What is Dogezer (DGZ)? A Beginner’s Guide
What is Dogezer (DGZ)? A Beginner’s Guide
Dogezer (DGZ) has created a platform to leverage network effects to the benefit of the creators and early adopters of new software. A network effect is the economic phenomenon observed when there’s an increase in the value of a good or service simply because more people use that good or service. The classic example of a service that experiences a network effect is the telecommunications network. The more people that use a communication network, the more valuable the communication network becomes.
Dogezer wants to capture those demand-side economies of scale in a project-specific cryptocurrency. The platform allows project leaders to offer coins to fundraise. It also allows contributors to be rewarded for their efforts via those coins.
Dogezer is currently fundraising. The public sale of the deflationary Dogezer token, DGZ, started on February 15th, 2018. When a token is deflationary, like the DGZ token, the supply does not increase. That means that if the demand for the token increases, the laws of economics dictate that its price will appreciate accordingly. The DGZ token sale ends on March 8th, 2018.
The Dogezer token is an ERC-20 smart contract on the Ethereum network. It can be purchased at http://www.dogezer.com. For step-by-step information on how to purchase the DGZ token with ETH, please refer to the official guide. Contributions over 10 ETH must pass KYC/AML requirements.
Token Classification: Utility Token (partially burned when used)
Token Type: ERC-20 Smart Contract (Ethereum Network)
Token Value: 1 DGZ is worth a minimum of $4 on the Dogezer Platform
Token Conversion Rate: 1600 USD per 1 ETH
Token Pricing: 0.000625 ETH per DGZ
Total Supply: 100,000,000 DGZ
Public Offering: 98,000,000 DGZ
Bounty Allocation: 1,500,000 DGZ
Founder’s Share: 500,000 DGZ (vested over 3 years)
KYC/AML Compliant: Yes (Contributions over 10 ETH)
Token Sale Smart Contract Auditors: Audit Science Services
Token Sale Ends: March 8th, 2018
Softcap Reached: February 20th, 2018
Unsold Tokens: Burned
How does it work?
Dogezer functions like a coin fabricating version of Upwork. Unlike Upwork, it’s solely focused on helping software development teams to collaborate. It enables those teams to tackle gnarly fundraising concerns through the Dogezer financial system. This financial system provides software development teams the ability to generate their own coin.
Once the project starts making revenue, the founders can use the project revenue to purchase the coins back from team members. Even if the coins do not appreciate in value in secondary markets, or exchanges like Binance and Bittrex project members are compensated for their efforts.
Dogezer intends to enable software development teams the opportunity to not only generate and market project specific tokens via an initial coin offering mechanism, but also deploy smart contracts, manage the project, oversee bounty campaigns, and streamline team collaboration.
When was it created?
Dogezer was conceived in the spring of 2016 by a Russian team in Nizhny Novgorod led by Alexander Kozlov. The alpha version’s open to the public at http://www.dogezer.io. A beta version of the platform will be available this summer, June 2018.
This is the team’s first project in the cryptocurrency space. Prior to creating Dogezer, the team collaborated on web and infrastructure development, automated XBOX/Playstation/PC screen recognition software, and various other unrelated software projects. In their white paper, they demonstrate a solid understanding of the exigencies of fundraising. Moreover, as a team of software developers, they’re acutely aware of the potential value of the Dogezer platform.
What value does it add?
The lion’s share of the value added by the Dogezer comes from tackling inefficiencies founders usually experience when fundraising. According to the website, Dogezer features include:
Talent Marketplace (Like Upwork)
Version Control System (Like GitHub)
Documents Editor (Like Google Docs)
Task Tracker (Like Jira and Asana)
Cloud Storage (Like Dropbox)
Integrated Messaging (Like Slack)
The Dogezer platform uses a freemium model that opens basic features for free. The advanced features of the platform are only available to DGZ token holders.
The features presently open to the public are the dashboard, user profile, people, vacancies, new projects, and project sections:
Who is Dogezar for?
The Dogezer whitepaper claims that the platform’s for “entrepreneurs, software engineers, UI\UX designers, artists, salespersons, marketing specialists and all other individuals involved in the creation, promotion, and support of software products of any kind.”
Dogezer’s identified Colony and Starbase as competitors. However, it’s clear that the platform provides the greatest utility to founders looking to bypass traditional fundraising approaches and provide project specific tokens as compensation to co-founders and key team members.
Will Dogezar Succeed?
Time will tell. Certainly, active communities and the power of network effects can ensure that Dogezer and platform users are financially compensated for their various contributions. That said, until Dogezer has empowered a few successful software projects that generate substantial revenue, platform adoption will be slow. Furthermore, it only takes the addition of a coin generating subsystem for incumbents like Upwork, or even Angel List, to incapacitate the Dogezer initiative.
Lastly, the major risk to the platform’s adoption is the dearth of cryptocurrency exchanges willing to list security tokens. Coins generated by the platform may be evaluated as securities. Given present requirements for listing cryptocurrencies on popular exchanges, Dogezer-fabricated coins may not meet list requirements. As a consequence, the team behind a hugely successful project, and its early adopters, may not be able to fully benefit from the network effects that ownership of a project-specific token generates on secondary markets.
To learn more about Dogezer, please explore the following links:
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ABOUT THE AUTHOR
ABOUT THE AUTHOR
Munair Simpson is a business strategist that focuses exclusively on cryptocurrencies and fundraising. He started Useful Coin LLC (Wyoming) in 2017 to help new ventures raise capital via token sales, and to help investors find fundamentally valuable tokens.
Munair is originally from Kingston, Jamaica. He graduated from the Wharton School with an MBA in Marketing.