a solid foundation for Algorand’s DeFi to thrive.

Who owns AlgoDAO?

AlgoDAO is an autonomous community-owned and driven ecosystem. It has a carefully balanced governance framework that gives all members of the DAO a voice in how AlgoDAO functions and runs. Who is AlgoDAO for? All projects building and intending to build on Algorand. Current and new Algorand community members, Institutional investors - VCs, family offices, funds.

Who is behind AlgoDAO?

AlgoDAO is an open-source project with valuable contributions from members of the DAO. The initial development is being facilitated by a capable team with experience in: Sourcing the best projects with an intent to launch on Algorand, attracting projects from other chains to launch on Algorand. Vetting project concepts and facilitating the orderly delivery of tech promised and ecosystem capabilities. You can find more information about the AlgoDAO team here.

Who will benefit from AlgoDAO ?

  • AlgoDAO members
  • Teams building on Algorand
  • The Algorand ecosystem

What is an IDO and why is AlgoDAO using IDOs?

IDO is an acronym for Initial DEX Offering and it refers to the sale of the tokens of new projects using decentralized solutions to provide equal access opportunities for all interested participants and ensure transparency.

AlgoDAO is using IDOs because it aligns with the decentralized, transparent, and democratic ideals of Web3. IDOs can be provably democratic, fair, and transparent because the IDO conditions are managed by smart contracts rather than humans.

We can predefine conditions such as maximum allocation per user, duration of fundraising, and IDO termination, among others. AlgoDAO adopts the IDO mechanism because it ensures that both teams and users get the maximum benefits from each fundraising round under the most efficient conditions.

ADAO

Does AlgoDAO have a token?

Yes! The AlgoDAO token is called ADAO, an ASA (Algorand Standard Asset) token for use within the AlgoDAO ecosystem. ADAO has a total supply of 100 million tokens.

Is ADAO listed anywhere?

ADAO is already listed on a number of decentralized and centralized exchanges. You can buy $ADAO tokens on Pact, MEXC Global and Tinyman.

Information on new listings will be released on our socials, specifically Twitter and Telegram and Discord.
Become a part of our community and follow us on social media!

Telegram group: https://t.me/AlgoDAOCommunity
Telegram announcements: https://t.me/AlgoDAOAnnouncement
Twitter: https://twitter.com/AlgoDAO_fi
Discord: https://discord.gg/algodao
Medium: https://medium.com/algodao-fi

How can I buy ADAO tokens?

AlgoDAO's IDO is alreadt completed.

You can buy $ADAO tokens directly from a number of decentralized and centralized exchanges. You can buy $ADAO tokens on Pact, MEXC Global and Tinyman.

Ecosystem and Security

Is there any formal audit of the Platform?

Yes, we already did a formal audit of the Platform since we are committed to ensuring that users have maximum confidence in AlgoDAO as we continue this journey to activate a vibrant dApps ecosystem on Algorand.

The formal audit was done by the Cyber Unit Tech Corporation which is a renowned cybersecurity company that educates both enterprises such as Cisco and governments on how to improve performance, build resilient technical systems, and eliminate vulnerabilities in critical infrastructure.

Cyber Unit has delivered the final report of AlgoDAO’s smart contract code audit concluding that AlgoDAO’s smart contracts do not have any security risks nor logical contradictions in the protocol.

Will AlgoDAO be open-source?

AlgoDAO is a community-owned project that subscribes to open-source ideals. The DAO welcomes contributions from all interested participants. To make non-technical contributions, join one of our community channels provided below.

Telegram group: https://t.me/AlgoDAOCommunity
Telegram Announcements: https://t.me/AlgoDAOAnnouncement
Twitter: https://twitter.com/AlgoDAO_fi
Discord: https://discord.gg/algodao
Medium: https://medium.com/@AlgoDAO.fi

Are you already incubating ADAO projects?

AlgoDAO already has several projects in the pipeline and the first set of AlgoPAD projects will commence their IDOs within the next few months.

We we await for projects to launch on AlgoDAO through standard IDOs, we also have a unique Reverse Hackaton Offering (RHO) through which AlgoDAO members can participate in early-stage funding rounds of projects building on Algorand. Learn more about how RHOs work.

How do I apply my project for an IDO?

Projects that want to go through AlgoDAO’s incubator can apply for consideration through the community proposal process that starts with due diligence.

Click here to complete the due diligence form.

Click here to begin the application process.

Will AlgoDAO incentivize the community with rewards?

Yes, AlgoDAO Community will be able to earn tokens by liquidity mining, staking, or by our innovative Sigma pool. Community members will be rewarded on a Pro-rata basis.

