DIP-20: Allocating 10M DODO Tokens to Incentivize BTC Pairs on Select Chains

English Proposals
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Summary

In response to the recent surge in BTC Layer 2 activities, BTC staking protocols, and other BTCfi initiatives, the DODO team proposes the allocation and migration of 10M DODO tokens to incentivize BTC trading pairs across multiple chains, including Ethereum, Arbitrum, BNB Chain and Mantle, etc. This initiative aims to leverage DODO’s innovative Pegged Asset Pool to enhance liquidity, attract significant trading volume, and generate revenues that can compensate for the incentives provided. Additionally, this strategy supports DODOchain’s role as a liquidity settlement layer, facilitating future BTC trading and generating more value for DODO holders.

Motivation

  1. Booming BTC Layer 2s, Staking Protocols, and BTCfi Activities: The rapid growth in BTC Layer 2 solutions, BTC staking protocols, and other BTCfi activities has created a heightened demand for BTC trading pairs. Incentivizing these pairs can significantly boost liquidity and attract users involved in these emerging sectors.
  2. Capital Efficiency of Pegged Asset Pool: DODO’s innovative Pegged Asset Pool offers excellent capital efficiency, which can attract a substantial amount of trading volume. The success of DODO’s stablecoin volume demonstrates the potential for generating significant revenues to offset the incentives.
  3. Future Value for DODOchain: By connecting BTC Layer 2s and establishing a liquidity settlement layer, DODOchain can facilitate seamless BTC trading. Increasing TVL on various chains will significantly enhance future BTC trading on DODOchain, generating more value for DODO holders.

Rules

  1. Allocate 10M DODO Tokens: Allocate and migrate 10M DODO tokens to incentivize BTC trading pairs on Ethereum, Arbitrum, BNB Chain, and Mantle, etc.
  2. Establish Incentive Programs: Develop and implement tailored incentive programs for each chain to maximize user engagement and liquidity growth.
  3. Monitor and Adjust: Continuously monitor the performance of these incentive programs and make necessary adjustments to ensure optimal results.

Through these initiatives, we aim to position DODO as a leading platform for BTC assets, thereby capturing more value and offering enhanced benefits to our users and token holders.