DNT is the native cryptocurrency of District0x: a platform based on the Ethereum blockchain that provides tools for developers to create their own decentralized marketplaces and communities known as “districts.” Think of it as a platform for creating your own eBay, but instead of it being owned and operated by a single company, all marketplaces […]
DNT is the native cryptocurrency of District0x: a platform based on the Ethereum blockchain that provides tools for developers to create their own decentralized marketplaces and communities known as “districts.” Think of it as a platform for creating your own eBay, but instead of it being owned and operated by a single company, all marketplaces that are created run completely autonomously.
That is all possible thanks to Ethereum smart contracts – self-executing computer codes that automatically perform certain functions when predetermined conditions are met.
DNT is an ERC-20 token that launched on Aug.1, 2017. Some 600 million DNT tokens were sold during an initial coin offering (ICO), securing 43,170 ether, which was worth about $9 million at the time. A further 400 million tokens were created and distributed among the project’s founders, early contributors and advisers.
The DNT price reached an all-time high of $0.51 in January 2018 and has outperformed larger cryptocurrencies such as bitcoin and ether over the past few years. As with most cryptocurrencies, though, DNT’s price is volatile and experiences choppy price action. In April 2021, DNT price came within one cent of breaking above its all-time high. However, heavy selling pressure at the critical level sent prices into free fall. Between May and October 2021, prices remained rangebound between $0.10 and $0.26.
How District0x works
In order to create a new district, users must submit an application to the District Registry. The application must include all associated materials for building a new marketplace, such as logo designs and URLs. Users then must select one of three bonding curves (a type of system that governs how staking works for that particular district). For example, creators might choose the “linear bonding curve” option, which benefits early stakers with higher voting power, or a “flat bonding curve,” which means stakers receive equal voting power regardless of when they join the district.
District0x community members have the ability to post listings, filter/search and make payments. Each district is managed by a governance layer provided by AragonDAO (a decentralized autonomous organization) built on the Ethereum blockchain.
Developers customize parameters of smart contracts and must stake DNT (deposit tokens into a smart contract) to receive DVT tokens (District0x voting tokens). Users then obtain proportional voting power in the district based on the number of DVT tokens they hold.
Key events and management
District0x was founded in January 2017 by Joe Urgo, an American operations manager, and Matus Lestan, a Slovakian software developer.
In November 2020, crypto exchange Coinbase listed the token on its main platform and mobile apps (both Android and iOS). The announcement came two years after the token was originally listed on Coinbase’s Pro trading platform, and saw DNT prices surge 838% in four days.