Donut DONUT Price

What is Donut (DONUT)?

Donut (DONUT) is an ERC-20 token designed to represent community points for the /r/ethtrader subreddit. Launched in October 2018 and available as an ERC-20 token since December 2019, Donut rewards users based on the quality of their submissions and activity in the subreddit.

How Is Donut Distributed?

Unlike traditional Reddit karma, Donut tokens are distributed monthly based on the number of upvotes a user receives for their posts. Users can also transfer Donuts to each other as tips, making it a more interactive way to reward contributions.

Functions of Donut Tokens

Donut tokens serve several purposes within the /r/ethtrader subreddit:

Voting: Donut holders can vote in governance polls, with more tokens giving more weight to their votes.

Loyalty Badges: Users can purchase special loyalty badges and memberships for 200 Donuts per month, which unlock exclusive features, such as the ability to add GIFs to comments.

Banner Purchases: Users can use Donuts to buy the top subreddit banner.

Who Are the Founders?

The Donut project was created by Carl Larson, a moderator of /r/ethtrader, who was an early Ethereum developer. The project has also involved a pseudonymous team and the Reddit R&D department, but their specific roles remain unclear. Another key contributor is a user named “Shouldbdan,” who helped bridge Donut points with the ERC-20 token.

What Makes Donut Unique?

Donut is the first subreddit community point token launched on the Ethereum mainnet. While other subreddit tokens, like “Moon” from /r/cryptocurrency, remain on test networks, Donut’s unique model allows for easy trading and spending outside of Reddit. Additionally, Donut is backed by a decentralized organization powered by Aragon, which helps mint tokens and govern the project.

Supply and Distribution

Initially, 100 million Donut tokens were created, which increased to over 120.3 million by February 2021. After June 2020, the issuance rate was reduced from 2 million to 1 million tokens per week, with 85% distributed based on user contributions, 10% allocated to a community fund, and 5% for subreddit moderators. Tokens spent on badges and memberships are burned, reducing the total supply over time.

Security of the Donut Network

As an ERC-20 token, Donut is secured by Ethereum's network of miners. They use a proof-of-work (PoW) mechanism to solve complex mathematical problems and confirm transactions. This system ensures that Donut transactions are secure and unlikely to be attacked.

In summary, Donut (DONUT) is more than just a token; it's a way for the /r/ethtrader community to reward active participation, engage in governance, and enjoy exclusive benefits.

What is unique about Donut (DONUT)?

Donut (DONUT) is unique as the first ERC-20 token launched for a subreddit, rewarding users based on their contributions and upvotes, allowing for direct transfers between users, and providing governance voting rights within the /r/ethtrader community.

Who are the founders of Donut (DONUT)?

The founders of Donut include Carl Larson, a moderator of the /r/ethtrader subreddit and early Ethereum developer, along with contributions from a pseudonymous team and a Reddit user known as “Shouldbdan.”

Who are the backers/investors of Donut (DONUT)?

Donut is backed by a decentralized autonomous organization (DAO) powered by Aragon, which helps govern the project and mint tokens, although specific investors are not publicly disclosed.

Where can I buy Donut (DONUT)?

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