What are the IDO pool types?

Our Federation for IDO Allocations consists of 5 tiers ranking from lowest to highest:

  1. Ensign
  2. Lieutenant
  3. Vice Admiral
  4. Flagship Commander
  5. Fleet Commander

AlgoDAO Incubator

How does the accelerator work?

The AlgoDAO accelerator process takes projects through 4 distinct stages; namely:

Incubation:

This translates to the early-stage period where AlgoDAO’s access-control mechanism vets project that will make it to the AlgoDAO platform

Pre-money:

this translates to the funding initiation stage where AlgoDAO members in the Vanguard and High Council tiers can access projects

IDO:

This translates to the process for presenting the project to the AlgoDAO community and broader Algorand ecosystem to raise awareness and funding.

What is the incubation process?

Project proposal

The incubation process begins in the community forum or in the Discord dedicated channel, where anybody can propose a new project for incubation. Projects are also welcome to nominate themselves for consideration.

Project selection

The Vanguard looks through the proposed projects based on community votes or their own preference to select projects for due diligence. There’s a community participation mechanism that allows the community to make inputs but the Vanguard is not obliged to take all projects proposed by the community.

Due diligence

The next stage of the accelerator involves due diligence, which is a public process in which the project provides more information about their motivation, idea, team, tokenomics, etc. and the AlgoDAO community gets to ask more questions.

Incubation

Once the project passes due diligence, the Vanguard works closely with the team to help the project achieve some set benchmarks.

Signing off

Next, the Vanguard signs off on the token issuance process. All projects launching through AlgoDAO have a special contract that issues the tokens and the contracts are not activated until Vanguard has voted to allow the issue of the tokens.

Primary market funding begins

Once the Vanguard signs off on token issuance, the Seed and private round begins and Vanguard and High Council gets access to participate in the rounds. Members in the Federation tier can stack their stake to reach High Council status to participate in the rounds.

IDO

After the primary market fund, the Vanguard signs off on the IDO and the project is exposed to retail audience for participation. It is especially important to note that the Seed and Private rounds are only available to institutional investors and retail investors are welcome to participate in the IDO.

What are the incubation criteria?

Incubation criteria will be published by the Vanguard and might be subject to changes and reviews. Broadly speaking, the incubation criteria will start with a due diligence form. In the form, all questions are weighted with a formula that accounts for different aspects of the project.

If the score of the project is about 80%, it would be accepted that the incubation criteria of the project are met and the incubation can start.

Learn more about AlgoDAO's incubator process

SIGMA Pool

What is the SIGMA pool?

AlgoDAO’s SIGMA Pool is a specially-designed liquidity pool funded with project tokens every time a new project completes a successful seed financing or IDO through AlgoDAO.

The SIGMA pool can be described as a reserve of all the project tokens incubated through AlgoDAO. It is collectively owned and operated by members of the AlgoDAO community. And the best part, AlgoDAO members can claim these project tokens.

The final supply of $SIGMA tokens is 100,000,000 tokens that is released every block over a 10-year period with a per-epoch decreasing emission rate. The emission rate function slows down the release rate of the tokens to ensure an even distribution over the years.

Learn more about how the SIGMA pool works here

How does AlgoDAO’s SIGMA Pool work?

When projects are about to be incubated on AlgoDAO, they commit to contributing a percentage of the total tokens to be sold during the IDO towards supporting the SIGMA Pool.

On the successful completion of a seed funding round on AlgoDAO, the project will deposit 10% of their project tokens sold during the seed funding into the SIGMA pool. Similarly, when projects successfully complete an IDO round on AlgoDAO, they deposit 30% of the project tokens sold during the IDO in the SIGMA pool.

For example, if a project wishes to raise US$200,000 during an IDO by selling 400,000 tokens (at an effective token price of US$0.5), 30% or 120,000 tokens will go to the SIGMA Pool. However, it is important to note that both the 10% and 30% are DAO-governed parameters subject to change.

What is SIGMA minting?

SIGMA minting is the process of claiming the project tokens accruable to the $SIGMA tokens that you have farmed.

Remember that the SIGMA Pool contains project tokens from all projects that successfully completed a seed or IDO funding round on AlgoDAO. The $SIGMA tokens farmed represent an index basket of the projects incubated on AlgoDAO. After you have staked $ADAO to farm $SIGMA tokens, SIGMA minting is how you convert the SIGMA tokens into the actual project tokens.

To “claim” the project tokens you need to burn your $SIGMA tokens. Burning $SIGMA tokens is simply the process of executing a burn function that removes them from circulation by sending them to an unusable wallet address, where they can never be accessed again.

