4. IADD Network
Instantly and Automatically Deployed De-valuation Network
Overview
Like its name, Instantly and Automatically Deployed De-valuation Network, IADD Network is a decentralized de-valuation network that is instantly and automatically deployed. It servers for the decentralized valuation of dApps, exchange and universal payment (settlement). So, it's a 3-in-1 network. It has actively contributed to the establishment of a pricing unit system as well.
Missions:
Automatically deploying a decentralized valuation network.
Automatically deploying a decentralized exchange.
Automatically deploying a decentralized settlement(universal payment) network.
A important part of Protocol of Unit Token.
Basiclly, if we just focus on decentralized exchange, IADD Network looks like a combination of Bancor Network and Uniswap. We used Uniswap's price algorithm, CPMM, to replace Bancor's complex algorithm. But actually there're several innovations.
Perfectly Decentralized Price Discovery Mechanism and Abundant Liquidity ① Bancor's innovation brought about a revolution in price discovery mechanisms, eliminating the need for order matching. It revealed that the collaboration of liquidity pools and algorithms in smart contracts can achieve decentralized price discovery, enabling instant completion of exchanges for any number (and same number of different valuation tokens) of tokens. This innovation is undoubtedly worthy of being inherited by DAism. ② The token price algorithm adopts the simpler Constant Product Market Maker of Uniswap. Constant Product Market Maker is a model of market maker and generates token pricing in a non-linear way. CPMM is used by Uniswap, and we have improved it. ③ Valuation changes without distortion, fully reflecting investor judgments: DAism's Protocol of Valuation Token's Supply uniformly supplies all valuation tokens of each smart common directly to the IADD Network. And after the complete issuance of valuation tokens to the IADD Network, they become reserve currencies, contributing to the establishment of liquidity pools in the market. The reserve currencies achieve value discovery through automatic calculations and provides liquidity to the market without the need to consider the size of exchanges. This is a revolutionary protocol because the decentralized exchange network built upon it neither requires nor allows any human participation in liquidity provision!
Built-in Token Price Measurement System
① The unit system for valuation token prices is the only scientific means for blockchain (smart contracts) to obtain pricing power. ② No doubt; it will eliminate all current exchanges. ③ It will completely solve the long-standing universal payment (settlement) issue in tokenomics for over a decade. ④ It merges DEX and D-Payment into a single entity (2-in-1 network).
Smart Contracts Manage Everything, Completely Self-Operational
① The advantage of smart contract is its ability to run permanently. ② Full self-operation means unmanned, i.e., resistance to human intervention.
The composition of trading pairs are uToken and valuation tokens of smart commons.
IADD Network and Good Tokenomics
The above content is very important to shape Good Tokenomics. Here is another IADD Network's contribution:
Realistically Mapping Market Demand : When creating a smart common, its valuation tokens will be issued according to the protocol and entirely distributed on the IADD Network.
A common issue with Bancor and Uniswap is that the amount of coins staked in the reserve pool is often too low. This can lead to significant price fluctuations with even small trades, essentially introducing a leverage effect into the price dynamics and losing the rationality of market pricing. By issuing all valuation tokens into the liquidity pools of decentralized trading networks, subsequent price changes due to supply and demand can reflect the real valuation changes without any inherent leverage.
This mechanism has the following advantages:
Valuation tokens are entirely issued on the IADD Network, and smart common development teams hold none of them. Therefore, the IADD Network prevents these teams from immediately selling reserved valuation tokens for profit by minting a fake dApp.
Capitals can no longer collude with dApp development teams to manipulate prices. For example, immediately selling all tokens when listed on an centralized exchange and buying back at a lower price after a significant drop. In IADD Network, however, the amount of funds required to control the market is a hundred times or even higher than before! And also, in an open and transparent market, the risk of going against the valuation consensus is also very very high!
These two aspects essentially provide a good governance mechanism for the issuance of valuation tokens.
There is some protection for investors participating in the valuation market. Valuation tokens cannot drop below the issuance price of 0, preventing a situation where valuation tokens unreasonably plummet right after opening. Additionally, the first investors cannot incur losses (excluding transaction gas fees)!
This introduces a natural mechanism for smart commons—a valuation token falling to 0 in the IADD Network indicates that the market believes the dApp has no value. If it remains at 0 for an extended period, the dApp likely has failed!
Main Protocols shaping IADD Network
Protocol of Unit Token See the previous section.
Protocol of Valuation Token's Supply See the previous section.
Protocol of Decentralized Exchange See the previous section.
Decentralized Payments Protocol See the previous section. This protocol also provides a dedicated interface for payments and ultimately achieve significant improvements in Ethereum gas payments.
Advantages of IADD Network
Instant Deployment
Right after a smart common minted its valuation token will be reading for exchange.
Automatical Deployment
A valuation token's listing and trading are managed and automatically deployed by smart contracts.
Unattended exchange and payments network All existing decentralized exchanges need many users to support their running. The innovation of IADD is of great significance!
Elimination of Privileges from Centralized Market Deployments
This approach removes the privileges of project teams, centralized exchanges, and market manipulators. Aside from free trading, exchanges completely eliminate any human interference in the market.
Introduction of a Scientific Method for Price Calculation in tokenomics.
This marks a significant innovation in the history of human currency!
A solid solution for Tokenomics settlement.
uToken is recognized as the optimal settlement token for tokenomics' investment and retail markets (such as e-commerce). IADD provides two critical elements for tokenomics payments: uToken with an absolutely fixed price and a decentralized settlement network.
The Most Rational Price Discovery Mechanism
In the trading pairs of Bancor and Uniswap, the tokens staked in the reserves are circulating assets with owners. Even if the quantity reaches 5% of the total token supply (once the maximum suggested by Bancor), the price sensitivity of the trading pair is 20 times that of the total supply price sensitivity.
The valuation token is fully supplied to IADD when it is issued, so its price rises and falls without any leverage effect. This is undoubtedly the most authentic price discovery mechanism.
Almost Zero Cost for the development Teams, Easy Support Mint with a dApp to get everything done. It brings great convenience to the development teams.
In Full Compliance with the Core Values of Blockchain It fully aligns with the core principles of decentralization and censorship resistance, etc.
Under decentralized conditions, it establishes a practical mechanism for the natural elimination of dApps.
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