DigixDAO Coin Review (3–30–2018)

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For the bulk of 2018, DigixDAO was our sweetheart. However, in the most recent days, it’s been getting slaughtered along with everything else in the market.

So What’s the Big Deal?

It’s been getting killed to a much greater extent than anything else in the market — which is a HUGE concern.

In just the last 4 days alone (March 26th-30th, 2018), the price of $DGD has depreciated 30%+.

For any investor that was in $DGD, this was one hell of a loss.

What’s even worse is that the volume of the sell-off has been relatively high

In just the last 4 days alone (March 26th-30th, 2018), the price of $DGD has depreciated 30%+.

For any investor that was in $DGD, this was one hell of a loss.

What’s even worse is that the volume of the sell-off has been relatively high.

When you look at the entire month of March, it gets even uglier. So far, $DGD is down 64.80% for the month of March.

So What Happened?

That’s a great question. In order to understand that, we’re going to have to go undercover into the DigixDAO community and see what answers we can dig up.

But before we even do that, we should make sure that we have a common understanding of the token.

What is $DGD?

$DGD is a cash tag that represents a blockchain protocol named DigixDAO.

It’s a token that is based on the Ethereum blockchain (ERC20).

Essentially, Digix, the company behind DigixDAO created a cryptocurrency that tokenizes gold.

As many sources will tell you — the company Digix owns two different cryptos:

· DigixDAO ($DGD)

· DigixGold (DGX)

What’s the Difference?

Those that are holding the DigixDAO ($DGD) will benefit from having the fees associated with the transfer/sale/purchase of $DGX distributed among all tokenholders evenly.

$DGX, conversely, is a token that is supposed to be backed by one gram of gold.

So, each and every single $DGX token that is in existence is meant to represent one gram of gold. Not only that, the company asserts that they will exchange the equivalent of $DGX token for physical gold if the customer wishes to do so.

More on $DGX

Even though this article is on $DGD, it is worth noting that $DGX has not currently been released yet.

However, according to this press release, which was on the $DGD Reddit, it appears that the token will be released within the next few days: https://globalcoinreport.com/digixdao-dgd-digix-gold-tokens-to-be-released-for-live-trading/

When this happens, there will undoubtedly be interest in the token itself. It will more than likely legitimize the Digix brand on another level and should also help lead to relatively strong gains by $DGD due to the fact that any and all fees associated with $DGX transfer will be distributed amongst all $DGD holders.

Other Resources

For great resources to find out more information about both of the tokens (DGD/DGX), here are some very relevant articles:

https://globalcoinreport.com/digixdao-dgd-digix-gold-tokens-to-be-released-for-live-trading/

https://blockonomi.com/digixdao-guide/

https://medium.com/@colbymort/digixdao-the-future-of-gold-a-solid-investment-cdcd68ff4735

Community

The lack of activity within the Reddit community is very troubling, in my opinion. It says that there are not a lot of believers in the chain currently. The lack of responses on some of the threads is troubling as well.

In addition, I was not able to successfully locate a Telegram for them. If anyone knows of it or is able to find it, please let me know.

Conclusion

There are definitely updates that are coming from the $DGD camp. They should absolutely do a better job of marketing themselves and creating hype around the protocol. However, you gotta take what you can get when it comes to the cryptosphere sometimes.

Verdict

For those that have been holding the coin for some time and are ready to say fuck it, I would relax until the $DGX token is released. Once that happens, I believe that the price of $DGD could make a steep recovery.

It’s also worth noting that there are only 2 million $DGD tokens that will ever be in existence, making it the coin with the smallest supply by a long shot.

Time will tell how things develop in the future, but I think that this coin is far from dead.

You don’t have to marry it or anything, but there’s no reason to sell out in a loss quite just yet. This is one of those coins where you may have to either ride with it to a victory or take an L on everything.

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