Once you have successfully completed SIGMA minting, you will receive a pro-rata percentage of all the project tokens sitting in the pool at the time of the minting based on the number of $SIGMA tokens you have relative to the ADAO members.

What is SIGMA farming?

SIGMA farming is simply the process of staking $ADAO tokens to farm $SIGMA tokens. You need to stake $ADAO tokens to qualify for SIGMA farming. AlgoDAO members who stake $ADAO tokens can expect to receive a pro-rata distribution of $SIGMA tokens, which are released at fixed time-step (block, hour, minute, second…).

The more $ADAO tokens you stake, the more $SIGMA tokens you can farm as the farming function pro-rate your $ADAO stake relative to the $ADAO staked by other users and the amount of $SIGMA tokens due for distribution based on the rate emission rate.

AlgoDAO's DAO

What is a DAO?

Decentralized Autonomous Organizations (DAOs) are community-owned and community-driven entities with no centralized leadership. DAOs are organized around a specific set of rules enforced by smart contracts, and their treasuries are only accessible by community approval.

What is different about AlgoDAO’s DAO?

DAO is a generally broad term and AlgoDAO is a DAO in the sense that it is a community-owned and community-driven project managed with smart contracts and shaped by community proposals. What differentiates AlgoDAO from the broad DAO sector is that AlgoDAI is functionally an accelerator managed as a DAO.

Another important feature that differentiates AlgoDAO is a dual-token model that gives members a SIGMA pool allocation exposure to every project that goes through Algodao irrespective of the size of their ADAO stake.

What are the different membership hierarchies of the AlgoDAO?

There are three major hierarchies of membership participation in AlgoDAO; namely: Vanguard, High Council, and Federation. The membership tiers are used to determine what obligations, access, and benefits are available to members of the DAO.

Vanguard

The Vanguard is AlgoDAO’s highest membership tier, and members of the Vanguard can access projects at both the Pre-Money Financing (PMF) and IDO stages.

High Council

The High Council sits below the Vanguard in membership in the hierarchy, members of the High Council can either access Pre-Money Financing (PMF) or IDOs, but not both.

Federation

The Federation membership tier is open to everybody that wants to participate in AlgoDAO. Federation members who stake ADAO tokens can participate in IDOs, but not PMFs. Federation membership is further divided into the following categories/tiers.

  1. Federation Tier 1: Ensign
  2. Federation Tier 2: Lieutenant
  3. Federation Tier 3: Vice Admiral
  4. Federation Tier 4: Flagship Commander
  5. Federation Tier 5: Fleet Commander

Learn more about AlgoDAO's DAO structure here

Can I upgrade my membership tier?

Federation members can upgrade their membership by delegating their stake to collectively get High Council membership. High Council members can also become Vanguard members if they can convince the Vanguard to unanimously vote to accept them in the Vanguard.

Can my AlgoDAO membership be revoked?

If members act maliciously, the AlgoDAO community can propose a vote to determine the best way to address the circumstances. Vanguard and High Council can generally vote out their members (where necessary), but the community ultimately gets a chance to shape how memberships can be retained or revoked.

How can I become a member of AlgoDAO?

Membership in AlgoDAO is easy but it takes different routes depending on the membership hierarchy that interests you.

  • The Federation membership tier is open to everybody that wants to participate in AlgoDAO in as much as they are willing to stake ADAO tokens.

  • You can become a member of the High Council if other Federation members delegate ADAO stakes required for High Council membership to you.

  • The Vanguard is a closed group and it takes the unilateral decision of existing members to admit new members.

To become an AlgoDAO member, all you need to do is to stake ADAO tokens.

Learn more about staking $ADAO tokens here

How do I end my AlgoDAO membership?

To end your ADAO membership, all your need to do is to unstake ADAO and you stop being a member.

What benefits do AlgoDAO members enjoy?

AlgoDAO is a community-owned and governed ecosystem and being a member qualifies you for the following benefits and more;

  • Depending on your membership tier, you can get direct priority access to PMF rounds, Seed Rounds, and IDOs to high-quality projects being built on the Algorand ecosystem
  • Depending on your membership tier, you can vote on which projects can be admitted into AlgoDAO’s incubation, accelerator, Launchpad, or IDO programs
  • Depending on your membership tier, you can propose projects to AlgoDAO for acceleration
  • Depending on your membership tier, you can set forth governance proposals for Algorand and vote on such proposals
  • Members can participate in SIGMA minting and farming to earn the tokens of projects incubated, accelerated, of IDOed through AlgoDAO
  • You are in the driver seat of the evolution of the Algorand ecosystem. We bring the projects and you as a member can observe and participate
  • You gain access to the tokens before they are on the market

Participation in IDOs

What is a project pool?

