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We consider two species of hard-core bosons with density-dependent hopping in a one-dimensional optical lattice, for which we propose experimental realizations using time-periodic driving. The quantum phase diagram for half-integer filling is determined by combining different advanced numerical simulations with analytic calculations. We find that a reduction of the density-dependent hopping induces a Mott-insulator to superfluid transition. For negative hopping, a gauge-dressed superfluid state is found where one species induces a gauge phase of the other species, which leads to a superfluid phase of gauge-paired particles. The corresponding experimental signatures are discussed.