What Is Boringdao? (BOR) Complete Guide Review About Boringdao.

What Is Boringdao? (BOR) Complete Guide Review About Boringdao.

What Is Boringdao?

Boringdao Coin oToken offers a safe way to maximize utilization rate of Bitcoin and other crypto assets. $BORING is the native utility and governance token. BoringDAO is driven by the community and aims to build BitcoinFi on multi-chain. BoringDAO’s mission is to help DeFi expand its compatibility in the form of DAO. BTC, LTC, DOGE, and other crypto assets that have been left out can be converted into the wrapped token (ERC-20 token) decentrally and safely with low friction. These assets can participate in the broader DeFi world on Ethereum and finally usher in a brand-new open financial era.

Boringdao Coin Storage Key Points

Coin BasicInformation
Coin NameBoringdao Coin
Short NameBOR
Circulating Supply141,934.86 BOR
Total Supply200,000
Source CodeClick Here To View Source Code
ExplorersClick Here To View Explorers
Twitter PageClick Here To Visit Twitter Group
WhitepaperClick Here To View
Support24/7
Official Project WebsiteClick Here To Visit Project Website

How does oToken Tunnel work?

The Boringdao first DAO (called “Tunnel”) is made for Bitcoin turn to ERC-20 Bitcoin, and the first tunnel name is oBTC, It helps BTC holders bring their Bitcoin to DeFi World. For each blockchain asset, there will be an exclusive minting tunnel operated in the form of DAO and performing bi-directional mapping between blockchain assets and ERC-20 tokens.

Any community user can open a new tunnel freely through pledge BOR, but each blockchain asset can only have one tunnel. For example, Alice wants to wrap BTC into oBTC on Ethereum network, but the BoringDAO system has yet to create a channel for BTC.

Then, Alice can stake a certain amount of BOR and create a BTC-oBTC wrapping tunnel. Although created, the tunnel will not be activated until BoringDAO community has pledged enough deposites that meets the requirement for a tunnel activation, in which Alice’s portion of the pledge will directly enter the pledge pool.

Building Decentralized Tunnels Between Blockchains For Your Crypto Assets

Boringdao Coin deploys a series of decentralized bridges – or tunnels – which allow you to safely move your Bitcoin & other crypto assets between Ethereum & different blockchains to maximize utilization rate of crypto assets in DeFi world.

Features

Safe

All assets backed by a 3 layers security mechanism – multi signature wallets, over 100% reserve, and decentralized insurance.

Fast

Assets can be moved across different blockchains within minutes.

Decentralized

Boringdao is fully decentralized meaning your assets are never in the hands of single third party and all financial data is easily verifiable on the blockchain.

Permissionless

Everyone is free to use the cross-chain tunnels and stake their assets in the farms with no third party intermediary.

Bitcoin Friendly

Safely move your Bitcoin cross-chain to make the best of multi-chain DeFi.

DAO Governance

BoringDAO is controlled by the community so all major decisions are done openly and though decentralized governance methods.

Boring Tunnel

Boringdao each crypto asset has its own decentralized and bi-directional cross-chain “tunnel” controlled by the DAO. When users use these tunnels move their non-ERC20 tokens (such as BTC and LTC) cross chain, they are rewarded with $BOR tokens.

Tunnel Mechanisms

Tunnel Features

  • All tunnels are operated by the DAO
  • New tunnels can be freely created via “pledging” and a governance vote.
  • 70% of minting fees are allocated to tunnel operators
  • Total value of pledged tokens is proportional to the maximum “wrapping” limit of each tunnel.

Triple Pledge Model

  • Each wrapped token (oToken) is backed by 100% + additional assets for extra security. 
  • Asset Layer: 100% original crypto assets 
  • Contract Layer: 25% – 150% over-collateralization using $ETH, $BOR, $DAI and more.
  • Application Layer: Decentralized insurance platforms

Tunnel Creation

Boringdao Coin User needs to pledge at least 500 BOR for the initial tunnel creation. However, it should be noted that after the initial creation, the tunnel would maintain inactive until the pledge requirement for tunnel activation is met within 48 hours of initial tunnel creation. In version 1, the activation requirement of each tunnel is set to 3,000 BOR; that is, although the tunnel has been created after pledging 500 BOR, the tunnel would only start to create wrapped b-Tokens after a total of 3,000 BOR is pledged.

After the activation requirement has been met, the tunnel will go live after a tunnel-creation countdown.Why require pledging BOR for proposals: to avoid a large number of meaningless proposals which cause waste of community’s energy; the BOR pre-pledged at the time of the proposal will be converted into the actual pledge of the tunnel as soon as the proposal is passed, allowing the tunnel to have the initial pledge amount and minting capacity.

Insurance

Boringdao Although the BoringDAO system is well designed, it does not mean that it is foolproof.50% of the redemption commission in the tunnel will be saved into the insurance pool. The insurance pool is wholly governed and controlled by the community. Only when the community proposal is met and the referendum is completed, the insurance amount locked in the contract will be used for claim settlement.

Claim settlement is usually applied to deal with the Black Swan risk in the system.DAO insurance will provide the BoringDAO system with the third guarantee, allowing all assets to roam freely, safely, and without trust in the Ethereum network.