A project pool is a smart contract created specifically for IDO purposes. The project pool (smart contract) stores the tokens of projects that are raising funding through AlgoDAO and it collects payments from AlgoDAO members interested in participating in the IDO.

The smart contract has pre-defined parameters such as the start and end dates of the IDO, the minimum contribution, and maximum allocation for each user, and it ultimately manages the IDO process transparently.

What is KYC?

KYC is an acronym for ‘Know Your Customer’ and it refers to the process of establishing the ‘identity’ of each person participating in funding rounds on AlgoDAO.

The KYC process is geared towards ensuring that AlgoDAO members are in compliance with anti-terrorism financing and anti-money laundering requirements, in addition to being politically-exposed persons or residents of restricted jurisdictions.

Learn more about the KYC process for upcoming projects on AlgoDAO here

How do I perform KYC?

Learn more about the KYC process for upcoming projects on AlgoDAO here

Do I need to perform KYC for every IDO?
No. You will only be required to undergo the KYC process once.

Who can participate in an IDO?

AlgoDAO welcomes everyone to apply and participate in public IDOs. Once you have completed KYC and have the minimum ADAO requirements for each IDO.

You will not be able to complete KYC and participate in IDOs if you are resident in certain restricted prohibited jurisdictions that include the following countries: Cambodia, Ghana, Afghanistan, Mauritius, Myanmar, Nicaragua, Pakistan, Senegal, Syrian Arab Republic, Yemen, Iran, North Korea, United States of America, United States Minor Outlying Islands.

What’s the difference between pre-money financing and public IDO stages?

Pre-money financing, also known as ‘private/seed sale’ is a token sale round reserved for particular members or groups of investors. Usually, it involves slightly different prices per token and a prolonged vesting schedule.

Why does the Vanguard access projects at a lower price than High Council and the Federation?

Vanguard members are able to access projects at a lower price than High Council members because the Vanguard bears more risk of early-stage participation in the seed round.

High Council members also get a better access price than Federation members because High Council takes on more risk by participating in private rounds.

Federation members also get a much better price than the general public because they access the projects before the tokens are listed on exchanges.

What are possible pool states?

Project Pools for IDOs on AlgoDAO can be in one of the following possible pool states once the IDO begins. In Progress The “In Progress” state means that the IDO is ongoing and open for participation

Sold Out

The “Sold Out” state means that the project received exceptional interest from the AlgoDAO community and the pool was bought in full before its expiration date. If you were able to buy into the project before it was sold out, you can claim your project tokens.

Finished

The “Finished” state means that the project reached and passed the ‘Soft Cap’ target set for the IDO and the IDO expiration date has passed. If you bought into the project, you can claim the project tokens.

Paused

The “Paused” state means that AlgoDAO detected some anomaly or suspicious activity around the project and paused the pool. Since the pool is paused, it's impossible to interact with the pool. However, this is typically an emergency situation and it doesn’t take long to resolve.

Failed

The “Failed” state means that the IDO pool failed. An IDO pool will be considered “Failed” if it is not able to meet the ‘Soft Cap’ target before the pool expiration date. An IDO pool can also be marked “Failed” if AlgoDAO cancels it in an emergency response to malicious intent or activity. When a project is marked “Failed” the AlgoDAO users will receive refunds equivalent to the funds they sent into the Project Pool.

I sent the transactions and received an error, what does this mean?

The error after sending a transaction to a project pool could either mean that the pool is no longer available; meaning it is no longer in the “In Progress” state by the time your transaction was confirmed on-chain. You could also receive a transaction error message if you didn’t include enough transaction fees when sending your funds to the pool.

What is the minimum contribution?

There is no minimum but there is a maximum per project. The max allocation is determined by your membership level or tier. Vanguard gets the biggest allocations at the lowest prices. But the prices are still lower than the listing prices.

I bought tokens from the pool and the transaction was successful, but I don't have any tokens in my wallet. Is that correct?

You need to execute a separate smart contract call by claiming the tokens from the pool, only then you will receive the tokens in your wallet. Please note that you will only be able to claim the IDO tokens during the "Distribution Stage" after the IDO is successfully completed.

I bought some tokens in a pool and then changed my mind. Can I return my funds back?

No, purchased tokens cannot be sent back to the pool nor can they be refunded.

Can I buy project tokens via multiple transactions?

Yes. You can buy project tokens using multiple transactions.

However, you can only do so from a single whitelisted wallet address. Also, you need to ensure that the total amount of all the transactions does not exceed the maximum allocation for your membership tier.

