DAO Investment Demolition: Could this be a major theme in the crypto world?

More and more Ethereum enthusiasts believe that Decentralized Autonomous Organizations (DAOs) could be the future of workplaces, cultural communities, and human organizations. Therefore, some believe that DAOs will have major impacts such as DeFi (decentralized finance) and non-fungible tokens (NFT).

At a basic level, this argument makes sense. Finally, DeFi was initiated by the concept of "immutable traditional finance exchange" and has grown in popularity with the belief that NFTs are the art world in the digital age. So, shouldn't DAOs that have the blockchain governance process transparent be given the opportunity to try and change the star hierarchies of the mid-market?

Sadly,Betting on these patterns is not as easy as betting on certain tokens.

At the DAO-themed MCON 2021 conference, over 300 attendees, chosen by the conference organization, gathered in the Great Denver Brewery to discuss the future of DAO. The Ethereum community is a group that truly believes in the ability to create smart contracts to solve many of the world's problems, although there is sometimes hope beyond the Ethereum community.Expectations for DAO are also high and human demand is increasing.

A key contributor to Yearn Financebronchi“If you look at DeFi, it's a bet on the future of finance. NFTs can be a bet on art, real estate, or any property. It is a bet on the future of the tool.DAO is betting on the future of human development, and it's even bigger. "

However, DAOs are rarely understood by outsiders. The big news is, financial experts and executives sometimes get a glimpse of DeFi and NFTs, but DAOs are still less familiar terms to them.DAO is a pre-DAO investment experiment that failed due to the 2016 hack.

There is a debate today about the meaning of DAO. These short letters are generally correctAlso manage your organization according to certain chain rules(sometimes but not always)Affiliated Fund Pools.

DAO CEO Ameen Soleimani and founder of SpankChain jokingly called DAO "Glorious Budget Committee"Where"Group chats use a joint venture bank??

Tracheopteryx candid: “There are so many meanings because we don't know what DAO means. We understand all aspects of DAO, but we always put them together. "

However, despite these loose lexical rules,In recent years, DAOs have argued for more tech and tech development than any other part of the blockchain.Many DeFi and NFT projects are managed according to DAOs.; Currently, a significant portion of the total cryptocurrency market capitalization of around $ 2,000 billion is managed by DAOs.Equipment and functionality related to DAO have been improved.; Orpolis is a pay-as-you-go organization and platform for DAO employees to access full-time healthcare.

In the medium and long term, the vision outlined by the DAO can be applied to any investor.

Tracheopteryx said: “Think about the creation of the Dutch East India Company. Think about how important these jobs were to our world at this time if you could bet (invest) in the strategy of the company in the day and in the future of DAO. Businesses and organizations are ... a bigger market. "

But, as many experts say, gambling for the future of DAOs is a tough one.

DAO infrastructure

For months, DAO supporters have said that DAO is the “next generation” legacy that will follow the NFT.

Kevin Owocki, Founder of Gitcoin, a nonprofit dedicated to DAO, says:DAO believes in the harmony of capital and culture. I'm happy to see how DAO is improving.??

Kevin continued.

If we are successful, MetaFactory will disrupt Shopify. If we are successful, Friends with Services will disrupt Y Combinator. If we are successful, Gitcoin will disrupt LinkedIn. That's the culture. To do and thousands of experiments with DAOs are successful and only 10 will be completed ., but the success of DAOs will be enormous. "

However, choosing a winner is dangerous work,Targeting organizations that provide DAO real estate development can be a great way to close your gap.

For example, SpankChain creator Ameen Soleimani also mentioned RaidGuildDao buildingCAD tools and the Tally survey platform from other companies are also options to choose from.

However, things will not turn out well for investors looking to make significant investments in the space.All of the above functions do not have capital tokens..

Besides, Soleimani warns.The upside capacity for CAD infrastructure investments may also be limited. He said: "It is unfortunate that this (build) itself is not as good as some DAOs," he said.

He likens this phenomenon to a direct investment in NFTs or the purchase of NFT platform tokens such as RARI from Rarible. NFTs can do a lot of recovery in a week, while ARRIs drop 52% ​​in 30 days at the time of writing.

