{"id":3342,"date":"2023-05-22T19:21:11","date_gmt":"2023-05-22T19:21:11","guid":{"rendered":"https:\/\/coinrabbit.io\/blog\/?p=3342"},"modified":"2023-08-05T21:30:16","modified_gmt":"2023-08-05T21:30:16","slug":"what-is-cult-and-how-to-use-it-to-gain-profit","status":"publish","type":"post","link":"https:\/\/coinrabbit.io\/blog\/what-is-cult-and-how-to-use-it-to-gain-profit\/","title":{"rendered":"What is CULT and How To Use It to Gain Profit?"},"content":{"rendered":"
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CULT DAO aims to break the chains of centralization and offer financial freedom to its users. The tradable and liquid token of CULT DAO, CULT, transacts with a tax on all transactions which contributes to the treasury for funding investments into decentralized technologies. In this article, learn about the unique features of CULT, including staking for dCULT and decentralized autonomous organization (DAO). Discover how CULT is funding projects promoting decentralization, and how taking out a CULT loan can help you gain profit by leveraging your assets. Get a step-by-step guide on how to get a CULT loan in just four simple steps with CoinRabbit.<\/p>\n

What is CULT<\/a> cryptocurrency?<\/span><\/h2>\n

CULT is the tradable and liquid token of CULT DAO, transacting CULT will contribute to the protocol by filling the DAO treasury slowly, to fund investments into decentralised technologies. This is achieved due to a 0.4% tax on all CULT transactions.<\/span>
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\n<\/span>CULT, once staked into the Cult DAO, becomes dCULT. dCULT is just the \u201cproof of stake token\u201d for CULT. When you stake your CULT into the DAO, you are given dCULT, this can be swapped back at any time into the quantity of CULT you staked initially, plus any compensations that were given to the DAO in the period you owned dCULT.<\/span><\/p>\n

What Is Dao<\/a>?<\/span><\/h2>\n

A DAO is a Decentralised Autonomous Organization. A DAO in its purest form is what Cult Dao has created, it will function forevermore with no human interference beyond what has been coded for it to be influenced by, which is votes from its holders. Nobody can dismantle the code and nobody can stop it from collecting funds and sending them to those furthering our cause, as long as the token is traded & as long as people are passing proposals, CULT will live on.<\/span><\/p>\n

What Makes CULT<\/a> Unique?<\/span><\/h2>\n

CULT’s vision is to fund projects and ideas that have a positive impact on more decentralization in the world. “We fund those who are willing to break the chains and have an idea that can change our world.”<\/span>
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\n<\/span>The top 50 CULT stakers are The Guardians.<\/span><\/p>\n

These Guardians can submit proposals to the DAO, but they cannot influence the vote. The votes can be made by all CULT stakers who are not Guardians. Votes pass based on token share Yes vs No.<\/span><\/p>\n

These proposals put forward should be requests for investment from protocols<\/span>
\n<\/span>which match all or most of the below criteria;<\/span><\/p>\n

-Fight Against Centralisation<\/span><\/p>\n

-Further the Cause of Decentralisation<\/span><\/p>\n

-Directly Benefit a Noble Cause<\/span><\/p>\n

The DAO can then vote on whether they believe the investment should be granted. <\/span>
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\n<\/span>There is also a burning mechanism in place that works as an incentive.<\/span><\/p>\n

For every 15.5 Eth of CULT raised, 2.5 Eth is burned, and 13 Eth goes to the investee protocol or cause.<\/span><\/p>\n

The investee token is redistributed as per the proposal, with the full distribution swapped to the CULT token at the agreed rates of dispursement. E.g. once a day, week or month.<\/span><\/p>\n

50% of that CULT is immediately sent to a burn wallet, with the other 50% redistributed proportionally to all stakers of CULT.
\n\"Cult<\/a>
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What are the benefits of taking out a <\/span>CULT loan<\/span><\/a>?<\/span><\/h2>\n

With crypto loans, you can access funds without selling, increase liquidity, maximize capital utilization, and diversify your portfolio more effectively. In addition, crypto loans tend to have lower interest rates than traditional loans, so borrowers are able to get funds for much less. Finally, these loans provide additional peace of mind since crypto collateral is stored securely in a cold storage wallet.<\/span><\/p>\n

Here are some cases where you can use CULT as a collateral and get profit:<\/span><\/p>\n