CULT is the tradable and liquid token of CULT DAO. When you transact with CULT, it gradually fills the DAO treasury, which is then used to fund investments in decentralized technologies. This system works by collecting a 0.4% fee on all CULT transactions.
When CULT is staked in the Cult DAO, it transforms into dCULT, which serves as the "proof of stake token" for CULT. Staking your CULT in the DAO allows you to receive dCULT, and you can exchange it back at any time for the original amount of CULT you staked, including any rewards the DAO accrued during your ownership of dCULT.
The funding process of Cult DAO is entirely decentralized and unstoppable. As long as people continue to transact with CULT, Guardians propose ideas, and users cast their votes, Cult DAO will keep supporting revolutionaries, decentralization enthusiasts, and those striving to break societal chains.
Proposals can only be initiated by the Guardians, the top 50 holders. Guardians can't vote, which helps ensure their impartiality. These proposals must meet at least one, if not all, of the following criteria:
● Combat centralization,
● Advance the cause of decentralization,
● Directly benefit a noble cause.
Proposals can come from any source, be it VCs, community members, politicians, anarchists, socialists, or any political spectrum, as long as they adhere to the mentioned guidelines and are submitted by a Guardian. The Many can vote on any proposal that fits the criteria. Proposals need to include:
1) The total token supply of the investee protocol,
2) The percentage of the total supply offered in exchange for a 13 ETH investment,
3) The tokenomics,
4) An audit of the token and any contracts, if applicable,
5) The burn and distribution plan.
The burn and distribution plan outlines the vesting schedule for the investee protocol's token. Take, for example, a fictional protocol ABC DAO. The vesting schedule can occur daily, weekly, fortnightly, or monthly, but it cannot exceed 18 months.
Suppose ABC DAO offers 1.2% of its $ABC token, vesting monthly over 12 months. On the repayment date, instead of sending the investee protocol's token like a traditional VC-funded model, the investee company swaps 0.1% of its $ABC supply (1.2% over 12 months) for $CULT. ABC DAO then allocates half of this CULT to a burn wallet and distributes the other half to the DAO, benefiting the dCULT holders.
CULT aims to accelerate the downfall of the outdated financial system, bringing an end to the dominance of sovereign nations and central banks. The current financial model is structured to keep the populace impoverished—a society driven by debt relies on inflation to function, which ultimately deprives the underprivileged and prevents them from catching up with the elite ruling class.
