The top 10 questions Duet Protocol community is concerned about!
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In the past one month, Duet has established a large, autonomous, and active high-quality community all over the world. Telegram community has reached nearly 75,000 community members and Twitter has over 71,000 followers. After successfully holding community contribution activities including AMA, MEME contest, various airdrop events, and other activities, Duet has managed to attract thousands of blockchain and crypto enthusiasts to join the Duet community construction with the common goal of building a parallel financial universe.
This article summarises the 10 most popular questions in the previous AMA’s. In addition to that, we want the Dueters to know the most exciting features of Duet but more importantly, let them feel the vitality of the Duet Protocol community.
We believe that having such Dueters, Duet Protocol will be the banner of synthetic assets protocol.
What is Duet Protocol? And how does it work?
Duet is a synthetic assets protocol in the brand new paradigm, it has a hybrid mechanism of over-collateralization and algorithm-pegging model. Duet allows users to create any quoted assets from the real world on the chain, such as stocks, commodities, futures, and bonds.Instead of selling crypto assets into fiat currency, Duet enables users to allocate capital to any assets with only one crypto wallet.
Compare to other synthetic asset protocols, Duet’s goal is not simply a financial application, but a real parallel universe that enables real world asset casting, recomposition, and restructuring on the blockchain.
A Duet in music refers to a piece of music where two people play different parts or melodies. Similarly, the Duet protocol allows traders to replicate the real-world tradable assets in a decentralized finance ecosystem.
What is the vision and mission of your project in the future?
Duet’s vision is to build an on-chain parallel financial world governed by DAO that allows users to create & allocate capital to ANY assets in a safe and transparent manner.
Please tell us about the DUET token？
In simple terms, the DUET token captures transaction fees, lending fees, tax, and interest in the system. DUET can be locked into the system as collateral, also can be used as fuel to burn a synthetic asset, and staking for governance reward. Rewards for holding DUET:
1. Enjoy the benefits of a theoretically prolonged deflation caused by the burn model
2. Asset reverse minting fee(returning collateral from dAssets)
3. Yield Sharing from re-staking of user’s collateral
4. Staking and participation in governance incentives
5. Handling fees incurred in financial activities such as Swap and lending 6. Part of the return on the spread of asset liquidation
How does Duet Protocol generate on-chain assets?
Duet is a synthetic assets protocol in a brand new paradigm, not like normal synthetic protocols. In Duet, for the minters, there are two ways to generate an on-chain synthetic asset on Duet (dAsset):
1. Deposit ETH/USDT/WBTC/uni LPs etc. to the minting contract, About $
300 worth of crypto assets deposited can generate $100 worth of synthetic stock.
2. Buy a $100 worth DUET token, sent it to the minting contract, the DUET will be burnt and you will get $100 of the synthetic stock.
How big is the Team? How many Developers are involved right now? In what locations do they work?
Duet has 14 core members and 20+ contributors (advisor, incubator, and potential investors). We have 4 experienced developers, 2 of them are Ph.D. in mathematics. Our developers are industry veterans who have extensive experience in DeFi, security token, mining, and lightning networks. They were key contributors of Omni, BSC, NEO, etc.
We have a global BD/Operation team based in Hong Kong, Vietnam, the US, Australia, etc. Our core members are KOLs and financial/Macro-economic experts in the crypto industry including former Chief Researcher of Binance China, former partner of a Top10 crypto fund with 40+ portfolio, co-founder of China’s first DAO community and DAO-as-a-Service project(Draper U alumni), Founder of a media corporation with millions of monthly traffic and has raised millions of USD from Fenbushi Capital(also CFA and Ph.D. from Duke), a core member of Binance and incubator Impossible finance.
Compared with existing synthetic assets such as Synthetix, Linear, and Mirror, what are the improvements of Duet Protocol?
Duet’s goal is not a simple financial application, but a real parallel universe that enables real-world asset casting, recomposition, and restructuring. The current under developing core minting module has the over-collateralization model similar to Mirror and Synthetix, but we accept a wide range of blockchain world assets as collateral compared to our rivals, who mostly only accept their own issued tokens as collateral, which’s not very friendly, the minter takes an additional risk by buying the system token as collateral, not to mention that if it’s Synthetix’s model and everyone shares the debt pool, the minter is completely unsure of how much he will owe the system.
We also integrate the Farming module, which automatically raises interest on users’ collateral, reducing migration costs for users. In addition, we have a unique algorithm-pegging model that allows the user to burn Duet tokens without having to put up collateral to create synthetic assets. Minters in this mode will not take any risk of forced liquidation and have 100% capital utilization.
Could you give us an overview of the tokens? How the token will be distributed and when TGE? Will there be a burn buy-back plan to maintain the supply?
40% Tokens will be mined by users;
10% as an incentive to the team but with 2 years linear unlock period;
5% for angel investors;
1% for IDO;
10% for ecosystem builders;
30% for the reserve fund;
Angel investors will get 15% TGE after DUET is listed on major exchanges, a date that has not been fixed yet. Duet is a long-term deflation coin with no need for a positive buyback scheme from the foundation but might change due to all token holders’ voting after all Duet is a DAO governed community project. Every token holder has the right to express their views and pitch others for support.
Who are DUET’s current investors?
On May 9, 2021, Duet announced the completion of the first round of financing of three million US dollars and announced the first batch of investors, including Omni LAB, Draper Dragon, Everest Ventures Group, One Block Capital, Moonwhale Ventures, Dutch Crypto Investor, Cabin VC, LD Capital, Zonff Partners, Block Vision Fund, Consensus Labs, Kernel Ventures, 3Commas, individual investors include NASDAQ listed company partners and A&T Capital partners.
On May 20, 2021, Duet Protocol announced the second batch of global investment institutions and regional partners. Investors include AU21 Capital, Arcanum Capital, Paratone Capital, ARKN Ventures, Phoenix VC, NewTribe Capital, Curiosity Capital, Blockwall Capital, 42DAO Capital, Titans Ventures, Shin Chan Group, Avstar Capital, Digital Assets Group Holdings, DHVC, Lucid Blue, Bitmart, Mr. Block, One Piece VC, 7 O’Clock Capital, Snapfingers, PrimeBlock Ventures (MXC labs), Foresight Ventures (Bitget), Mask Network founder Suji Yan and Cao Yin, managing director of the Digital Renaissance Foundation.
Security is always most important for users. Can you tell us about your platform’s security? Have you done any audits via any audit platform?
Our team members have rich development experience, ranging from public chain to layer2 to DeFi applications. We attach great importance to security. We have been carrying out intensive code review & tests internally and will employ university computer engineering laboratories and third-party audit companies to conduct code auditing.
What are Duet’s recent plans?
Airdrop campaign on Coinmarketcap.com is starting from the 6th of June. In mid-June, deployment of the beta version of “Unit Zero” will be done. Launch of the DUET Lite-Minting module at the end of June.
In July, launch the optimized over-collateralization module to support multi-asset mortgage;
Complete the multi-chain deployment in Q3 2021. It is expected that our lending and swap facility will be launched in Q4 of 2021.
Stay updated on the Duet’s progress by following on social media channels and communities.