Decentralized Finance (DeFi) is one of the biggest trends in the blockchain industry and holds a value of over $80 billion, locked in the top 125 DeFi apps.
BitDAO is one of the largest decentralized autonomous organizations and supports the growth of the DeFi ecosystem by allocating funds for developing BitDAO DeFi products and supporting DeFi partners and projects. The project aims to build a decentralized tokenized economy and open finance.
BIT is the BitDAO ecosystem’s governance token that comes with proposal and voting power. Read on to learn everything you need to know about BitDAO, its history, use case, and all the relevant information to make an informed investment decision. Scroll down for our step-by-step guide on where and how to buy BitDAO (BIT) tokens.
So, let’s get right to it!
What Is BitDAO
BitDAO is one of the world’s newest and largest decentralized autonomous organizations (DAOs) focused on DeFi and managed by BIT token holders. It aims to support such projects as DeFi, DAOs, NFTs, and gaming.
Let’s first try to understand BitDAO better and delve into how users can benefit from it.
What Is DAO
A DAO or Decentralized Autonomous Organization is a governance system with no central leadership that allows token holders to manage key actions on the protocol. BIT token holders own the platform and can vote on BitDAO’s development strategies, the use of BitDAO’s treasury resources, or changes to the project code.
DAOs are democratic in nature and are governed by smart contracts. They bring together like-minded individuals worldwide in a decentralized manner and the members of the DAO vote on every decision taken up for consideration.
DAOs have their own in-built treasuries that are collectively owned and managed by the members of the DAO. The DAO treasury management solutions function based on proposals and voting to ensure all members have a say in decision-making. This becomes much more important in light of the recent Terra Luna crash and the opaque decision-making processes of the LFG.
The DAO’s rules are encoded in smart contracts and open to everyone. Those with a stake in a DAO get voting rights and decide on new governance proposals. A proposal will only pass once the majority of stakeholders approve it.
DAOs are fully autonomous and transparent. They are built on open-source blockchains that record all financial transactions, so anyone can view their code or audit their built-in treasuries.
Now that we know more about DAO, let’s look into BitDAO’s main features. BitDAO is a decentralized autonomous organization that uses the power of DeFi to bring financial freedom to people. BitDAO aims to establish a decentralized token economy by giving more control to the regular people.
Image Credit: BitDAO Homepage
The BitDAO platform aims to revolutionize the crypto industry by partnering with projects via token swaps and co-development efforts. The token swaps will allow the BitDAO treasury to accumulate some of the top crypto tokens and establish a sturdy and stable base. The BitDAO treasury aims to support an extensive range of crypto-related products such as DeFi, NFTs, gaming, etc.
The BitDAO protocol is managed by the BitDAO (BIT) token holders, who vote on BitDAO network development, such as updates to BitDAO core protocols (including governance and treasury management functions), token swaps, treasury allocation, liquidity support, and grants.
What makes BitDAO so lucrative and trustworthy is that it’s backed by big names in the crypto industry such as Peter Thiel, Pantera, Dragonfly, Spartan, Bybit, etc. And yet, they don’t control it but only have participatory powers in the DAO, just like other token holders. Bybit, one of the largest cryptocurrency exchanges worldwide, was one of BitDAO’s earliest supporters and pledged recurring contributions to the BitDAO treasury, which at 2021 rates exceeds $1B per year.
So, how is the BitDAO Network Secured? The BitDAO Platform uses SSL encryption to protect users’ personal data on the platform. BitDAO has also partnered with Amber, which is invested in cyber and crypto security and has leading security infrastructure like Fireblocks and BitGo.
What Sets BitDAO Apart
Among the unique aspects of BitDAO is partnering with existing and new crypto projects through token swaps. Token swaps will enable the BitDAO treasury allocation to gather a collection of top crypto project tokens. The collection will then be used to provide grants to various teams in the crypto industry for research and building new products. All grants are given for the public good of the crypto world.
BitDAO (BIT) Tokenomics
The total supply of BIT tokens stands at 10,000,000,000. The BitDAO Treasury will retain 30% of all BIT tokens. Token holders essentially possess the Treasury tokens in accordance with their token holdings.
If you’re also asking, “When Will BitDAO Trading Begin?” you’d be glad to learn it started in August 2021.
To learn more about the BitDAO (BIT) token’s market statistics, current price, trading volumes, etc., go to the CoinStats BitDAO page. You can also see which markets BitDAO is trading on and select one to buy BitDAO.
How to Buy BitDAO (BIT)
You can buy BIT crypto tokens at a large number of cryptocurrency exchanges such as Bybit, Coinbase, FTX, Gate.io, Kraken, UniSwap, etc. If you need an alternative platform to purchase BitDAO with credit cards, you just need to visit Changelly. This automatic cryptocurrency exchange allows you to exchange crypto fast and buy them using a credit card.
