The new year has arrived, and the ADAMoracle oracle will also embark on a new journey. In 2022, the first major issue of the ADAMoracle oracle is to fully launch the community DAO governance platform.
What is DAO?
The current market definition of DAO (Decentralized Autonomous Organization, decentralized autonomous organization) is still evolving. According to the current form, DAO should be an organization that supports blockchain, smart contracts and digital assets to operate on the Internet. It has the ability to expand globally from today.
In other words, DAO is a brand-new way of organizational collaboration. It uses intelligent management methods and token economic incentives to enable organizations to realize self-operation, self-governance, and self-evolution in accordance with pre-set rules, without being subject to centralization. Institutional control.
Specifically, DAO has both decision-making capabilities and execution capabilities: it can perceive members’ collective wishes, make decisions gently and smoothly, and incentivize members to cooperate in execution with minimal trust costs through methods such as tokenizing decisions. To achieve the collective goals of the DAO. At the same time, all economic activities and rules of DAO are recorded on the blockchain, without the participation of a third party, which makes DAO highly independent.
Based on these characteristics, smart contracts are the necessary glue for managing members of the DAO community.Smart contracts define tamper-proof rules to help organizations operate systematically. Due to these characteristics, DAO is somewhat different from today’s enterprises and companies, which rely on statutory law and usually use written documents to define the scale and boundaries of the organization.
Why does the ADAMoracle oracle build a DAO governance platform?
Participating in the DAO organization indicates that the open source technology will be managed by its users or token holders in the future, and they will be committed to the continuous development of the underlying technology based on smart contracts. These governance tokens restrict developers and can more fully protect the rights and interests of community users and investors. As a node-centric project, ADAMoracle oracle machine will fully protect the rights and interests of nodes and community users, so that every user can participate in the governance of the project and have real voting rights and decision-making rights.
The DAO may have operational advantages in several respects, at least compared to the existing legal organization structure. Participants only need a few clicks on their mobile phones or blockchain wallets to contribute digital assets to the DAO and join as members. Thanks to blockchain technology, asset transfer only takes a few seconds (or even a few milliseconds). Digital assets can be transferred unimpeded in the blockchain network, without the need for layer-by-layer review by financial institutions, but to add blocks to the underlying data through validators.
Due to these characteristics, DAO enables different groups of people to pool capital through the Internet , and its financing capabilities are quite outstanding. Unlike financing a single project, DAO is used to pool funds and engage in venture capital or other forms of investment activities.
DAO also deploys voting schemes through an algorithm system to simplify group decision-making. DAO participants can sign on-chain transactions and record on-chain votes, and the voting weight is evaluated by capital proportion, ownership, or governance tokens. Through voting on the chain, DAO members can cryptographically verify the results of member votes. The DAO will open public audits to members of the organization (and possibly the public) to ensure compliance with decision-making procedures and reduce potential misjudgment of votes. The smart contract also provides proxy voting, which reduces the cost of traditional proxy voting and reduces the cost of soliciting member feedback and opinions.
What impact will the DAO governance platform have on ADAMoracle?
The influence of DAO is extensive. First of all, DAO governance will make the decision-making process of the ADAMoracle oracle more transparent, safe and autonomous, and it is expected to respond more quickly than existing legal entities.Through voting and recording on the chain, the participatory DAO achieves a highly transparent voting procedure, while also avoiding controversial decisions, fraudulent behaviors and reducing low-level errors.
Second, due to its digital nature, the voting mechanism of participatory DAO is simplified and low cost. Voting no longer requires paper mail or secure electronic proxy services. Therefore, DAO-based voting is usually conducted continuously, not just within a predetermined time. Compared with centralized managers, members participating in ADAMoracle oracle DAO governance can play an important role in organizational management economically.
Third, participating in the DAO incorporates information and feedback from many stakeholders. In fact, technicians hope to allow more people to participate in DAO-related decisions, thereby eliminating the need for one or more central managers. If this method is effective, it may question the basic principles of corporate governance-that is, the allocation of management power to important positions such as the board of directors.
Fourth, smart contracts also provide organizations with new methods for internal asset management. Many centralized organizations are still working hard to implement appropriate safeguards to prevent misappropriation or misuse of funds.Companies usually reduce risks in a way of division of responsibilities to ensure that no one can unilaterally transfer or use assets. The DAO seems to reduce the possibility of false public assistance and opportunism.
Fifth, build the foundation for the ADAMoracle oracle machine to adapt to Web3.0. The connections between members of DAO are meshed, so they can communicate more freely and fully. The roles of members in the organization can also change frequently and fluently. Such a networked structure is very suitable for Web3.0. Web3.0 is open source and programmable. “Organizing Lego” DAO can form a team based on needs, customize and call various smart contracts in Web3.0, and combine the infinite possibilities of the Metaverse.
What kind of DAO does ADAMoracle want to create?
1. Have an effective incentive mechanism
The foundation of DAO is to establish a complete set of effective incentive mechanisms, which can motivate members to participate in project governance, and can achieve fair, transparent and intelligent execution. Therefore, it is very important to understand how members’ contributions are rewarded in DAO. Generally speaking, allocating governance rights and awarding contributors or profit shares can motivate members to contribute to the DAO and actively participate in governance, which in turn makes the organization more efficient.
2. High participation rate of community members
The factor driving the growth of DAO’s value is not only the contribution made by each member to DAO, but also the active participation of more members in governance, which enables the organization to continuously adjust and improve.Smart contracts are manually edited agreements. Some agreements may need to be improved or upgraded as the project develops. This requires the active participation of community members to jointly propose and formulate valuable development guidelines for project development.
3. Able to continuously achieve project delivery
If DAO implements a good incentive mechanism and members actively participate in contributions, then DAO should continue to deliver its projects and make proposals. A DAO that regularly promotes project development usually means that this DAO can perform well in terms of collective participation, execution ability, and long-term value appreciation. This is also the reason why the ADAMoracle oracle is launched on the DAO governance platform.
At present, the ADAMoracle oracle machine has been officially put into operation, and high-quality nodes from all over the world are continuously joining the ADAMoracle oracle machine network. A total of tens of thousands of community members make the project have the basic conditions to start DAO governance. ADAMoracle oracle machine is gradually building a community DAO governance platform, and will issue community governance tokens to give community members more rights.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/adamoracle-oracle-machine-new-years-primary-issues-online-community-dao-governance/
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