How do I claim tokens I purchased and what is the time limit for doing so?

You can claim your tokens using the ‘Claim’ button once the pool time closes. The pool time will close either when the pool is fully subscribed or when the time fundraising has ended.

This “Claim” button will become functional after some ~30 minutes have elapsed since pool completion, to enable the project teams to set up secondary market liquidity pools. Please note that you can claim your tokens at any time, and indefinitely once the pool has closed.

There is no deadline and the smart contracts will be ready to release your tokens to you whenever you are ready to claim them.

How do I verify token ownership?

Once the transaction is confirmed on the Algorand blockchain, the IDO is completed, and you have claimed your tokens, you should be able to see the respective amount of the project tokens in your wallet.

If for some reason that is not the case, make sure that the transaction was successful and you have added the token, from the token list to your wallet.

What is ‘whitelisting’?

Whitelisting is the process of reserving a place for participation in an IDO.

What is ‘guaranteed allocation’ and will the AlgoDAO Launchpad have guaranteed whitelisting?

Most IDO projects distribute only a portion of their token supply to early investors before launching on the secondary market, in order to participate users need to stake ADAO tokens to gain access to a guaranteed allocation.

This way the IDO tokens will be reserved and one can easily buy them without having to rush or wait for a token launch.

AlgoDAO has 5 IDO tiers, only members with Tier 1 membership (Fleet Commanders) have guaranteed whitelisting.

How many ADAO would need to be staked in order to access the launchpad?

There are no minimum staking requirements to access the launchpad. However, there is a maximum allocation.

What is ‘maximum allocation’?

The max allocation is determined by your membership level. Vanguard gets the biggest allocations at the lowest prices. But the prices are still lower than the eventual listing prices of the projects.

How long do I need to wait for KYC approval?

Typically 24 hours after completing the KYC excluding the weekends

How do I know if I passed the KYC process?

Your KYC status is displayed in your wallet management modal on https://app.algodao.fi/ as well as email notifications from our KYC provider.

Who Decides if IDO Projects are Delayed?

Projects themselves decide when to launch and whether they find the conditions for their project launch appropriate or not.

Do you require KYC for AlgoDAO’s IDO?

No, since $ADAO is a utility token, KYC is not required.

Do you offer the $ADAO token in the U.S.?

For regulatory caution, the IDO is not available in the U.S., i.e. the $ADAO token is not offered in the U.S. Similarly, it is also not available, i.e. not offered various jurisdictions which are subject to sanctions.

AlgoDAO's IDO

AlgoDAO's new IDO parameters are a product of careful thought on the way to incorporate much of the community feedback in the IDO planning while still ensuring that the AlgoDAO delivers on the short, medium, and long-term expectations of the community.

IDO size: $ADAO 400,000
Maximum allocation: US$1000

If you are participating in the IDO, you'll be pleased to know that the total IDO size is now set at $ADAO 400,000 with a maximum allocation of US$1,000 per participant.

We expect to have only 300 community members participating in the IDO on a first-come, first-served basis. i.e to buy $ADAO tokens described below.

Tier 1 (Fleet Commander): $ADAO 25,000

Tier 2 (Flagship Commander): $ADAO 12,000

Tier 3 (Vice Admiral): $ADAO 4000

Tier 4 (Lieutenant): $ADAO 1000

Tier 5 (Ensign): $ADAO 60

Early Stake Booster: $ADAO 300,000

In addition to the $ADAO 400, 000 released during the IDO, the Early State Booster program is designed to release another $ADAO 300,000 to the community.

Participation in the Early Stake Booster pool will be open for all community members but VCs and team members will be EXCLUDED from the program.

The maximum accruable tokens from the Early State Booster program will be capped at $ADAO 12,000 per participant to ensure that as many community members as possible acquire $ADAO tokens through the program.

Please note that the information about participants in the Early State Booster program will be verifiable through a transparency report for the community to confirm that no VCs or team members participated in the program.

Learn more about how the Early Stake Booster program works

Fleet Elite NFT holders: $ADAO 66,610

We’ve also incorporated NFTs into the $ADAO allocation mechanism to ensure that the most engaged community members are rewarded with $ADAO allocations.

Our current NFT holders allocation

Hamster NFT : $1000 USDC - 1333 $ADAO
Ape NFT : $666 USDC - 888 $ADAO
Rooster: $333 USDC - 444 $ADAO

Learn more about AlgoDAO's Fleet Elite NFT Utility

SIGMA farming: $ADAO 233,390

Lastly, you will be able to acquire additional $ADAO tokens through SIGMA farming. SIGMA farming is open to all AlgoDAO users and there is fair access to the SIGMA farming for all users.

