Interestingly, the Ethereum white paper (I just read it) talks about DAOs and the author means by DAO “ a virtual entity that has a certain set of members or shareholders which, perhaps with a 67% majority, have the right to spend the entity's funds and modify its code.” https://ethereum.org/en/whitepaper/#decentralized-autonomous-organizations He allows for a pretty general definition of DAO where DAO can be Decentralized Autonomous Corporation with shareholders as well as Decentralized Autonomous Community with 1 vote per person. In both cases Ethereum just provides an infrastructure to safely make collective decisions (voting) and distribute benefits. But I feel that currently, the notion DAO gained the anti-establishment connotation and usually means something like a community of enthusiasts.
"... collectively owned and collaborative structures, where everyone owns a share (in the form of tokens) and has a vote in what the organization does. " -- It seems that DAO is a reincarnation of a standard corporation with shares but in the land of crypto. I, as an employer of a tech company, receive part of compensation in the company shares and can technically vote in shareholder meetings. Do I understand correctly that the benefit of doing things with tokens is the overhead is smaller (eg, verification and enforcement)?
Widely spreading the tokens reminds me of the Russian privatization in 1990s when the shares for the entirely was given out to the population with a goal that everyone could participate. Most people didn’t understand what they should do with the shares and quickly sold it to speculators for cash. Ultimately it lead to major concentration of ownership in the hands of the few.
Interestingly, the Ethereum white paper (I just read it) talks about DAOs and the author means by DAO “ a virtual entity that has a certain set of members or shareholders which, perhaps with a 67% majority, have the right to spend the entity's funds and modify its code.” https://ethereum.org/en/whitepaper/#decentralized-autonomous-organizations He allows for a pretty general definition of DAO where DAO can be Decentralized Autonomous Corporation with shareholders as well as Decentralized Autonomous Community with 1 vote per person. In both cases Ethereum just provides an infrastructure to safely make collective decisions (voting) and distribute benefits. But I feel that currently, the notion DAO gained the anti-establishment connotation and usually means something like a community of enthusiasts.
"... collectively owned and collaborative structures, where everyone owns a share (in the form of tokens) and has a vote in what the organization does. " -- It seems that DAO is a reincarnation of a standard corporation with shares but in the land of crypto. I, as an employer of a tech company, receive part of compensation in the company shares and can technically vote in shareholder meetings. Do I understand correctly that the benefit of doing things with tokens is the overhead is smaller (eg, verification and enforcement)?
Widely spreading the tokens reminds me of the Russian privatization in 1990s when the shares for the entirely was given out to the population with a goal that everyone could participate. Most people didn’t understand what they should do with the shares and quickly sold it to speculators for cash. Ultimately it lead to major concentration of ownership in the hands of the few.