Decentralized Autonomous Organization

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DAO (Decentralized Autonomous Organization) along with Blockchain

A DAO is a business or organization whose decisions are made electronically by a written computer code or by the vote of its members. Basically it is a set of rules with a strong code that outlines what actions the organization will take. DAO was launched in 2016, It is an early decentralized autonomous organization (DAO) earmarked to act as an investor-directed venture capital firm. Lauded as a revolutionary project, The DAO has raised over $100+ million USD worth of ether (ETH) and was one of the earliest crowdfunding efforts and high-profile projects built on the Ethereum blockchain.
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Why Dao ?

Blockchain technology uses a method called trusted timestamping to take action against transactions.

To eliminate corruption and the need to involve a third party intermediary, a distributed database is held by all users of the blockchain.

The ingenuity of implementing these tools into an organization is that it allows for the organization to run without managerial supervision.

Theoretically a DAO company could run completely autonomously if the platform provided sufficient rules and flexibility.

Why is there a need for DAO? : A Quick

Starting an organization with someone that includes funding and funding requires a lot of trust from the people you work with. But it’s hard to trust someone you’ve only met online. With DAOs you do not need to rely on anyone else in the group, only the DAO code, which is 100% clear and proven by anyone.

This opens up so many opportunities for cooperation and globalization.

  1. All activities are fully transparent.
  2. It is flat, and fully standardized.
  3. Voting is necessary by its members for any changes to be done.
  4. Services offered are handled automatically in a standardized manner (for example distribution of philanthropic funds.
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DAO & Ethereum

DAO & Ethereum

Using Blockchain outside finance was an idea of the Ethereum project. It eliminates the role of banks as middlemen between individuals and businesses transacting across borders, Ethereum blockchain application development with smart contracts has eliminated intermediaries across virtually every industry. As an example, In cloud storage Smart contracts in Ethereum has enabled decentralized network participants to be rewarded in tokens for sharing their unused disc space.

Smart contracts can be set up even for ordinary businesses like sending and paying invoices, but no matter how well the new model works, there is room for improvement. Blockchain experts are discovering ways to adapt to a new trend by building Private Entities, Called DAOs. These complex smart contract structures may have the most important impact on the business of any blockchain breakthrough so far.

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