New governance features, strong funding, and growing community activity catalyzed a strong breakout in the ROOK price, causing traders to target $ 345.
The rapidly growing DeFi sector brought new levels of utility and value to the crypto ecosystem in 2021, but also created an opportunity for the nefarious to extract profits and tokens from trapped investors.
In the past few days, KeeperDAO (ROOK), a DeFi protocol that allows anyone to trade, borrow, and invest assets, has risen with Miner Abuse Protection (MEV) bots conducting for-profit front-end transactions , by 118%.
Data from TradingView shows that ROOK price has increased 118% since trading at $ 124.7 on October 12, to a daily high of $ 298, while its 24-hour trading volume rose from an average of $ 7 to $ 24 million in the height shot up.
ROOK price chart 4 hours frame | Source: TradingView
The reasons for the ROOK price increase include the implementation of community governance features, the increasing Total Lock Value (TVL) in the log, and the possibility of a new token buyback mechanism that will help reduce ROOK’s circulating supply.
Governance functions have grown in importance in the cryptocurrency ecosystem over time, as community control is seen as one of the key features of a truly decentralized network that is not under the control of any small group or organization.
As part of the evolution towards a fully functional DeFi protocol, KeeperDAO introduce launched its new governance voting structure on October 4th with the release of two KeeperDAO Improvement Proposals (KIPs), established a simple format for writing KIPs, and selected the first group of the Sophons community to contribute to community development.
“The voting for KIP-0 and KIP-1 is now live and runs for 7 days.
Please vote with “No objection” if you do not raise any objections. This represents a great deal of support for these early KIPs. “
Both proposals were approved on October 11th, allowing the KeeperDAO community to use their funds to work profitably for the ecosystem.
The budget and TVL have increased dramatically
Another reason for ROOK’s growing momentum is the growing treasury of the protocol, which is now back near the all-time highs (ATHs) hit during the bull market in May.
KeeperDAOs Fund | Source: Dune Analytics
follow data from Dune Analytics, the total value of the KeeperDAO funds is currently $ 113.6 million, while the TLV of the protocol is currently $ 390 million.
TVL. by KeeperDAO | Source: Dune Analytics
Investors buy dip
Another reason for ROOK’s strength building are the meetings poll Governance will continue and will focus on reducing ROOK supply in circulation, reducing emissions for stakeholders and funding development through the end of 2021.
“You can now vote on suggestions for improving KD 2, 3 and 4.”
KPI-2 aims to reduce the ROOK emission rate, effectively reducing the number of tokens minted in each cycle. KPI-4 is a proposal to use some of the profits from the ‘ninja’ of the protocol to buy back ROOKs from the free market and burn them.
At the current rate, the number of ROOKs burned monthly is up to $ 800,000, which will help reduce the circulating supply and help the price increase.
KPI-3 suggests additional funding for individuals who will contribute to the growth and development of KeeperDAO.
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According to Cointelegraph