NetWorth DAO — a VC fund protocol on Binance Smart Chain that adapts to inflation, maintains a minimum risk-free value (RFV) and is backed by a set of community-voted assets and investment strategies.
About the NetWorth DAO project
NetWorth DAO — a treasury-backed algorithmic currency that maintains a market-driven floating price. Treasury assets are invested, like a venture capital fund, in protocols and projects that are decided and voted on by the coin defi community. NetWorth also has staking and linking mechanisms: staking NETW tokens earns more NETW tokens (generated from treasury revenues), and linking NETW tokens allows users to purchase new NETW tokens at a discount (providing continued liquidity for NETW markets). Every NETW contributor and holder is a member of the NetWorth DAO.
NetWorth DAO will have different features, split into two phases:
| Phase I: pre-placement and binding | Prior to the launch of staking and linking, NetWorth DAO may accept contributions to the treasury from early contributors. Participants will receive liquidity provider (LP) tokens prior to launch, which represent their share of the NetWorth treasury. Once a decision is made on the initial distribution of NETW tokens, all LP tokens will be frozen and all LP tokens will be replaced by NETW tokens in proportion to each holder's initial contribution to the treasury. |
| Phase II: bet and bind | After the launch of staking and linking, NETW will be openly traded on decentralized exchanges, and any owner of NETW will be able to receive a share of the revenue, generated by the NetWorth treasury. |
Staking — NetWorth's profit-sharing model. When you stake NETW tokens in a staking contract, you will receive the equivalent amount of sNETW tokens. Through sNETW you will receive a proportional share of the total profit. Thanks to the NetWorth rebase mechanism, owning sNETW allows you to increase your profitability. Most importantly, NETW is not relocated out of thin air, the rebase is done after purchasing real units of NETW, using Treasury revenue, which is then distributed to sNETW holders.
How does NETW work?
NETW is supported by the value of assets in the treasury. The risk-free value (RFV) of the NETW will always be equal to the total value of assets in the treasury, divided by the total NETW in circulation. To maintain the market price, tokens are burned and minted, using a vote-based protocol. The community decides when to burn and mint tokens, based on price fluctuations or other criteria, determined by the community.
90% of all profits are rewarded to stakers. The remaining 10% is in NetWorth DAO. Rewards are paid in NETW, backed by units of BUSD. This mechanism maintains a stable intrinsic value. Think of NETW rewards as a cumulative valuable asset. You don't just want the value of your assets to rise, you also want to accumulate more assets. The best part is that owning NETW will give both of you more NETW units and the value of your NETW assets will increase over time.