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The Chronicles of Temple's Grand Plans

It all began with the sacred opening ceremony—a shared emotional experience that truly felt magical for the denizens of the crypto community. TempleDAO opened its doors 2 years ago and now Miri and Lux joined the podcast this week to discuss the temple’s rise to power and the evolution of TempleDAO over the years.

Having been part of the crypto realm since 2016, Miri's journey included running a company for six years before joining TempleDAO. He was introduced to Lux through another DAO and he soon found himself part of something larger as a member of the Templars.

Lux, with his characteristic greeting of blessings, heralded his journey from a humble community contributor in the Olympus Discord to becoming the Master of the Enclave of Mystery at TempleDAO. It was the on-chain church vibes that drew him in, pushing the Temple to new ascendant heights. From grinding in the Discord server to creating engaging memes and videos, his tale is one of dedication. Lux's work on treasury and product management highlighted that in the world of crypto, it's not just about token launches but the culture surrounding it.

The Evolution of TempleDAO

Starting off as an Olympus fork with a rebasing token, Temple has been flexible in adapting to the changing tides of the crypto environment. As Lux mentioned, TempleDAO has progressed from the idea of “stake & chill” to solely “chill”. Where users simply buy Temple and the protocols works its magic, removing the extra step of staking

Recently they introduced RAMOS — randomized automated market operations, which was inspired by the FRAX AMO mechanism. The core purpose of RAMOS is to stabilize the trading range of the TEMPLE token and ensure that its price corresponds with the TempleDAO's growing Treasury, denoted by the Treasury Price Index (TPI).

How does RAMOS work?

RAMOS serves as a dynamic price stabilization mechanism for the TEMPLE token, activating whenever its spot price diverges from the Treasury Price Index (TPI).

For instance, a potential rebalance might happen randomly if the spot price falls more than 1% below the TPI. However, should the price dip more than 3% below TPI, a rebalance is forced. Conversely, if the spot price surges more than 3% above the TPI, RAMOS has the capacity to either add TEMPLE into the liquidity pool or extract stablecoins, bolstering the Treasury.

RAMOS executes this AMO on its Balancer 50/50 TEMPLE/BB-A-USD LP.

While RAMOS's primary objective is to align TEMPLE's price with the TPI, the TPI is not an absolute benchmark.

RAMOS also features robust anti-manipulation mechanisms, distinguishing it from typical market protocols.

First, it adopts randomized timing for rebalancing, making prediction and manipulation challenging. This unpredictability means rebalancing events can happen 2–3 times daily, but never consistently.

Second, RAMOS dynamically determines the Balancer Pool Tokens (BPT) used in each rebalance, opting to withdraw between 50%-100% based on the price impact to align the TEMPLE price with the TPI.

Lastly, to encourage genuine price discovery, downside rebalances are deliberately subtle, allowing TEMPLE to occasionally trade above the TPI.

Origami: The Temple’s New Offering

TempleDAO’s Origami provides auto-compounded yield offerings on underlying strategies, maximizing returns without sacrificing liquidity. The first strategy being offered is on GLP and GMX on Arbitrum and Avalanche.

Born out of the need to support the latest yield tokens and leverage, Origami adopts a money market model that simplifies a usually labor-intensive market leverage strategy into an easy staking experience.

How does Origami work?

Users deposit tokens like GMX or GLP into the vault and obtain an Origami Vault Share Token ("ovToken"). As staking rewards are captured and sold, the vault reserves increase, raising the "reservePerShare" rate - the ratio between the reserve oTokens and the circulating ovTokens.

In essence, ovToken is a Repricing Token. Due to yield compounding, the oToken vault reserve consistently grows faster than the vault shares. Thus, when users redeem their ovToken, they secure more oTokens than their initial allocation.

At its inception or its “First Fold”, Origami will only accept GMX and GLP tokens. These, when wrapped into Origami Tokens ("oTokens"), represent the reserves for each ovToken. Users simply deposit, for example, GMX and receive ovGMX.

Here’s a GMX vault example:

• User deposits 1 GMX, creating 1 oGMX. This GMX is then sent to gmx.io for yield, while User A receives 0.90 ovGMX.
• Origami earns yield on the GMX tokens.
• Upon redemption, User returns 0.90 ovGMX and gets 1.17 GMX, a 17% rise from the initial deposit.

Origami charges a 5% performance fee on harvested rewards.

Conclusion

TempleDAO, from its opening ceremony to its current stature, stands as a testament to the power of community-driven growth, resilience, and continuous evolution. As mentioned in the interview TempleDAO aims to become similar to Frax where it is the liquidity layer for the protocols built on top of TempleDAO. With leaders like Miri and Lux at the helm and a dedicated community of "Templars" behind them, the future holds immense promise for TempleDAO and its contributions to the DeFi space.