If you are not familiar with how SIGMA farming works, make sure to check out our Introduction to SIGMA to better understand how you can earn more $ADAO tokens from the SIGMA pool.

Membership Tiers and IDOs

What is the Pool Weight Multiplier?

Everybody participating in IDOs will receive an allocation limit in the IDO according to the weight multiplier of their tier. For example, the Fleet Commander (Tier 1) membership has a pool weight multiplier of 3, which means people with Tier 1 membership will receive 3 times higher allocation than the people in Ensign Tier, which has a multiplier of 1.

However, the finalized allocation limit in USDC depends on the IDO size and amount of registered participants and it is defined after the whitelisting procedure is done.

What is Participation Odds Multiple?

Participation Odd Multiplies refers to users' chance to ‘win’ the ability to participate in an IDO on AlgoDAO.

Except for Tier 1 members, AlgoDAO members in any other tiers, have their stake weighted for participation multiples. Simply put, each user that is not a Fleet Commander (Tier 1) member, must pass this random draw system. This system works 100% using random modules.

  • This means a Flagship Commander Tier 2 member with 12,000 ADAO staked receives x400 ‘participation odds multiple’ — which is the maximum number of tickets a user can have.
  • A Vice Admiral Tier 3 member with 4,000 ADAO staked receives x100 ‘participation odds multiple’.
  • A Lieutenant Tier 4 member with 1,000 ADAO receives x20 ‘participation odds multiple’.
  • An Ensign Tier 5 member with 1,000 ADAO has x1 ‘participation odds multiple’.

What is The Required Stake?

In order to be eligible for a membership tier, users should buy ADAO here and stake it here.

Why Would I Want to Upgrade My Membership?

Tier Upgrading your tier gives you much better chances for participation and higher allocation. Participation chances are represented by the Participation Odds Multiple.

For example, an Ensign tier user stakes 60 ADAO per participation ticket and gets a relatively smaller allocation. In contrast, a Flagship Commander stakes only 30 ADAO per participation ticket and receives a higher allocation.

Do I Have to Maintain My Stake to Participate in the IDO?

For seamless participation in an IDO, a user has to maintain the stake until the distribution stage of the IDO.

Can I Unstake and Stake Again During the IDO? When Can I Increase My Tier During the IDO Timeline?

Users can stake and unstake ADAO tokens at any time. However, a user will be able to register for an IDO only if they have a staking tier. A user’s final participation tier for an IDO is defined at the pre-launch stage, meaning that tiers will not be updated after that.

This means that every user can increase their tier before the pre-launch stage starts.

ADAO Tokenomics

AlgoDAO has a unique dual-token tokenomics that includes the ADAO token and the SIGMA token.

ADAO’s Core Utility

ADAO is the governance token of AlgoDAO. Staking ADAO enters you to membership in AlgoDAO’s Federation tier, and the membership entitles you to participate on funding rounds and to receive rewards from SIGMA pool. You can also delegate ADAO to become a High Council member.

Your membership tier determines your maximum price allocation, how early you can participate in funding rounds, and the price in which you join the rounds.

SIGMA Token’s Core Utility

The SIGMA token is the utility token of AlgoDAO’s SIGMA pool. Burning the SIGMA token entitles you to a pro-rata share of the SIGMA pool so you can get project tokens from projects launched through AlgoDAO.

Learn more about how the SIGMA works here

Token Distribution

ADAO’s token distribution is designed to align the interests of all ADAO participants, elicit maximum commitment, and demonstrate an understanding of sound economic principles and behavioral science. The token distribution, what each distribution is meant for, and the cliff and vesting schedules are provided below.

Check out our guide to AlgoDAO's token distribution here

What was the price paid by strategic partners for the ADAO token?

Different early funding rounds had and have different pricing structures, depending on the different risk profiles of the project over time, in its various inception stages.

What is the price of the token that will be sold to the retail market?

The AlgoDAO supporters are currently planning an IDO price of one USD (USD 1.00).

Will the ADAO token be available on Binance Smart Chain or only Algorand?
For the start only on Algorand, however, we may look to migrating to other chains to increase the ADAO liquidity.

From where does the ADAO token derive its value?

The value of ADAO reflects the quality of the projects that we incubate and launch. It is also a function of community contributions if the community is active in governance etc, flywheel effect. The Max supply will be 100,000,000 ADAO and there will be a tokens burns mechanism by the constant token burning from unstaking ADAO tokens, withdrawing from Sigma pool, and more.

Is ADAO an ERC20 token?

