The essence of DAOs are captured by interconnected smart contracts that manage permissions of contracts and people to execute blockchain actions based on collective decisions.
The potential of DAOs is improved coordination of collaborative work to achieve objectives for the greater good.
An groups capability to coordinate to collaboratively inact the best possible decisions is the difference between success and failure.
DAOs create a trail of decisions and consequences in a transparent history log on the blockchain.
How you decide in more important than what you decide. This enforces greater effort to reach community consensus through better communication protocols to forecast outcomes.
- Process Engineering
- Communication Protocols
- Co-ordinating resources
- Measuring results
- Rewarding actions
- Collective wisdom
DAOs lead to Protocol Driven Communication for Collaborative Coordination and analogous to designing and operating platform of Human Microservices.
An organisation could for example have multiple Marketing DAOs to manage work. The umbrella organisation doesn't care who does the work, just that it meets standards of quality and care within certain timeframe and cost.
Human resources that form around blockchain protocols to contribute value to complex ecosystems. Corporations of the future. Human micro-service architecture.
- Decisions made by smart contracts
- Member-owned communities without centralised leadership
- A safe way to collaborate with internet strangers
- A safe place to commit funds to a specific cause
Instead of working for a company, people will earn income from their actions such as:
- playing games
- learning new skills
- creating art
- curating content
This creates greater earning potential for individuals as value capture moves from organisations to crypto networks.
Types of DAOs that are created to solve specific problems.
How do you create decentralised organisations that have soul?
- Business incorporation
- Capital allocation (Retroactive)
Use blockchain tools to enable people to form into organisations to solve specific problems and share governance of decisions that drive growth strategy.
How granular into business processes should DAO governance operate?
Blockchains create an immutable decision log that will enable analysis that can determine those that have proven record in anticipating future trends. But we also need the ability to save the decision process that was used at a time of critical decisions to avoid hindsight bias.
Could DAOs be like Docker/Kubernetes for business organisation to provide micro-business administration architecture?