What token is the most expensive token in the crypto world? BTC? YFI? ALL NO! It is DIGG which just goes live for 4 days. Starting at $51,194, $DIGG soared to $93,637 ATH, which is 3 times of $BTC price.
(Source: Coingecko)
After weeks of anticipation and a closely-watched series of preparatory steps, BadgerDAO’s synthetic rebasing Bitcoin, $DIGG, is now live and claimable for qualified addresses on Ethereum mainnet.
We introduced BadgerDAO, $badger and $DIGG in this article Badger= BTC + AMPL + YFI? Bring Bitcoin into DeFi! on 7th Dec. At that time, $BADGER price is just $3, now it is $16. At that time, $DIGG has not lived yet, but we have introduced to you that DIGG is a very important part of BadgerDAO. Those users who have read our article about BadgerDAO before and used it once must be very happy because you guys all got $DIGG airdrop!
What is $DIGG?
$DIGG is the synthetic rebasing Bitcoin issued by BadgerDAO. It’s an elastic supply cryptocurrency that’s pegged to the price of Bitcoin.
How does $DIGG peg with Bitcoin?
There are 2 parts of the mechanism that made the $DIGG pegged to Bitcoin.
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$DIGG distribution for Sett holders
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$DIGG elastic supply mechanism to adjust the supply
Let’s look at the first part - $DIGG distribution for Sett holders first.
There are 2 Setts in BadgerDAO, Digg Sett and Badger Sett. (What’s $Badger?)
The green box is the Badger Sett; the Yellow box is the Digg Sett.
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When DIGG price is at the peg, 50% of DIGG emissions go to DIGG Setts, and 50% go to Badger Setts.
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If DIGG is at 80% of BTC price or below it, all DIGG emissions go to the DIGG Setts.
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If DIGG price is at 130% of BTC price or above it, 70% of DIGG emissions go to Badger Setts and 30% to DIGG Setts.
The $DIGG will be pegged to Bitcoin due to the below assumptions.
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Incentivizes DIGG holders to LP and Stake when the price is below peg. The higher APYs for DIGG Setts also create the necessary demand for DIGG to move its price closer to peg.
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Motivates Badger Setts users to support the price of DIGG, as it allows them to receive larger rewards.
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Incentivizes DIGG LPs and stakers to move the price lower when it’s above peg to receive a larger % of DIGG emissions.
Second part - $DIGG elastic supply mechanism to adjust the supply.
Rebasing is the mechanism that adjusts the supply of an elastic supply asset to promote price stability. Rebase period is every 24h.
DIGG is currently pegged to 1 BTC, and uses a custom oracle to determine the necessary change in supply.
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If DIGG price is above 1.05 BTC, DIGG supply increases. This is known as a positive rebase.
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If DIGG price is below 0.95 BTC, DIGG supply decreases. This is known as a negative rebase.
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If DIGG price is between 0.95 and 1.05 BTC, DIGG does not rebase.
Every DIGG holder gets the same increase or decrease in supply every rebase. However, this increase or decrease is offset by the subsequent increase or decrease in price.
Currently, $DIGG has completed 2 rounds of rebase.
Round 1 = Positive Rebase of 120.145%. This equates to a 12.01% increase today across the entire supply.
Round 2 = Positive Rebase of 142.6%. This equates to a 14.26% increase today across the entire supply.
How Can You Participate in the $DIGG Mining?
Currently, 600 $DIGG has been airdropped to BadgerDAO users. Congrats if you follow us and use BagerDAO before! Check your wallet to claim the $DIGG airdrop!
If you fail to catch the earliest chance, don’t worry. You can still participate in the $DIGG mining through the Digg Sett and Badger Sett.
For Digg Sett holders, your profit contains 3 parts:
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$DIGG distribution for Digg Sett holders
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Sushiswap/Uniswap Digg LP token liquidity supply profit
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$DIGG rebase profit
For Badger Sett holders, your profit contains 4 parts:
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$DIGG distribution for Badger Sett holders
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$Badger Sett mining profit
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Sushiswap/Uniswap Badger LP token liquidity supply profit
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$DIGG rebase profit
You can choose the Sett you want, stake in the pool and start your mining.
The green box is the Badger Sett; The yellow box is the Digg Sett.
No $BADGER or $DIGG to start? You can buy $BADGER in Huobi (centralized exchange) or Uniswap and Sushiswap (DEX). For $DIGG, you can only attain it in Uniswap or Sushiswap for now.
What Will Happen to BadgerDAO and $BADGER?
Now you must have understood that there are 2 tokens in BadgerDAO - $BADGER serves as its platform governance token and $DIGG serves as its Bitcoin pegged token.
(The black spot line indicates the $BADGER token price)
Look at the social signal, it has started to increase since 26th Dec because of the intense discussion of WEN/When will $DIGG goes live.
Social signal indicates the level that the project/token is being discussed in social network. You can see the high correlation between BadgerDAO social signal and its token price.
And the expectation for the launch of $DIGG has driven up BadgerDAO on-chain active users amount and transaction amount to a daily ATH at 1.43k daily active users and 2.4k daily transactions. You can see the same growth trend of BadgerDAO on-chain data and $BADGER token price.
Social signal and on-chain data reflect what extent people are discussing and joining the project. Remember to monitor it. It will definitely be one of your trading signals. Check the tokens with the hottest social signal here.
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