No, ADAO is an ASA (Algorand Standard Asset) token.

What is the ADAO Charge?

Once a user decides to unstake a partial (or total) amount, they incur a fee, called ADAO Charge of 6%. This fee is burned forever.

What is a Pool Weight Multiplier?

Everybody will receive an allocation limit in the IDO according to the weight multiplier of his/her tier. For example, if a Fleet commander has a pool weight multiplier of 3 that means users in that tier will receive 3 times higher allocation than the Ensign tier, which has a multiplier of 1.

Finalized allocation limit in USDC depends on the IDO size and amount of registered participants and it is defined after the whitelisting procedure is done.

What are Participation Odds?

Participation Odd Multiplies refers to users' chance to ‘win’ the ability to participate in an IDO on AlgoDAO.

AlgoDAO members in any other tiers, except for Tier 1 members, have their stake weighted for participation multiples. Simply put, each user that is not a Fleet Commander (Tier 1) member, must pass this random draw system. This system works 100% using random modules.

This means a Flagship Commander Tier 2 member with 12,000 ADAO staked receives 400 ‘participation odds multiples’ —which is the maximum number of tickets a user can have.

A Vice Admiral Tier 3 member with 4,000 ADAO staked receives 100 ‘participation odds multiples’. A Lieutenant Tier 4 member with 1,000 ADAO receives 20 ‘participation odds multiples’.

An Ensign Tier 5 member with 1,000 ADAO has 1 ‘participation odds multiples’.

How does ADAO Delegation Work?

Stakers can work together to gain access to higher tiers by forming ‘ADAO access pools’. In this way, several Federation Members can pool their stakes to get access to the perks of Guild Members. This feature will be developed in the future in the phase 2 development roadmap.

Can I stake ADAO?

Yes, of course! Staking allows you to participate in the ADAO ecosystem by reaching a particular tier. The tiers determine users' allocations and participation odds and are parametrized with Pool Buff, Participation Odds Buff, Odds Booster, and the Participation Fee.

Check out our $ADAO staking guide here

ADAO Staking

Can you stake ADAO yet?

ADAO staking is available through the AlgoDAO interface and on compatible wallets.
To find out how to stake ADAO please check out our $ADAO staking guide here.

What are the benefits of staking?

Staking ADAO provides you with some major benefits.
Firstly, staking lets you participate in IDOs of projects launching on AlgoDAO.

Secondly, it earns you $SIGMA tokens through farming. This, in turn, gives you exposure to all the project tokens from the SIGMA pool.

Therefore, you get a chance to get tokens of projects that launch through AlgoDAO without direct participation in their IDOs.

Learn more about how the SIGMA pool works

Where can I stake ADAO?

You can start staking on the staking page
https://app.algodao.fi/staking .

What wallet will I need for staking?

  • My Algo Wallet
  • AlgoSigner Wallet
  • Pera Wallet

Do I pay a fee to stake?

No, staking your ADAO tokens does not incur any fees. You can be charged a regular Algorand transaction fee.

How many ADAO tokens do I need to stake?

There are no minimum or maximum staking amounts. You can stake as many ADAO tokens as you want. However, you should note that the more ADAO tokens you stake, the more staking benefits you get.

I want to add newly bought ADAO tokens to my current stake, does this incur additional fees?

No, you do not need to pay any additional fees

Do I need to unstake and then stake again?

No, but you will be charged a 6% anchor charge for unstaking.
What is the ADAO Charge?

Users incur an ADAO Charge of 6% when they unstake

Why is there a cast-out fee?

The cast-out fee, called ADAO Charge, operates as a measure to prevent sell pressure after an IDO has finished. Furthermore, it is responsible for ADAO deflationary tokenomics.

No, ADAO is ASA operating on Algorand blockchain hence unrelated to Ethereum and its DEX Uniswap

What are the exact staking requirements?

ADAO is a community-driven project and exact staking requirements will be DAO determined as the project develops.

Capabilities and Team

Where can I find more information about the team?

AlgoDAO team is focused on sourcing the best projects with an intent to launch on Algorand, bringing round those projects that doubt to the realm of Algorand and vetting the concepts to facilitate orderly delivery of the promised tech and ecosystem capabilities.

The backbone of AlgoDAO is our development team, a group of highly capable, industry-hardened scientists, engineers, and programmers.

The rest of our team members and advisors are listed in the ‘Team and Partners’ section of our website. You can also find out more about our team members on their public LinkedIn profiles.

What is the best way to contact the team?

Our team can be contacted through our Contact Form on the AlgoDAO.fi website.

Please visit AlgoDAO.fi, on the right side on top click the ‘Contact Us’ button, and fill out the form!