Follow our step-by-step guide on how to buy BitDAO (BIT) on Bybit and Coinbase.
How to Buy BitDAO on Bybit
To purchase BitDAO tokens on Bybit, you need to create an account on the exchange. The process of creating an account is pretty straightforward. All you need to do is sign up on the exchange using a valid email ID and your basic information. Once your account is created, you are at the Basic Level, which gives you access to only a few functions. You can upgrade to Level 1 or Level 2 by uploading a photo, ID proof, and proof of address. Upgrading your level on the exchange will give you access to a large number of features and result in lower trading fees.
Once you’ve successfully created an account on ByBit, you need to deposit funds into your Bybit account to purchase BitDAO tokens. Bybit supports multiple deposit options, among them cryptocurrency from your wallet. Bybit doesn’t support direct transfers from your bank account; it uses third-party payment gateways such as Banxa, XanPool, MoonPay, Mercuryo, Paxful, and Simplex. You can use these methods to deposit fiat currency into your wallet to buy BTC, ETH, or USDT.
Once you’ve successfully deposited fiat currency into your wallet, you need to choose a trading pair for BIT tokens. Suppose you wish to trade the BIT/USDT pair. You can then use your fiat currency to buy USDT for the amount you want to purchase BIT for. Once you’ve got the required amount of USDT in your wallet, simply go to the BIT/USDT trading pair and place an order for BIT tokens. The order will be fulfilled within seconds, and the tokens will reflect in your spot wallet.
Congratulations, you’ve successfully managed to purchase BIT tokens on Bybit in a few simple steps.
Buying BitDAO (BIT) on Coinbase
Coinbase is one of the world’s largest and most popular cryptocurrency exchanges. Coinbase is easy to use and supports a large number of cryptocurrencies and direct transfers from a bank account.
To get started, follow these easy steps:
Create a Coinbase Account
The first thing you need to do is create an account on Coinbase. You need to provide a valid email address and your basic information. You’ll also be required to complete your KYC verification and the two-factor authentication process to keep your crypto assets safe. The verification process is quick and will be completed within a few minutes.
Once you’ve successfully created a Coinbase account, the next step is to deposit funds into your account. Coinbase supports different payment methods such as a transfer from your bank account, wire transfers, or a Debit/Credit Card, depending on your location. Using a credit card is the fastest way to fund your account; however, you’ll have a lower deposit limit. Also, check with your credit card company, as some companies charge high fees for purchasing cryptocurrency.
Coinbase charges no fees on bank transfers, but if you purchase BIT tokens using a bank transfer, you won’t be able to withdraw them for 5 days. In the case of wire transfers, you’ll be charged a small transaction fee, but your funds won’t be locked.
After depositing funds into your Coinbase account, the next step is to click on “Withdraw” and enter the amount you wish to purchase BIT tokens for. Then, go to “Trade” and select the market. You can choose BIT-USD, enter the amount of BIT you wish to buy, and click on “Purchase.” The order is fulfilled within seconds, and the tokens will be reflected in your wallet.
Store Your BitDAO (BIT) Tokens
While Bybit and Coinbase have their own wallets, creating your own crypto wallet is highly recommended to store your crypto funds securely. Depending on your investment preferences, you can pick software or hardware wallets, with the latter being a more secure option.
- Software Wallet: These are also known as hot wallets as they are always connected to the internet. CoinStats Wallet is one of the best software wallets for managing all of your DeFi and crypto in one place – a single crypto wallet for buying, selling, swapping, tracking, and earning on your crypto!
- Hardware Wallet: These are also known as cold wallets and are the most secure solutions since they include secure offline storage and backup functionality. These are better suited for experienced users with a large number of tokens. Some of the most popular hardware wallets are Ledger Nano X, Ledger Nano S, Trezor Model One, etc.
BitDAO’s vision is open finance and a decentralized tokenized economy. BitDAO aims to give more opportunities and control to regular people.
While the BIT token price has dropped from its all-time high, it’s still a good opportunity to buy some BitDAO tokens to make a profit in the future. Remember that nothing in this article is financial advice, and you should only invest after doing your research.
To learn more about DeFi’s tectonic shift in the finance world and how decentralized finance empowers people, you can visit our CoinStats blog. You can read in-depth articles such as What Is DeFi, explore our in-depth buying guides on how to buy various cryptocurrencies, such as How to Buy SushiSwap, How to Buy Cryptocurrency, and learn more about wallets cryptocurrency exchanges, portfolio trackers, etc.