🍼 BabyDOJO 101 — All you need to know for Injective’s Biggest Airdrop Event

6 min readMar 7, 2024

Hello Ninjas, Sushis and soon-to-be Babies,

As we gear up for the biggest airdrop event of Injective, our team has prepared a series of information that will be vital to you navigating this event well. This will include information on:

What is babyDOJO all about, and how is it beneficial for Dojo ecosystem holders — Dojo and Sushi tokens?
What are babyDOJO Tokenomics & Mechanics?
What is the CW20-Reflection Standard?

All of the above are some of the burning questions we see from the Dojo and Injective community throughout our days of observation. Let us take each of these questions in turn.

What is babyDOJO all about, and how is it beneficial for Dojo ecosystem holders?

The babyDOJO token was built as a huge engine of growth for the DOJO ecosystem. Instead of performing a simple linear fee distribution to DOJO holders, the team has created an airdrop with exponential value to reward loyal Dojo ecosystem holders. The best part about babyDOJO?

It does perpetual DOJO buybacks for as long as it exists, and trading volume exists, up to 9% of all trading volume! A simple 1mil daily trading volume results in ~$100,000 USD of buys on the DOJO parent token.
You receive daily DOJO token airdrops based on the trading volume generated. The higher the trading volume, the more you earn daily for passively holding the token!
It applies deflationary pressure on DOJO as 1% of trading volume is used to burn DOJO in perpetuity.
This is the largest airdrop on Injective to date, where token has utility built-in innately to guarantee its valuation.

Imagine having a high volume token such as babyDOJO that conducts buybacks and burns in perpetuity for DOJO, where the main utility of the token is to airdrop you more DOJO tokens (where DOJO ought to appreciate in value precisely due to buybacks!). This is a powerful flywheel effect that will set into motion a new wave of adoption for DojoSwap and Injective in general. The only key performance indicator (KPI) of babyDOJO is the trading volume, and price does not matter (but is a huge bonus if we do get it!). This KPI is only possible due to the unique reflection properties of the token. OGs who have been around in the space will understand how significant the impact will potentially be on a parent token.

Check out our BabyDojo page on DojoSwap: https://baby.dojo.trading/

What are babyDOJO Tokenomics & Mechanics?

$babyDOJO will be airdropped at ~$25 mil market cap with a total supply of 4.2 billion tokens (Biggest airdrop on Injective ever). Tentative price per token is ~$0.006 on launch. All 4.2 bil tokens are issued to the community with 0 tokens kept for the dev team, and is the fairest token launch in the space ever.

Key features:

10% tax per transaction
8% of tax goes towards reflection rewards
1% of tax goes towards buyback and burn of DOJO
1% of tax goes towards automatic liquidity acquisition of babyDOJO-INJ to build a rising price floor

As you will notice, most other reflection tokens tend to keep at least 30% of trading volume for the dev team. In DojoSwap’s instance we keep 0% to prevent a “leaky tap”. This means that all of taxes immediately goes back in to build value for the DojoSwap ecosystem. With 0% team allocation and 0% taxes kept for the dev team, there is absolutely 0 overhang in supply, and prices are going to be purely determined by the community, and their demand for babyDOJO. Most reflection tokens tend towards 0 because of the “leaky tap” issue, where teams constantly extract value via taxes. The babyDOJO token is uniquely one of its kind where there’s 0 value extraction from the dev team, and all rewards goes back to users. This airdrop also represents a display of our unwavering commitment to ensuring all DojoSwap users will continuously win big by the end of this bull run — we thank you for your loyalty, and we reiterate the existence of multiple more plans to drop more value to all of you throughout the next weeks and months!

A tip: babyDOJO is going to be launched at ~25mil market cap. Imagine the trading volume that will result from the event. No matter up or down, the net effect is going to be a largely positive one for DOJO. When DOJO price increases, it inherently raises the valuation for the babyDOJO token as well.

What is the CW20-Reflection standard?

It is a CW20 compliant token, which means DAPPs and CEX can easily use the token standard like a normal CW20 token
The key innovation is to allow a CW20 token to apply taxes. We’ve not seen a proper taxed CW20 in all of Cosmos chains
To have a “reflection” token means that the taxes wil be used to automatically complete a few tasks:

Automatically buy and burn a parent token of choice (creates deflation on parent token, in this case, DOJO token) -> 1% tax
Automatically buy and acquire more liquidity for the current reflection token to build deeper liquidity over time to create price floors (in our case, we acquire more babyDOJO-INJ liquidity) -> 1% tax
Automatically buy parent token to be reflected/redistributed to reflection token holders. (we buy DOJO tokens to apply buy pressure on DOJO, and do daily airdrop to babyDOJO holders) -> 8% tax

The above example is more specific to DojoSwap and how we use it to create a non-meme memecoin. This is because the babyDOJO token has proper utilities in our ecosystem.

The non-meme memecoin with utility and dividends

TLDR;

Hold reflection token to earn airdrop dividends daily. For DojoSwap, we implement it so that babyDOJO holders will get to earn DOJO airdrops daily resulting from the tax/reflection.

Other projects can maybe for example build very interesting coins. For example, A babyINJ to do daily INJ airdrops. Or a babyNINJA to do daily NINJA airdrops etc.

Concluding it all

At the core of the Dojo spirit is a relentless and unwavering attitude we have towards our community. We are the number 1 ecosystem built purely for the community, with 0 allocations to institutions. The goal of what we do is to create a spirit of WAGMI that transcends into the strongest wealth effect for all our most loyal of holders. We will always strive to ensure to build value for all the Dojo believers. We’ve done so through our CW404 SUSHI launch. In this next installment, we’ve already created the biggest, fairest token launch to all of you folks. We hope you continue to observe, and to support what we do. It is barely the beginning of the largest bull-run backed by BTC ETF after all — we’ve much more to give.

Please refer to previous article for more technical details of how babyDOJO works: https://medium.com/@dojoswap/%EF%B8%8F-the-first-cw20-reflection-standard-on-injective-b008795c0f16-