2022 will be the year of DAOs.
But do you know how to get started?
5 steps that you will need to know in order to successfully launch a DAO
👇
But do you know how to get started?
5 steps that you will need to know in order to successfully launch a DAO
👇
0-1/
In case you haven't heard of DAOs, here's an (extremely) simplified explanation:
DAO stands for Decentralized Autonomous Organization
In DAOs, computer programs manage and run the org instead of people.
In case you haven't heard of DAOs, here's an (extremely) simplified explanation:
DAO stands for Decentralized Autonomous Organization
In DAOs, computer programs manage and run the org instead of people.
0-2/
These programs are known as smart contracts, which automate rules written into them.
Because it's decentralized, there is no central authority.
Instead, holders of the DAO's tokens get voting rights to make decisions.
These programs are known as smart contracts, which automate rules written into them.
Because it's decentralized, there is no central authority.
Instead, holders of the DAO's tokens get voting rights to make decisions.
0-3/
The tokens are also known as governance tokens.
As there is a financial incentive for the DAO is succeed,
the idea is that the community will vote in the DAOs best interest.
For more in-depth look, check out @a16z 's resource list:
future.a16z.com
The tokens are also known as governance tokens.
As there is a financial incentive for the DAO is succeed,
the idea is that the community will vote in the DAOs best interest.
For more in-depth look, check out @a16z 's resource list:
future.a16z.com
@a16z 1/
Now that you know what DAOs are, you want to know what it takes to launch one.
Here are the 5 steps for starting a DAO:
1. Set an Objective
2. Create a Community
3. Build a community treasury
4. Put in place a governance framework.
5. Give out ownership.
Now that you know what DAOs are, you want to know what it takes to launch one.
Here are the 5 steps for starting a DAO:
1. Set an Objective
2. Create a Community
3. Build a community treasury
4. Put in place a governance framework.
5. Give out ownership.
@a16z 2/
Step 1: Set an Objective
What is the Purpose of the DAO?
What exactly is everybody doing here?
Curation DAOs, Impact DAOs, Social DAOs, Protocol DAOs - There are multiple types of DAO to inspect.
Ultimately, the objective is the center of the community.
Step 1: Set an Objective
What is the Purpose of the DAO?
What exactly is everybody doing here?
Curation DAOs, Impact DAOs, Social DAOs, Protocol DAOs - There are multiple types of DAO to inspect.
Ultimately, the objective is the center of the community.
@a16z 3/
Step 2: Create a Community
Spot if your DAO must be small or large, proprietary or open.
It's up to your objective.
Interested in creating an exclusive crypto social club with a million people? you'll need strength & make it exclusive to users.
Step 2: Create a Community
Spot if your DAO must be small or large, proprietary or open.
It's up to your objective.
Interested in creating an exclusive crypto social club with a million people? you'll need strength & make it exclusive to users.
@a16z 4/
Step 3: Build a community treasury
This is the major unveiling of web3 - common shared property.
The treasure is how the community coordinates and deploys capital to get the job done.
Regardless of the type of DAO you want to launch, always remember the vanilla formula.
Step 3: Build a community treasury
This is the major unveiling of web3 - common shared property.
The treasure is how the community coordinates and deploys capital to get the job done.
Regardless of the type of DAO you want to launch, always remember the vanilla formula.
@a16z 5/
Step 4: Put in place a governance framework.
While each DAO is different, the overall journey is the same:
- High-level communal discussions.
- Forum proposal to get soft consensus.
- Token vote for consensus.
- Implementation of the proposal if passed & attains a majority.
Step 4: Put in place a governance framework.
While each DAO is different, the overall journey is the same:
- High-level communal discussions.
- Forum proposal to get soft consensus.
- Token vote for consensus.
- Implementation of the proposal if passed & attains a majority.
@a16z 6/
Step 5: Give out ownership.
Ownership is how you empower members while giving them the ability to vote on governance decisions.
There are 2 ways this can be done:
1. Non-fungible tokens (NFTs)
2. Fungible tokens (ERC20s)
Both possess their own benefits and drawbacks
Step 5: Give out ownership.
Ownership is how you empower members while giving them the ability to vote on governance decisions.
There are 2 ways this can be done:
1. Non-fungible tokens (NFTs)
2. Fungible tokens (ERC20s)
Both possess their own benefits and drawbacks
@a16z 7/
Example of a minimum sustainable DAO in 5 steps:
1. Set up an objective
2. Create a community on @discord or @twitter
3. Build a community treasury with @gnosisPM
4. Put in place a governance framework @SnapshotLabs
5. Give out ownership with @viamirror or @CoinviseCo
Example of a minimum sustainable DAO in 5 steps:
1. Set up an objective
2. Create a community on @discord or @twitter
3. Build a community treasury with @gnosisPM
4. Put in place a governance framework @SnapshotLabs
5. Give out ownership with @viamirror or @CoinviseCo
@a16z @discord @Twitter @gnosisPM @SnapshotLabs @viamirror @CoinviseCo 8/
These are just the high-level starting points.
To learn more, check the article this thread was inspired by:
newsletter.banklesshq.com
These are just the high-level starting points.
To learn more, check the article this thread was inspired by:
newsletter.banklesshq.com
@a16z @discord @Twitter @gnosisPM @SnapshotLabs @viamirror @CoinviseCo Thanking for reading and I hope this was useful.
Follow me @kazsatamai & @withmattkim for more web3 insights & design startups principles.
If you enjoyed this retweet the first tweet below to help others learn about how to get started in web3.
Follow me @kazsatamai & @withmattkim for more web3 insights & design startups principles.
If you enjoyed this retweet the first tweet below to help others learn about how to get started in web3.
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