Diane Dai, Co-Founder & CEO of DODO – Interview Series
Diane Dai, Co-Founder & CEO of DODO, a Virtual Currency Management Platform with a focus on enterprise client support. DODO is the first company to bring together a collection of tools designed to manage and track cryptocurrency assets. It also provides with a suite of services and tools for wealth management, accounting, compliance, and general management. Founded in 2014.
Meet the CEO of DODO, this world’s first cryptocurrency for everyday use.
DODO currently has an ICO and you can learn more about DODO on this post. We have an interview series that covers the founders of new ICOs. With DODO, we have interviewed Diane Dai, Co-Founder & CEO of DODO. You can read the DODO interview series here.
DODO, a decentralized exchange and on-chain liquidity provider, is led by Diane Dai. DODO is a next-generation on-chain liquidity provider that uses the Proactive Market Maker algorithm (PMM) to offer everyone with pure on-chain, composable liquidity.
What drew you to cryptocurrency in the first place?
What drew me to crypto was the new technology’s promise for social justice. I’ve always believed that everyone, everywhere should be able to do business and build their wealth with minimum third-party intervention. With the widespread acceptance of bitcoin and the emergence of decentralized finance, this ideal is now becoming a reality.
As my involvement in the DeFi community grew, I became aware of the underrepresentation of women in the group. I chose to take use of my newfound platform and voice to serve as an active role model and advocate for women’s participation in DeFi initiatives. I’m hoping that other ladies who are interested in this field would come across my narrative and be encouraged.
You founded one of China’s earliest and most influential Defi communities. Could you provide us with any insight into how the Chinese population perceives DeFi in general?
In my perspective, the Chinese crypto community has been extremely enthusiastic about DeFi and has been actively involved in DeFi initiatives practically since they first appeared. AMAs, information transfer sessions, and even real-life community meetings are regularly held on the community’s social media platforms. The extraordinary surge in interest in DeFi in mainland China shows no signs of slowing down, and I want to continue to be a part of it.
Could you tell us about DODO’s beginnings?
It all began last summer when Radar Bear and I were evaluating some of the new DEXs that had come on the scene. We felt there had to be a better, more efficient method to calculate asset values than the AMM algorithm they were employing. That’s when we discovered we could increase capital efficiency by using external oracles. We went right to work on making that concept a reality, rapidly assembling a dynamic global team of crypto visionaries, and the rest, as they say, is history.
How does DODO set itself apart from rivals like Uniswap?
Low liquidity, high volatility, and limited customisation are common problems for decentralized exchanges like Uniswap. DODO, on the other hand, employs the cutting-edge Proactive Market Maker (PMM) to dynamically decide the price of crypto assets via oracles. When opposed to our rivals who utilize the AMM approach, this leads in less impermanent loss and less slippage. Furthermore, DODO offers a unique alternative to the conventional ICO method, using our Crowdpooling mechanism to distribute new coins to interested investors at a cheap cost and great liquidity.
Could you describe the Impermanent Loss issue that liquidity providers face and how DODO is attempting to address it?
Impermanent loss is the loss to liquidity providers caused by fluctuating base and quote token ratios in a liquidity pool due to changing token values. If the price of a token rises significantly, arbitrage traders’ pool rebalancing may result in large losses for LPs compared to just retaining those assets.
DODO uses external pricing oracles to minimize the danger of temporary loss. These oracles decide the price of assets in DODO’s liquidity pools automatically, keeping them lower than major exchange prices to encourage arbitrageurs to rebalance the pools. This reduces temporary loss while also providing a compelling platform for liquidity suppliers.
Could you further elaborate about Proactive Market Maker (PMM)? What’s more, why is it significant? DODO’s main feature is the Proactive Market Maker. The PMM is an algorithm that uses market activity to dynamically calculate the price of tokens in a liquidity pool. Unlike conventional AMMs, which only allow for one relationship between bid/ask orders and a set price, the PMM allows users to build a pool with a fully adjustable curve to suit a variety of market situations.
The form of this curve is determined by the ‘liquidity parameter,’ often known as ‘k.’ The higher the value of k in the range [0,1], the fewer price changes there are when approaching the mid-price – and the more liquidity there is in the pool. Users may get a significant liquidity advantage over those who utilize our rivals by allowing DODO LP producers to choose their own balance between available liquidity and price sensitivity to market activity.
What do you see for DODO in the next five to ten years?
It’s difficult to respond to this issue since cryptography and the DeFi sector may become totally unrecognizable in the next 5 to 10 years. At DODO, we try to stay ahead of the curve by providing the most cutting-edge and creative features that the community desires. The only thing I can say about the future is that it will be unexpected!
However, at the present, our main aim is for DODO to become completely decentralized. Community vote efforts, such as the ones we’ve just launched, are an important step toward completely decentralized community government. Starting in September, we’ll have a DAO in place to offer the community authority over how the money in the community treasury is spent, as well as the many parameters that govern DODO’s liquidity pools and other critical problems.
While some of these efforts have generated intense debate, we at DODO think that community government will eventually bring people together rather than separate them. When individuals have a voice in how their assets are managed, it is both powerful and effective.
Is there anything more regarding DODO that you’d want to share? DODO is looking for new employees! Please submit your CV to [email protected] if you’re enthusiastic about DeFi and want to join us in bringing the on-chain liquidity revolution to life. We are a genuinely global business, even if we are headquartered in Singapore. We collaborate with people from all around the globe – come join us!
Thank you for a fantastic interview; readers interested in learning more can go to DODO.
This article broadly covered the following related topics: