What is a Decentralized Autonomous Organization DAO, compare it to traditional business and look at a couple of challenges facing

1. DECENTRALIZED AUTONOMOUS
ORGANIZATIONS
(DAO)
CINCINNATI CRYPTO MEETUP 3/2022
How DAOs will
eat the world Btc:$42386
https://twitter.com/shawnlgrubb

2. WHAT IS A DAO?
DECENTRALIZED AUTONOMOUS ORGANIZATION
• Entity with no central leadership.
• Decisions get made from the bottom-up,
• Organized around a set of rules enforced on a blockchain
• Collectively owned and managed by their members.
• Treasuries are accessible only with the approval of members.
• Decisions are made via proposals the group votes on
• A DAO works without hierarchical management
• For example:
• Freelancer networks where contracts pool their funds to pay for
software subscriptions,
• Charitable organizations where members approve donations
• Venture capital firms owned by a group are all possible with these
organizations.
• Crazy shit with no real point DaveDAO
https://cointelegraph.com/ethereum-for-beginners/what-is-a-decentralized-autonomous-organization-and-how-does-a-dao-work

3. LEADERSHIP
• Objective: build shareholder
wealth
• Objective: build community
results
• Decisions are top-down
• Community makes decisions
• Intellectual property is protected
• Intellectual property is shared
COMPARING TRADITIONAL
BUSINESS WITH THE DAO
1.

4. THE WORK
Employees are
retained
Contributors are
voluntary
Challenge to engage
employees
Challenge to direct
passion
Responsibilities and
jobs are assigned
Choose what you
want to work on
COMPARING TRADITIONAL
BUSINESS WITH THE DAO
1I.

5. III.
MANAGING
• Regionally managed workforce
• Globally sourced contributors
• Reporting lines managed centrally
• Contributors choose whom to work with
• Let’s make quick decisions
• Good decisions take time
• Initiative is rewarded
• Initiative is the cost of entry
COMPARING TRADITIONAL
BUSINESS WITH THE DAO

6. CHALLENGES FOR THE DAO:
DECENTRALIZATION
Centralized Autonomous
Old World
Companies
Technology
Sector
Ideal DAO
DAO Reality

7. CHALLENGES FOR
THE DAO:
GOVERNANCE
What is voted upon
Who votes on what
How much is a vote worth
Consensus methodology

8. IT’S A NETWORK
IT’S A NETWORK
WITH A HIERARCHY
CHALLENGES FOR THE DAO:
ORGANIZATIONAL STRUCTURE

9. CHALLENGES FOR
THE DAO:
VISION MISSION
& STRATEGY
• What is Vision-Mission-
Strategy?
• How do we use them?
• Who develops them?
• How do we get to alignment?
• What if we don’t agree?
• Who ensures we are on task?

10. SSDD
SAME S^&T DIFFERENT
DAY
1. DAOs have refugees
2. DAOs have new grads
3. Refugees have escaped a TradBusiness
4. Noobs are excited to be here
5. Building new stuff is hard
6. Reapplying old stuff is easy
7. Refugees will do what is easy
8. Noobs won’t know the difference
RISK:
Refugees will centralize & create hierarchies
Because its what we know
DAOs contributors build Traditional
Businesses with the patina of a DAO

11. APPENDIX

12. CONTEXT IS EVERYTHING:
COMPARING TRADITIONAL
BUSINESS WITH THE DAO
• Traditional Business
• Objective: build shareholder wealth
• Intellectual property is protected
• Decisions are top-down
• Employees are retained
• Challenge to engage employees
• Regionally managed workforce
• Clear reporting lines
• Responsibilities and jobs are assigned
• Initiative is rewarded
• DAOs
• Objective: build community results
• Intellectual property is shared
• Community makes decisions
• Contributors are voluntary
• Challenge to direct passion
• Globally sourced contributors
• Choose whom you work with
• Choose what you want to work on
• Initiative is the cost of entry