Opolis CEO Bill Warren said one of the ways that key investors can act is by leading to "group intelligence".A DAO that invests in "funds of funds", that is to say operational management.. he says:

“They'll put their money into investment DAOs like MetaCartel Ventures and say, 'I see this team picking the winners better than the 12 Stanford graduates. "

Sister tab,When looking at DAOs purely from an investment perspective, there are things that have never been seen before.. Warren with en garde :

“I don't think DAOs are heritage in the traditional sense. DAOs are communities and communities that have assets, some of which are profitable because they can be sold for a lot of money, and“ Some communities have valuable assets. It's because it connects you to others. "

He refers to MetaCartel as an example.This DAO grant was created with a clear goal in mind.Over time, Warren said, MetaCartel has become one of the closest DAOs.As incomes fell, communities grew stronger..

conflict

In addition to technological advances related to CAD, the staff present at the meetingDAO's social class. According to many experts, successful entrepreneurs will not understand all DAOs because they will not understand who will join DAO and the benefits it will bring.

Gitcoin Founder Kevin Owocki said: “There are a lot of Gen Zers who believe that after a bad investment we are going through a market where climate change is a big deal and the data is inaccurate. Is a big deal. and we don't trust our body.We are developing a new culture created around the needs, values ​​and ideas of our generation. "

He added:

“There may be a group of VCs providing analysts to study Ethereum culture because technology cannot understand without understanding Ethereum culture, but in many ways they are not Fang cultural harmony. "

These conflicts were highlighted during the meeting. For example, an entrepreneur coined the phrase “minimal community,” a strange term that uses the words of an entrepreneur to select a nonprofit organization.Many of the metrics that make DAOs viable, including community preferences, the power of memes, etc., are essentially non-existent, making the classic form of investment analysis unreliable.

So far, the performance of the major investors involved in DAO has been mixed.

Some companies, such as ParaFi and Delphi, have partnered with CAD engineering and made recommendations for managing the DAO-governed DeFi system. Likewise, the large investments Andreessen Horowitz (ib 16z) recently releasedToken delegation scheme(to send the voting rights to third parties for certain DeFi rules that a16z investments (like Uniswap, Compound, etc.) it comes after.

The angel investor, who requested to remain anonymous, compared the results to the discovery of the US Black Hawk helicopter by the Taliban after the US left Afghanistan.Seems like these tools can be very powerful tools, but VCs need to learn how to use them first.

“Anytime you try to run something that is decentralized, there is friction here because you are destroying the community that you want to control or you are not getting what you want,” said Bill Warren, Managing Director. led by Opolis. He added:

Some of this friction is alsoIf completed, DAOs will transform venture capital firms.It's like a Web2 organization trying to invest in someone making the decision to kill a Web3 person.

super woo voog

Another reason DAO won't see a major change is that, by various measures, the DAO supercycle has already started. Likely not in the CoinGecko rankings.

Many early DAO participants, including Moloch DAO 'summoners' and MetaCartel donors who had the early experiences, have now succeeded and have consistently defined the pedigree for the entire project.

SpankChain Founder Ameen Soleimani says:Joseph DeLongFor example, it is the developer Eth 2.0 of ConsenSys who decided to join forces with Moloch DAO, by donating 100 ETH to support the development of Eth 2.0. Now that's part of the culture. "

Joseph Delong is currently the CTO of the DeFi Sushiswap platform, a position that has had a huge impact in the community.

Likewise, Soleimani talks about Cooper Turley (@Cooopahtroopa), Moloch DAO who paid Cooper to write the blog last year. Today, Cooper is prominent in DAOs such as Fire Eye and Friends with Service.

This is a one-time investment., closer to building a network of people.Lend money and investments to your DAO organization, then reap the rewards with the opportunity that comes with it.

These opportunities, in the past, have broadened the DAO ecosystem. Warren and Soleimani present:Most DAO members continue to develop new organizations that may have different roles, goals, and requirements that will support new investments in DAO infrastructure.

love love,Traders looking at past income allocations will not be able to take advantage of these patterns and only those who use them will be aware of changes and cycles.

Facilitate mining

While the number of tools and platforms for final investing is small (and growing), all of the experts I spoke to at CoinDesk agree:The best way to create value in this vertical industry is through partnerships, also known as “service mining”.(Mining services).

Warren joked, "It would be foolish for VCs to invest in DAOs without joining them."

more aboutHow to register for the DAO guideBut Tracheopteryx said the process isn't as difficult as it involves with DeFi contracts. Traders simply had to find the camp they needed and fell trees or fetch water.

Tracheopteryx said: “The answer is very simple: 'What do you think? What is your religion ? Who shared your values? Show your interest in this DAO Does anyone have any? “ua?” Join their Discord and get started. That's all. How to help "

After all, change doesn't need to be capital, it needs to have a foundation. And, as Soleimani points out, the opportunity to change the way people settle down is as exciting as a financial gift.

No matter what the future holds for DAO, if you want to benefit from it, you need to get involved.