NetherDAO

What is the purpose of a DAO to accomplish Nether's vision?

Vision:

We believe that a healthy protocol should provide a useful utility to the chain or the layer where the protocol is deployed. By doing so, rewarding its users in a sustainable way to attract more users to the platform. Nether’s vision is playing a crucial role to boost adoption to L2 ecosystem to ease the onboarding process with its bridge function and deep liquidity across layers to execute meta-transaction without the need of having a single ETH in a wallet address. Also helping out the Ethereum native chain to have a greater security level for both itself and underlying layers, usage of NETHER instead of ETH inside of layers, encourage holders and participants to stake ETH for the upcoming ETH 2.0 (POS) migration.

Why DAO?

To provide our vision, there is no DAO needed at the initial phase, but we believe that our financial protocols could serve the ecosystem prolifically and the combination of both infrastructure and financial utilities would bring additional value acquiring strategies to the platform itself.

Let’s assume that L2 adoption has reached its functionality and greater adoption is set. Imagine that after ETH 2.0 migration native ETH will be a deflationary asset and L2 user onboarding rates will climb up vertically. (Almost every L2 is using ETH as a medium of transaction, similar to the native chain.) It is highly possible that there will be a gap to accomplish the vision, because of a potential scarcity of native ETH.

Our share token as nShare acts as a key to interact as a DAO participants in Nether. Users should vest their token into the venShare token to participate in new opportunities, ideas and proposals.

Example Use Cases:

In the future, NetherDAO could decide where the NETHER’s deeper liquidity should be provided across different L2s and could incentive its users with bribes or incentives from L2’s communities, like Curve Finance has been creating benefits, bribes and advantages from its AMM emissions, while helps out to establishing other projects more stable swap ratios and greater liquidity.

Another use case of venShare will be the revenue of our upcoming onmni-pool stle AMM, where all parities are engaged with NETHER and its deep liquidity. In that case, it improves Nether’s utilities and combining with other services that Nether provides, intended to make our share token similar to a validator node in a similar way to acquire rewards, when vested.