Olympus

What is Olympus?

Olympus serves as a "non-pegged stablecoin" with the unique aim of reducing volatility compared to regular cryptocurrencies, all without being tied to any specific fiat money. Instead, the worth of its OHM token is designed to fluctuate based on the value of its core assets and the criteria established by the DAO. This is accomplished by generating OHM when its value surpasses its inherent worth and eliminating OHM when it falls short. The ultimate objective of the venture is to evolve into a cryptocurrency-native currency, offering an alternative to the US Dollar and other conventional fiat currencies.

How Does Olympus Work?

OlympusDAO functions as the distributor and overseer of OHM, an asset that's fully collateralized and able to float freely. The operational process of OlympusDAO commences with the revenue generated by its treasury. The initial step involves managing the OHM supply by expanding the treasury through the sale of bonds and collecting LP fees. Users contribute to the treasury by purchasing these bonds or LP tokens accessible on the platform.

OlympusDAO is also responsible for nurturing the growth of the treasury. Since OHM's base value is anchored to DAI, OlympusDAO employs a strategy of minting or selling OHM based on its relative value to DAI. When OHM's value falls below 1 DAI, OlympusDAO initiates a process of repurchasing bonds from users and burning OHM. This action reduces the OHM quantity, leading to an elevation in OHM's value.

In instances where OHM's value exceeds the 1 DAI floor price, the protocol interprets it as a signal for heightened demand. Subsequently, the Olympus treasury engages in continuous OHM minting as rewards for staking, and these newly minted OHMs are sold through the bonding mechanism. Users are incentivized to stake their OHMs during such periods to benefit from the substantial APY and token rewards. This cyclical system forms the fundamental concept behind OlympusDAO's functioning.

Olympus Team Background and Partners

Olympus operates as a DAO, which means it is governed by its community through smart contracts in a fully decentralized manner. The protocol was established by an ensemble of anonymous entities known by the aliases "Zeus," "Apollo," "Unbanksy," and "Wartul."

As indicated on GitHub, the principal contributors to the code have been "Zeus" and Jeff Extor. There is speculation that "Zeus" is a teenager who has captivated the community with their charismatic persona. Prior to its initial launch, Olympus secured support from a couple of private backers, including Zee Prime Capital, Nascent, D64 Ventures, Maven11 Capital, and several undisclosed individuals.

Some of Olympus' Partners are Lido Finance, Mellow Protocol, MiniMetamon, Vendor, Teller, Myso Finance, Inverse Finance, and Blueberry.

Olympus Project Development

During the initial quarter of 2023, Olympus DAO committed its endeavors to the creation, advancement, and enhancement of pioneering mechanisms, including OHM bonds, Lending AMO, Liquidity Boosted Engine, cross-chain functionality, and on-chain governance.

Olympus DAO prioritized enhancing On Chain Governance and gearing up for beta testing. They closely monitored participation trends and adjusted staking reward rates, while also laying the groundwork for OHM bonds and alternative solutions. Collaborating with BlockScience, they refined the Range Bound Stability model, exploring scenarios like panic selling and staking-to-bonds shifts. The team also dedicated efforts to formulate an emissions framework, aiming to guide strategies across emission modes like staking, OHM bonds, and lending. This framework, under development, is expected to offer initial insights by Q2's end, further shaping the DAO's evolving ecosystem.

Olympus Price Analysis

As of November 24 2024 Olympus has a marketcap of $326M. This is {{percentagefromath}} from its all time high of $1.41526K. In terms of its tokenomics, there's a total supply of 22M with 73% currently outstanding. Keep in mind Olympus has a fully diluted value of $445M which many investors might interpret as overvalued.

Of course, don’t trust price predictions alone, always check the Coinrotator token screener to follow the trending market.

Summarized in part by ChatGPT 4 and Claude