Paragons DAO has been one of the most talked about DAOs in the Decentralised Autonomous Organisation sector of the crypto market for the last week.
This is because its token, PDT, has gone up by more than 200% in just the last seven days, prompting speculations that new developments are being planned.
The token has been trending downward since its launch in 2022, so the current price surge might not be so stable.
Most traders are FOMO-ing into this token without knowing what the project is and how the DAO itself even works.
This is why in this article, we will discuss what ParagonsDAO is and how the DAO itself work with its governance token, PDT.
What is Paragons DAO?
The world of Web3 gaming is brimming with potential, offering players the chance to truly own their in-game experiences and earn rewards for their efforts.
However, the initial investment required to participate in some popular play-to-earn games can be significant, creating a barrier for many players. This is where Paragons DAO steps in, aiming to make Web3 gaming more accessible and rewarding for everyone.
Paragons DAO is a gaming-focused Decentralized Autonomous Organization (DAO) built on the principles of community and inclusivity. Launched in 2022, the DAO fosters a vibrant ecosystem where players, regardless of their financial standing, can actively participate in the exciting world of Web3 gaming.
One of Paragons DAO’s core functionalities is its asset lending and borrowing system. This innovative approach allows players to borrow valuable in-game assets (NFTs) like characters, items, and land. This eliminates the upfront cost barrier often associated with entering certain Web3 games, enabling players to start earning rewards immediately.
Paragons DAO functions as a collaborative community where shared success is paramount. Earned in-game rewards are typically split between the player and the DAO, creating a win-win situation. Players benefit from the opportunity to access valuable assets and potentially high earnings, while the DAO thrives through its contributions to the overall gaming ecosystem.
Paragons DAO understands that success in Web3 gaming goes beyond simply acquiring assets. To empower its members, the DAO offers valuable resources like top-tier data analytics and educational materials. These tools equip players with the knowledge and strategies needed to optimize their gameplay and maximize their earning potential.
Further democratizing the experience, Paragons DAO operates with its governance token, PDT. By holding PDT, members gain voting rights, allowing them to influence the DAO’s direction. This can include decisions on:
- Which Web3 games the DAO should invest in and support?
- How to allocate the DAO’s treasury funds.
- Changes to the reward-sharing model.
- Potential partnerships with other DAOs or gaming projects.
Paragons DAO’s commitment to accessibility and community empowerment positions it as a significant player in the evolving landscape of Web3 gaming. By fostering a collaborative environment and providing the resources needed to succeed, Paragons DAO paves the way for a more inclusive and rewarding gaming experience for all.
Note: While the exact launch date for Paragons DAO is not publicly available, this explanation provides a comprehensive overview of the organization’s mission, functionalities, and role in shaping the future of Web3 gaming.
How Does the DAO Work?
Paragons DAO stands as a unique entity in the Web3 gaming space. Unlike traditional gaming companies with centralised leadership, Paragons DAO leverages the power of a Decentralized Autonomous Organization (DAO) structure.
This means its operation and decision-making are driven by its community members, fostering a collaborative and transparent ecosystem. Here’s a closer look at how the DAO of Paragons DAO functions.
At the heart of Paragons DAO lies its governance token, PDT. Owning PDT grants members voting rights on crucial proposals that shape the DAO’s future. These proposals can encompass a wide range of:
- Investment Strategy: Community members can vote on which Web3 games the DAO should invest in, ensuring alignment between the DAO’s goals and the interests of its player base.
- Treasury Management: Proposals can address how the DAO allocates its treasury funds. This could involve decisions on acquiring new gaming assets, funding educational resources, or establishing partnerships.
- Reward Sharing: The DAO can vote on adjustments to the reward-sharing model, determining how in-game earnings are distributed between players and the DAO itself.
- Collaboration and Partnerships: Members can vote on potential partnerships with other DAOs or gaming projects, fostering strategic alliances that benefit the entire Paragons DAO ecosystem.
Paragons DAO utilizes a snapshot voting system. This allows for a transparent and efficient voting process. PDT holders have their voting power reflected based on the amount of tokens they hold at a specific snapshot time. This ensures that decisions are made by those most invested in the DAO’s success.
Paragons DAO offers staking as an additional incentive for PDT holders. By locking their tokens in a staking contract, members can earn additional rewards, typically in the form of PRIME tokens, another cryptocurrency used within the Paragons DAO ecosystem. The staking system often incorporates a time-weighted multiplier, rewarding those who commit their tokens for longer durations with a higher share of the rewards pool.
The Paragons DAO structure extends beyond simply voting on proposals. PDT holders are also encouraged to actively participate in the DAO’s operations. This can involve:
- Submitting Proposals: Anyone with a PDT token can propose ideas that shape the future of the DAO. This fosters a bottom-up approach where innovative ideas can come from any member of the community.
- Community Discussions: Active participation in forums and discussions allows members to share ideas, strategies, and feedback, further strengthening the collaborative spirit of the DAO.
The DAO structure of Paragons DAO fosters continuous evolution. Through community voting and active participation, the organization can adapt to the ever-changing landscape of Web3 gaming. This ensures that Paragons DAO remains at the forefront of innovation and best serves the needs of its player base.
PDT Token Economics
The PDT Token is the governance token of the Paragons DAO, which was mentioned before as being the heart of the ecosystem.
PDT is short for Paragons DAO Token, which is the name that the team came up with for the token before launching it in January 2022.
The token itself has a fixed supply of 162.5 Million PDT and most of it is currently locked either in the staking protocol of the DAO or locked by the team, waiting for the vesting period.
The token economics seems a bit off, as most of the allocation went to early investors with 49.1% allocated towards them.
The founders and the team were allocated 18% of the total supply, which means that less than 50% goes to the public after the launch.
This is quite concerning as this means that most of the tokens are controlled by the insider, which is why the community does not seem to be very invested in the token’s movement, as evident by its historical price movement since its launch.
However, considering that it has been 2 years since its launch, most of the tokens have probably been circulating in the market, with some still being locked due to vesting schedules.
Conclusion
In conclusion, Paragons DAO’s DAO structure empowers its community members to actively participate in its governance and decision-making processes.
By leveraging the power of PDT tokens, staking incentives, and active participation, Paragons DAO fosters a collaborative and dynamic ecosystem that prioritizes the success of its players and the future of Web3 gaming.
However, it is worth noting that the DAO structure itself is still pretty similar to most DAOs in the market, as there are no innovations yet being implemented.
The focus of Paragons DAO seem to be centred around its gaming ecosystem and not so much on the DAO itself, which is why there have not been any innovations yet.
Regardless, the project itself is still going strong with new developments such as new games and partnerships, which is why its token is going up again.
But note that the development is still shaky as the project still lacks marketing and a competitive edge among other GameFi Projects and GameFi DAOs, which is something that the team need to consider going into the predicted bull market of 2025.
