A DAO is an organization where control is spread out across the participants, instead of being built on a top-down hierarchy.
A DAO can be seen as operating like a machine, with the job it is instructed to carry out determined by pre-written smart contracts.
A community can adapt a DAO and program it according to its own goals.
👩💻 Code is written in the form of smart contracts, which provides some sort of governance mechanism.
🗳️ Members typically use governance tokens to vote on decisions made by the DAO, such as the allocation of funds.
📊 In the case of many DAOs, the impact of a member's vote can increase based on the amount they have contributed to the project.
💪 The outcome can be based on the degree of participation as well as voting preference.
📖 Transparency - voting, funding decisions, and other actions are viewable by anyone.
🔥 More firepower - members across the world can contribute, giving DAOs lower barriers to entry than companies.
💵 Cheaper - the concept has firmly taken root in the DeFi, and there are many tools—which can be used like Legos, so little needs to be built from scratch.
👨👩👦👦 Collaborative - giving everyone a voice pools mass knowledge for a proposal and enables experts to invest in the ecosystem they are building.
"We believe the DAO will play a starring role as the world makes the shift to Web 3.0, paving the way for fully decentralized companies."
—Jademont Zheng, Waterdrip Capital
🏢 Flat structure - by not having a clear authority figure, or chain of command, decentralized organizations are slower to operate as decisions take longer to make.
😡 Disagreements - when the community disagrees strongly, it could split the organization into two.
👸🏽 No change - in some DAOs, those with the most tokens call the shots, so governance looks very similar to traditional organizations.
⚖️ Legality - minefields abound in relation to token projects that might be deemed to be securities.
🏗️ Crypto projects - considered to be DAOs if they are managed by decentralized governance where token holders can vote on the direction of the project. e.g. MakerDAO.
💸 Grant funding - a DAO can be used to award development funds automatically based on set criteria. e.g. MolochDAO.
💰 Investment - MolochDAO has been forked many times to create for-profit DAOs which can distribute and transfer shares and other assets between members. such as MetaCartel Ventures.
🖼️ Collecting - the non-fungible token (NFT) boom has seen collector DAOs such as PleasrDAO flourish.
DAOs have seen a big revival of interest in the last few years, with hundreds of developers working on technical innovations, improvements to governance mechanisms, and voting solutions.
Decentralized autonomous organisations have been particularly active in the creative industries, with DAOs forming to create "headless" fashion brands, perfumes and filmmaking communities. In many cases, these creative DAOs retain an element of centralization; for example, while filmmaking DAO Decentralized Pictures allows token holders to vote for a shortlist of film projects to win funding, the final decision on which project receives the award is made by a board of judges.
AcrossDAO is a community-driven DAO, a DeFi protocol that belongs to the cross-chain bridge field
AcrossDAO is a community-driven DAO, a DeFi protocol that belongs to the cross-chain bridge field This ensures that Across has a strong technical team and community, yes, the community is our strength, we develop in the community, contribute to the community, discuss, learn, and vote together. It's an amazing act to discuss doing something together. I love so much.
DAO：edit：Stephen Graves chainchen