maowPrice

(MAOW)

Web3 represents a decentralized internet built on blockchain technology, aiming to give users greater control over their data and privacy. Unlike Web2, where large corporations often control data, Web3 leverages decentralized technologies, smart contracts, and cryptocurrencies to create a more secure and transparent online experience by distributing power away from central entities.

A crucial question for any Web3 project is whether it addresses a real-world problem and if blockchain technology is the most suitable and sustainable way to solve it. If a traditional application would suffice, a blockchain-based approach might not be ideal. Projects should demonstrate a clear need for decentralization, transparency, or immutability that blockchain uniquely provides.

Given the inherent risks of exploits in decentralized finance, projects prioritize security through measures like smart contract audits by reputable third parties. These audits scrutinize the code for common vulnerabilities such as reentrancy attacks or integer overflows. Questions about these audits and implemented security measures are paramount for user confidence and safety within the protocol.

While MAOW has undergone security audits, all DeFi protocols inherently carry risks, including smart contract bugs and economic exploits. For MAOW, the primary risks involve potential smart contract vulnerabilities and the possibility of MAOW being converted into collateral during liquidation events within the Stability Pool. Users are strongly advised to conduct their own thorough research to understand these inherent risks.

MAOW is the liquid governance token of the protocol, which can be freely traded or utilized. In contrast, veMAOW (vote-escrowed MAOW) is a non-transferable token. Users obtain veMAOW by locking their MAOW tokens, and in doing so, they gain enhanced voting power within the MAO ecosystem's governance mechanisms. This design encourages long-term commitment and participation in the project's direction.

For staked MAOW, rewards can be claimed by users at any time they choose. However, these rewards do not compound automatically. To benefit from compounding, users must manually claim their accrued rewards and then redeposit them back into their staking position. It's important to factor in that each claim transaction will incur associated network gas fees.