A Decentralized Autonomous Organization (DAO) is a type of organisation that is decentralised and autonomous.
It's a totally self-contained system that communicates with a variety of different digital systems. On the surface, it appears to be a normal company with an aim.
DAOs became a reality thanks to the invention of blockchain technology.
Why DAO?
DAO tries to limit the danger of bad leadership through decentralisation, such as a system in which everyone is required to follow the same set of rules. The playing field is levelled, and a flat hierarchy is produced as a result. Unlike traditional organisations, DAOs avoid concentrating control and resources on a single person, which is where smart contracts come in. A DAO is distinguished by the fact that it works on the blockchain using smart contracts.
Smart contracts are self-executing computer algorithms that define the parameters of interactions between participants. And a developer is in charge of it.
For example, you and a friend discussed the possibility of purchasing a company. It’s best to hire a developer to create a smart contract in order to avoid mistrust. You can use this DAO to seek investors by sharing it on various social media channels, because everyone is obligated by the smart contract’s rules, those who are interested will invest after reading it.
THE CONSTRUCTION OF A DAO.
A group of developers creates a DAO. It takes about three steps to complete it.
- Make an intelligent contract.
- The DAO will need a token. How will the team decide on finance sources and governance procedures? This is often accomplished by generating a DAO token.
The holders of this token are effectively shareholders in the company. People who hold this token essentially hold equity in the DAO and can use the token to:
- vote on proposals.
- Delegate tasks or participate in expenditures deployed on the blockchain.
For many, DAO is seen as the next phase in the growth of organisational collaboration.
DAOs have to be approved by the community.
DAOs have the potential to profoundly alter the structure of businesses, organisations, and groupings.
DEWORK
Dework make use of DAO protocols and is the best example of a DAO. It gives creatives a place to participate.
Contributors from both the technical and non-technical worlds are welcome on the platform.
Its goal is to solve society’s unemployment problem.
It supports open source, but this time contributors are compensated.
My favourite feature is the non-tech bounty option. For non technical folks. It is reasonable and straightforward. The website is easy to navigate.
You can connect with other creative minds by visiting the website as well their Discord channel. https://app.dework.xyz/dework.
