Singapore, Singapore–(Vehement Media. – December 9, 2021) – Early-stage Crypto Incubator launched by Magnet DAO fetches $1.6M in IDO.
In recent months, decentralized digital reserve currencies have seen a stellar rise in popularity across the crypto market. Spearheaded by the decentralized finance (DeFi) protocol Olympus, a whole host of new opportunities for crypto investors have flared up.
However, one of the central challenges for individual investors is that it is extremely difficult to actually invest in projects when it is most opportune – in the very early stages of their development.
Now, Magnet, a new Decentralized Autonomous Organization (DAO), offers a solution to this problem.
Launching an Advanced Crypto Incubator
Magnet DAO hails itself as the next evolutionary step of crypto reserve currency protocols. It aims to allow a wide range of investors access to early-stage investment opportunities that otherwise remain restricted to VCs, angel investors, and their founding teams.
At its core, Magnet DAO wants to help crypto projects flourish in their early stages through investment across a variety of protocols.
Speaking more broadly, Magnet’s central concept becomes possible due to its protocol of controlled value and an Olympus-like bonding and staking mechanism.
The central DeFi innovation of Olympus’ is its protocol treasury, which backs its OHM and sets a fixed intrinsic value below which it cannot fall.
Magnet DAO’s most important distinguishing characteristic is that it uses 10% of bond profits for further investment in high-quality crypto assets. The upshot of this strategy is that it effectively turns Magnet DAO into an on-chain venture fund.
This provides a seductive value proposition and potential for exponential returns for Magnet token owners. At the same time, though, the protocol itself owns its liquidity pool, so it can’t be withdrawn. It will also algorithmically stabilize Magnet’s value.
To date, Magnet DAO’s strategy has met with keen interest from the crypto community. The project has over 12,000 Discord members, as well as 5,000 Twitter followers.
Launching to General Resonance
On December 7th, Magnet launched natively on Avalanche (AVAX). 2 million tokens were up for grabs, a total of 20% of its initial supply, sold at a fixed price of $0.80 per token. Initially, the individual maximum contribution was capped at $500 per person. However, due to high demand, it was increased to $4,000 in several steps over the course of an hour. This initial launch was only available to Discord Members but saw considerable resonance. The community offering was sold out within 32 minutes, raising 1.6 million MIM in the process.
Magnet DAO announced that proceeds from the initial launch would be used to further near-term growth, including performing top tier audits, expanding the project’s marketing budget, and bringing on a larger number of blockchain developers.
In terms of near-term strategy, $MAG will remain native to Avalanche, and will become available for swapping on Trader Joe in early 2022. Furthermore, plans are underway to expand to cross-chain.
Magnet DAO’s next major operation is its fair launch on December 27th at 5:00 pm UTC. At this time, 4 million tokens will be for sale, representing 40% of the initial total supply. The main goal of this launch will be to bootstrap the protocol’s treasury. In total, 20% of tokens are reserved for the development team (locked and vested), a further 10% are assigned to marketing and partnerships, and 10% are dedicated to ensuring initial liquidity.
Avoid Scams, Finding a Strong Community Basis
The attractiveness of Magnet DAO’s concept is also evidenced by the fact that scam tokens have already been a matter of concern. The development team has had to issue notices to inform investors that no legitimate $MAG-LP pools are available on Trader Joe or any other DEX to date.
In terms of native security, Magnet has taken care to build a basis of trust and to assure its community that it is not a rug-pull operation.
Not only is its code open source, several community members have also peer-audited it. In addition, several tier-1 third-party audits are planned for Magnet’s token contract as well as its smart contracts prior to the protocol’s official launch.
Furthermore, all of Magnet DAO’s protocol wallets require multiple signatures. No team member has sole control, creating a solid basis of accountability to the entire core development team members, third-party advisors, DAO leadership, and ultimately the community.
Conclusion
With reserve currencies on the rise and further diversification on the horizon in the crypto realm, early-stage access to promising projects presents a high-value opportunity for investors.
Magnet DAO’s mission is to make that opportunity accessible to average investors while also maintaining basic stability through its treasury and exploring ways to generate risk-free return on stablecoins.
Media Contact:
Name: Justin Mahone
Email: marketing@magnetdao.finance