DAO is a short form of Decentralized Autonomous Organization that does not have hierarchical management or central leadership. In this article, we are going to discuss what is DAO, why it is needed, and what are its disadvantages.
What is DAO?
In the simplest form, it is an organization that is managed and owned by its community or members and there is no CEO. Its built-in treasuries are only accessible with the consent of its members.
All the decisions in DAO are first proposed and then its group members have the ability to vote and pass the proposal.
This is the best example of a project which is driven and owned by its members.
Some Well Known DAOs
Dash
This is one of the oldest DAO projects which was started on its own blockchain in May 2015. Current price of DASH is $141 (2nd Jan 2022).
The DAO
This DAO project is one of the largest crowdfunding campaigns in history. This project is no longer in function after its hack.
Augur
It is on the Ethereum blockchain and focuses on the betting & prediction market. Augur is developed by Forecast Foundation in July 2018.
Steem
It is a very popular blockchain-based social media website and is on Ethereum blockchain.