What is Badger DAO? Badger DAO is a blockchain project that aims to integrate the world’s largest cryptocurrency, Bitcoin, into the DeFi space. In this article, you can find answers to frequently asked questions such as what is Badger DAO, what it offers, what is BADGER coin, how to get it, what is it used for. We have compiled it as Kriptokoin.com for our curious readers.
What is a Badger DAO?
Badger DAO is a blockchain project offering decentralized finance (DeFi) products targeting Bitcoin. The native cryptocurrency of the project is BADGER coin. The project allows Bitcoin holders to earn high-yielding interest through DeFi services. When users deposit Bitcoin in one of the project’s DeFi products, the platform spreads it across additional DeFi protocols such as Curve and Yearn to generate high returns. Besides, the Platform also allows users to use Bitcoin as collateral.
The platform allows staking of BTC through collateral. Users can obtain BTC collateral on different blockchains using the Badger bridge. Besides, they can access and stake BTC on many smart contract platforms through the Badger DAO. The platform, like its competitor Yearn Finance, uses vaults called Sett Vaults. These vaults are locked smart contracts containing the best yield farming strategies in DeFi protocols. Users can stake their BTC holdings and earn interest through Sett Vaults. The project aims to launch a decentralized exchange (DEX) named Badger DEX in the near future. DEX will make it possible to trade Bitcoins with different contracts.
What is BADGER coin? What is it used for?
BADGER coin is the native cryptocurrency of the Badger DAO project. The cryptocurrency also works as the platform’s governance token. BADGER owners can join the decentralized autonomous organization (DAO), vote in decision-making processes that determine the platform’s future, and bid for change. Besides, BADGER can be used as a payment method for transaction fees on the platform. BADGER coin is also required to use the Badger bridge. It can be said that the token has a place in all transactions on the DeFi platform.
At the time of writing, BADGER coin was the 354th largest cryptocurrency with a market cap of around $139 million. The token, whose maximum supply was limited to 21 million like Bitcoin, had 12.5 million in circulation.
What are the advantages?
- BADGER DAO allows staking of Bitcoin through its bridge service. Badger bridge connects to DeFi protocols, which provides the best Bitcoin staking. By accessing these protocols, users of the platform can stake their BTC holdings and generate income in exchange for collateral.
- The platform works very fast. Users can complete their transactions such as cross-border transfer and exchange within minutes.
- BADGER coin project leverages smart contracts for DeFi services. Smart contracts enable users to transact more securely.
What are the disadvantages?
- Many DeFi-focused projects offer benefits to their users such as incentives and additional token rewards. There are no such incentives and rewards on the Badger platform. The more BTC balances users of the platform have and stake, the more returns they receive.
- Keeping the assets on the platform in virtual wallets increases the possibility of cyber attacks. This disadvantage can be solved by transferring assets to a hardware wallet.
How to get BADGER coin?
BADGER coin is currently listed on many cryptocurrency exchanges. These exchanges include Binance, Huobi Global, Uniswap, and FTX. Investors interested in the Badger DAO project can purchase the token by signing up for one of these exchanges and depositing money in their wallets.
