There is no central leadership, decisions are made in a bottom-up way.
The idea takes on a life of its own, and it’s able to incentivize others to make itself happen.
It can have its own rules, such as how to manage its own funds.
Online communities have changed how we live. Every day, people share and discuss world-changing ideas within those communities.
But how can we translate all that energy into actually changing the world?
DAOs are an inclusive, transparent and global model for human coordination.
DAOs bring superpowers to online communities, enabling them to:
Attract and incentivize contributors
DAOs incentivize contributors by giving them a say in the future of the organization.
DAOs use cryptocurrencies, allowing people all around the world to pool funds.
Govern those funds together
DAOs allow people to collaboratively channel common funds towards common missions.
Online communities are like an open green field. People can walk around, meet others, have conversations, share ideas, play fun games.
DAOs let people turn these fields into more permanent and productive spaces. Where strangers can trust each other, make decisions as a group, reward individuals for their contributions, and share in the common benefit.
What are some examples?
DAOs are a new concept, but they are already changing the world
Bitcoin incentivizes miners to secure its network. It rewards them via inflation. No central institution governs Bitcoin.
DAOs are good for coordinating a global set of participants around a common mission
DAOs are global
DAOs allow people to come together and work on common missions just as easy as joining a chat group.
DAOs are transparent
DAOs allow anyone with an internet connection to check their members, financials and decisions taken.
DAOs are fluid
DAOs scale their workforce dynamically. There are low barriers to entry, allowing new members to join.
How does it compare?
DAOs are a new kind of organization. Not everything can or should be a DAO, but here you can find some of the tradeoffs.
Usually not transparent
Not always global
More than +1,700 DAOs improving the world
DAOs are not only the future -- they are already the present
Common questions about DAOs
What is the definition of DAO?
A DAO is a group of people with no central management that coordinate over the internet around a shared set of rules to achieve a common mission.
A more accurate definition would be: A DAO is an internet-native entity with no central management which is regulated by a set of automatically enforceable rules on a public blockchain, and whose goal is to take on a life of its own and incentivize people to achieve a shared common mission.