DigixDAO approves US$4 Million ETH project

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DigixDAO approves US$4 Million ETH project

A huge 20,000 ETH grant was recently approved making it the largest ever in the history of the DigixDAO.

Project approval

DigixDAO was the first-ever on-chain Ethereum ICO and currently holds over 380,000 ETH.

This ETH fund is used to finance DGX growth initiatives that have been approved within the DigixDAO governance system.

DigixDAO is a fully functional governance platform running on the Ethereum blockchain.

A proposal by the company NeutralG has successfully passed the DigixDAO voting rounds with a 69.2% majority vote.

The first milestone funding of 7,500 ETH valued at US$1.5M has been released to initiate the project.

Negotiations between DigixDAO and NeutralG resulted in several changes to the proposal, including:

  • Funding separated over 4 milestones
  • NeutralG to show a minimum 5% stake in the DigixDAO token (DGD) vs the proposal value.
  • To convert 60% of each milestone funding immediately from ETH to DGX to protect against price volatility during the milestone execution.
  • Implementation of a DigixDAO (DGD) token burn initiative funded by 50% of NeutralG’s uncommitted gross-profit.
  • NeutralG to sign and notarize a letter of undertaking

Digitizing gold ownership

DGX gold-backed tokens have been active since March 2018 with over 112 kgs of gold minted in the form of DGX tokens (ERC20).

Each DGX token represents 1 gram of gold securely stored within vaults in both Singapore and Canada.

DGX gold token benefits:

  • Hedge against global financial uncertainty and currency wars
  • Global payments/remittances/settlements
  • Ability to be spent on select crypto debit cards
  • Ability to monetize asset through integration with other DeFi solutions
  • Ability to exchange DGX with other cryptocurrencies
  • Ability to trade with small denominations (eg Grams) whilst enjoying competitive pricing
  • Highly transparent minting process with options for physical redemption

The DGX Ecosystem

DGX tokens run on the immutable Ethereum blockchain and allow anyone to send or receive DGX tokens (representing gold ownership) anywhere in the world.

In addition to basic blockchain transactions, existing partnerships allow DGX tokens to be utilized in the following ways:

  • KyberSwap allows users to trade DGX tokens against 34 other cryptocurrencies.
  • Monolith allows current debit card holders to spend DGX tokens at 65M+ point of sales worldwide.
  • TENX is expected to be adding DGX in the future, allowing users to spend DGX at 42M+ points of acceptance online and offline, in almost 200 countries.
  • Pundi X will deploy over 100,000 XPOS devices to more than 20 countries allowing DGX integration for payments.
  • Constant allows DGX tokens to be lent out on their platform enabling this gold-backed token to earn interest.

The DGX ecosystem and use cases are constantly evolving but DGX is still facing on-ramping barriers in the form of initial fiat to DGX purchases.

NeutralG’s ambitious plans aim to bridge this, ensuring users can easily acquire DGX and experience the benefits of this gold-backed token.

The Proposal

NeutralG will build a global fiat on-ramping system focused on Fiat/DGX trading pairs. This initiative aims to increase accessibility and liquidity for DGX transactions on a global scale.

The strategy covers;

  • To develop a decentralized global platform for local-OTC dealers, to directly on/off ramp DGX against local fiat. Targeting; DGX/SGD, DGX/THB, DGX/PHP, DGX/MYR, DGX/INR, DGX/EUR, DGX/GBP, etc.
  • Build and operate a licensed crypto-exchange entity to support the global OTC operations.
  • Build and deploy automated liquidity provision bots onto major exchanges where DGX is listed
  • Full management of the 18-month project including; staffing, infrastructure, marketing, OTC recruitment, Merchant / Business Recruitment, and end consumer recruitment.

The vision is to build a global framework to allow corporate and domestic funds to easily flow into the crypto space using DGX gold-backed tokens.

DGX tokens share many of the same benefits of other crypto tokens (divisible, digital, transferable etc), yet they are backed by gold which helps ensure pricing stability.

With a network of dedicated fiat on/off ramps around the world, DGX can become the first stepping stone in someone’s crypto journey.

DGX token holders have the benefit of indirect gold price exposure but will also have the ability to leverage or trade this asset in the ever-expanding decentralized finance ecosystem.

This is a highly attractive selling point for DGX vs holding fiat or physical gold bullion.

NeutralG aims to have the project fully operational by Q2’2020. The community is optimistic about the potential of NeutralG’s proposal, and eagerly awaits progress updates

For all NeutralG enquiries please contact project lead Joseph Lee via email hello@neutralg.io.

Want to know more about DGX tokens?

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