What is CultDAO

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CultDAO is a community-driven meme-sponsoring DAO (also a decentralized fund management project) initially launched at the beginning of 2022 by Mr. O’Modulus.

CultDAO gives 13 ETH funds to projects that are submitted and passed by community voting.

Their investing philosophy is often related to revolutionary thinkers, decentralization advocators, and more about the advancement of the community liberty & decentralized revolution. About this spirit, you can find more in their manifesto: CultDAO manifesto

The categories and distribution of Cult proposals are shown below:

How does CultDAO work?

The mechanism of CultDAO is simple. It has four basic elements in the game.

  • $CULT token. It is a tradable & liquid utility token of Cult project. It mainly has two functions.
    • Every transaction of $CULT will automatically be taxed 0.4% of the amount of that transaction (in $CULT) and filled into the Treasury.
    • The $CULT can be staked and stakers will gain voting power & rewards. (Except for the top 50 stakers, they do not have voting power)
  • The DAO Treasury. The treasury distributed funds to different "investee" projects. All taxes will be transferred into the Treasury. For every 15.5 ETH of $CULT raised, 2.5 ETH worth of $CULT will be burnt, and the other 13 ETH worth $CULT will go to the investee project.
  • $dCULT. The staking representative token of $CULT token. It is also the proof of your staked $CULT token, the voting delegating token. When you stake your $CULT into the DAO, you are given $dCULT, which can be swapped back at any time into the amount of $CULT you staked originally, plus any rewards that were given to the DAO in the time period you owned $dCULT.
    • Note that dCULT are not transferrable, and cannot be obtained by any means other than staking CULT.
  • The Guardians. The top 50 CULT stakers (dCULT owners) are called Guardians. Only guardians can submit protocols proposals for other stakers to vote and invest. However, guardians can only propose rather than make any vote (in case of centralizing of the voting power). You can find top holders of $CULT here.
    • 21 of the the Guardians received tokens through an airdrop. This was usually 15.68 billion CULT or in Vitaliks case 19,92 billion (20 billion before fee).

A proposal will be successfully approved and get the 13 ETH worth $CULT if the voting result reaches >50% passes.

All reward / revenue to the dCULT holders from the successfully approved investee projects will be converted into CULT tokens first (by the project themself), and then 50% of these rewards are distributed to dCULT holders and the other 50% to a burnt address (get burnt permanently)

The total supply of CULT should follow a deflation model as more and more proposals get passed. The rewards of the passed investee projects may appear as a boomer or a star project which can attract more members and further increase the demands of CULT.

In short, with CultDAO, you can:

  • Be an investor for early crazy innovative & decentralized projects.
  • Be an innovative project and propose your idea.

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