We will try to respond to all queries as soon as possible.

Please note - if you are a service provider pitching to AlgoDAO, we are already receiving an incredibly high volume of requests and we cannot guarantee your proposal will be responded to if we are not currently interested in pursuing a working relationship with you. Our core focus at this time is bringing our components to market.

We save all the details and may get back to you when your service is considered helpful - therefore, please prepare your best offer!

Why does AlgoDAO have strategic partnerships with Venture Capital groups?

Each companies' route to market is different. At AlgoDAO, we chose to work closely with established venture capital partners to ensure that we have the expertise and funding in place to maximize our chances of early success.

Due to the complexity and vision of the AlgoDAO infrastructure, we required access to VCs with deep funding profiles to ensure we are well placed for success from our inception. VC partners take on a significant amount of risk by investing into early-stage projects. They also provide opportunities and insights that are instrumental to the launch of the AlgoDAO ecosystem.

Audits

You can find our smart contract audits here

IDO - Participation Guide

A comprehensive guide on how to participate in the AlgoDAO $ADAO token IDO sale

Complete tutorial

The AlgoDAO community and ecosystem is now live, and we are proud to announce the hosting of our own IDO on our native platform. In order to participate in the IDO, there are a few key steps to make sure your transactions are smooth and successful.

Please take a moment to read through this step-by-step guide for buying ADAO tokens in our initial public round. We will cover the basic setup and procedure for you to get into the round correctly!

Step 1: Wallet setup

The first step in the participation journey is to create a wallet suitable for the Algorand network. If you are already set up with an Algorand wallet you can skip ahead to step 2.

There are several wallet options available for participation.
MyAlgoWallet (Browser-based)
Pera Wallet (Mobile)
AlgoSigner (Browser-based)

MyAlgoWallet

MyAlgo is a browser-based extension that is compatible with all browsers.

  1. Create a new wallet — https://wallet.myalgo.com/new-account.

  1. Create a password for accessing your wallet and signing transactions.

  1. Select new account.

  1. Record Mnemonic Phrase in a safe spot. Please note this Phrase very important and it is the only way you can access your account if you forget your password.

  1. Verify your Mnemonic Phrase by identifying the correct word placement.

  1. You have now successfully created an Algorand compatible wallet.

Step 2 : Funding your wallet

To participate in the ADAO IDO you will need to hold a minimum amount of $ALGO in your wallet and the token required for IDO participation. In our case, it is $USDC.

There are a few options to fund your wallet. If you are using Pera Wallet you can buy $ALGO directly on the app through Moonpay. Alternatively, you can send $ALGO from most major CEXes (centralized exchanges) to your wallet address.

Proceed to your wallet and press the receive button to get your unique wallet address

Once you have funded your wallet with $ALGO you will need to add $USDC as an asset inside your wallet.

Select add asset.

Select USDC Asset id 31566704.

You will now be asked to sign a transaction to add the asset.

Once you have signed this transaction you should now see two assets inside your wallet.

Your wallet is now set up to receive $USDC.

To fund your wallet with $USDC there are three options:

  1. Swap $ALGO for $USDC on Tinyman DEX https://app.tinyman.org/#/swapasset_in=0&asset_out=31566704

  2. Swap $ALGO for $USDC on Pact DEX https://app.pact.fi/swap?pair=ALGO0/USDC31566704(30)

  3. Send $USDC directly to your Algorand wallet from KuCoin exchange by selecting withdraw on the Algorand network

Step 3 : Connection to AlgoDAO Platform

Visit our site ⇒ https://app.algodao.fi/IDO.

Please take a moment to double-check the URL is: https://app.algodao.fi/IDO and that the page has a valid SSL certificate (lock symbol to the left of the URL).

You should now see this screen.

Click Connect Wallet and select the wallet you wish to use.

Unlock your wallet with a transaction.

Once you have selected your wallet you will need to opt-in into the AlgoDAO platform.

You will then need to sign a transaction that opts you into the platform and the $ADAO and $SIGMA assets as below.

You will now be prompted to select which wallet you would like to use, Your opted in wallet will have “Use” visible instead of “Opt-In”.

Sign a “no fee” transaction request in your wallet.

Step 4 : IDO participation

Now that your wallet is connected to the AlgoDAO platform you are ready to participate in the IDO.

Confirm you are not from a restricted area and then click proceed.

Opt-in to IDO.

Confirm Opt-in with a transaction.

You can now participate in the IDO once it is open as directed by the start date and time.

Confirm transaction in your wallet.

Wait for unlock of the CLAIM button.

Claim unlocked tokens.

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