BaseProtocol (BASE) is Crypto — Announcing DuckDAO Tier 1 Incubation Project
What if you could invest in all cryptos at once?
DuckDAO is hot at work to bring you the best investment opportunities available in crypto, and today we have a special announcement. Our latest incubation project resonates deeply with us because it is the start of something unique.
What if you could benefit from the success of cryptocurrency as a whole?
That is what BaseProtocol, the world’s first tokenized cryptocurrency market tracker, allows you to do. It helps investors get exposure to the entire cryptocurrency market using just one single token.
What is BaseProtocol?
BaseProtocol creates a stable peg to all cryptocurrencies on the market. Through its token BASE, investors can speculate on the entire market. Without using a smart contract and DAO it would be difficult to manage a fund that contains all current and future cryptocurrencies and tokens. However, because BaseProtocol is a synthetic, it can leverage the latest in DeFi innovation to produce a token that is pegged to the value of all cryptos.
BaseProtocol is crypto’s equivalent to a traditional index fund, without the entry and exit fees or brokerage charges. It enables investors, regardless of whether they are individual or institutional, to partake in everything that crypto has to offer at once.
In one single investment, you will be exposed to the entire cryptocurrency market. Depending on your expectations about the future of crypto, this could be a savings account, or it could be a part of your lower-risk portfolio.
BaseProtocol works by tracking the overall crypto market and adjusting the value of the BASE token in a ratio of 1:1 trillion. In simple terms, for each trillion in crypto market cap, the BASE token gains $1 in value. For each billion, it acquires $0.001 in value.
This tracking methodology establishes BASE as the perfect token to emulate a total index fund, be used as collateral, a haven to hedge against risks, and a useful price discovery point.
BaseProtocol uses various crypto price sources such as CoinGecko and CoinMarketCap, and Chainlink’s oracles to ensure the most reliable price discovery. Furthermore, BASE will allow traders to compare specific assets against BASE, i.e., the entire crypto market.
BaseProtocol will require community engagement to move towards creating a sustainably precise token price. Initially, the basics will be provided with one instantaneous rebase every 24 hours. However, the community can modify the protocol’s rules and adjust how often rebases happen, and supply management is instant or performed over time.
The BASE token seeks to peg to cryptocurrency’s total market value by continually reorganizing (rebasing) the number of tokens in wallets according to the actual market price. Through its elastic supply, regardless of how many people buy or sell the BASE token. After every rebase, the token supply will be adjusted to reflect the market price.
BaseProtocol will also feature a liquidity rewards program called Cascade, which rewards Uniswap liquidity providers. You can find out more about that in the Base Protocol Whitepaper.
Why We Chose BaseProtocol?
We believe that BaseProtocol will provide a valuable service to the overall cryptocurrency ecosystem. It is an innovative and needed product that we think will bring a lot of institutional capital, especially from investment companies that cannot create sophisticated cryptocurrency portfolios.
BaseProtocol and the BASE token enable investors to treat cryptocurrency as one whole market and invest in a similar to how they would invest in the S&P 500 or other indexes. It cuts out the guesswork providing users with a frictionless experience and the ability to speculate on the entire crypto market using one single token.
We’ve reviewed Base’s whitepaper and have spoken with their leadership to understand this project’s ambitions and have concluded that there is a natural fit between DuckDAO’s and BaseProtocol’s needs.
BASE founders only earn when they are doing a good job. Whenever the BASE supply expands, founders make 0.2% in their development fund. When the supply contracts, they receive no rewards. This system aligns them with their project and provides them with no shortcuts to success. We wholeheartedly believe they are here to do the necessary work to make crypto a more robust and capable industry.
The Base Protocol makes it possible to invest in the entire cryptocurrency market via its token BASE. This is the first and only tokenized cryptocurrency market tracker. It’s managed through a rebase system that regulates tASE tokens’ value according to the entire market’s value.
BaseProtocol is an excellent way for investors to speculate on the entire industry and cut down on security and operations requirements for involving their company in crypto investment.
Find Out More
DuckDAO is a community-backed blockchain-centric incubator platform that provides promising early-stage crypto startups with the expertise, financial resources, and marketing power needed to put them on the path to success.
Who will win? One VC or a thousand ducks?