Understand the roles required by DAOs and the many ways to get paid for them

In the past decade, the working class has increasingly turned to part-time work. With the decentralized tasks and the booming gig economy, workers and employers have realized that work is modular.

In the digital age, creative work can be done anywhere, and we have seen that the gig economy has adapted to Web 3, which is called the “creator economy”.

As a digital organization, DAO is ready to aggregate and coordinate a larger creator economy. More importantly, DAO has the ability to get value from your labor and distribute it to you.

This is where the Web2 company failed in front of the DAO. In essence, DAO is community-owned, governed and developed.

How to get paid by DAO

DAO is a digital community with a common mission and funding. In the past year, with the rise of protocol DAOs such as Uniswap and Sushi (with billions of dollars in capital), we have indeed seen results in this field, and we have also seen new community drivers like Friends with Benefits. The emergence of the social DAO.

With the development of this field, it also brings many opportunities. For those who wish to start working in encryption, DAO is a good starting point—especially for those who are willing to work in the native Web 3 industry. This article will introduce the talent needs of DAO and some compensation mechanisms used by it.

Why DAO is the next big thing

The future of work is digital. With the advent of DAO, anyone, anywhere, and any time can start working for a digital community.

Yearn’s core contributor and Coordinape head Tracheopteryx made a good analogy on Bankless’s DAO team, which really resonated with the nature of DAO’s work: it’s like a party bike. You can contribute as much as you want to help the organization move forward. Or you can just sit there and drink beer.

Ultimately it depends on how much you want to contribute to the overall success of the organization, whether it’s four hours, forty hours, or nothing.

Understand the roles required by DAOs and the many ways to get paid for them

The future job is to ride a party bike with your friends.

As people recognize the flexible nature of DAO’s work, these digital organizations are rapidly maturing. As mentioned earlier, it brings more opportunities for individuals. There are more tools and mechanisms to compensate and reward core contributors based on their work. Therefore, we see more individuals eager to try and start working as full-time DAOs.

Understand the roles required by DAOs and the many ways to get paid for them

Today, we will delve into a few roles, activities and mechanisms to seize this opportunity. We have seen many communities adopt these concepts in one way or another, and they all provide you with a unique way to contribute to and get paid for your work.

Here are the things you can do.

Understand the roles required by DAOs and the many ways to get paid for them

Image courtesy of Cooper Turley and Carlos Gomes

Various ways to work for DAO

DAO needs labor. They need people to work for them to achieve their core tasks. Whether it’s a protocol-based DAO like Yearn and Sushi, hoping to create a new paradigm in financial technology, or a social DAO like Friends with Benefits and Bankless DAO hoping to spread culture, there are many ways to contribute and increase value. As mentioned earlier, the coolest part is that you don’t have to work full-time. How much time you want to invest depends on you.

With this in mind, getting paid from the DAO may require some commitment and upfront work. Before you start making big money, you must first prove your worth.

For those who are new to DAO, the best way to get started is to enter the forums and Discords and participate in discussions.

This can be to provide input on governance proposals or discussions and participate in community conference calls. Once you have the know-how, you can start more and more in-depth work, such as helping the core project of the DAO, or providing resources for new members. The most important thing is that you are active and provide value to the DAO. Over time, if you do the right thing, people will start to notice your work.

Once you have established a reputation in the community, more opportunities will emerge. It usually starts by completing a one-time bounty, then it may be some part-time job, and then it may bring you a full-time job.

In other words, DAO usually needs some roles to help. Here are a few examples:

  • 1. Developers: **In the field of cryptocurrency, technical talents are never enough. Almost everyone can use it. Whether it’s developing new smart contracts, or helping back-end development, building a perfect user experience, auditing, etc. For those who can study and write code in depth, there is no shortage of opportunities. Even better, they can usually get high rewards for this.
  • 2. Community manager: **Community manager is another important role in DAO. DAOs are digital communities, and they need people to help manage them. This can be pointing the right direction for new members, answering questions, managing Discord, and generally just being a good steward of the community by bringing a good atmosphere (DAO is all about atmosphere). If you like to build relationships and talk, community management is a good place to participate.
  • 3. Content creators: ** Similar to community managers, education is also a key role. Many DAOs need talented writers and video creators to help promote their products, services, and even communities to the world. This is also one of the easiest ways to start, because you usually don’t need any permission. Just start creating content, publish it yourself, and share it with the community. If people like it, it will get attention. You will start here.
  • 4. Designers: ** Similar to developers, designers are an important part of the DAO world. It can be as simple as creating thumbnails and images for content creators, launching popular new NFTs to spread encryption culture, or more complicated things, such as designing stylish front ends for upcoming products.
  • 5. Operators and promoters: **DAO can grow into a complex organization. There are many things to do. Operators and facilitators play a key role in ensuring that the entire organization develops in the right direction and accomplishes key mission goals. If you have a deep understanding of the world of cryptocurrency, you can definitely help by providing the key background for the overall direction and ensuring that the DAO performs at the highest level. This usually includes project management, acting as a multi-signer, connecting contributors with the right people, etc.
  • 6. Financial management: DAO has capital and they need to find a good way of distribution. People with a financial background are always in high demand, especially when the DAO continues to increase its funding to billions (or even trillions of dollars one day). Funding diversification, budgeting, financial reporting, etc. are all skills that are useful to any DAO.
  • 7. DAO specific roles and committees: ** Each DAO has its own mission. What follows is the specific role they need. For example, Year needs Vault strategists to optimize returns, Index Coop needs methodology experts to design the best index, Aave needs risk assessors, and so on. In addition, most DAOs have appropriation committees, and they need to provide assistance in reviewing appropriation requests, etc.

Depending on your interests, these are some of the best opportunities to work in the cryptocurrency space, and are usually where more of the native, unique work of Web 3 comes into play. In other words, these roles are usually the hardest to accomplish because they require you to go deep into the community (and have reputation support at the same time).

Different ways to get paid from DAO

DAO infrastructure is an emerging field, and novel compensation mechanisms are a key part of it. Fortunately, in the past year or so, we have seen more tools to help compensate contributors in various ways. The department also saw well-funded DAOs adopt more traditional mechanisms, such as dollar-based wages, which are characterized by token-based compensation schemes (similar to stock options).

By contributing to the DAO, you almost always gain ownership in the community. In my opinion, obtaining ownership in these agreements and communities is currently the highest form of leverage in the world. Take advantage of this opportunity and you will be rewarded.

Here are some things to note:

  • 1. Get full-time employment: **Many well-funded DAOs, namely agreement DAOs, have adopted a standard salary model, which is generally applicable to full-time contributors in many start-up companies. Protocols like Year and Sushi provide wages based on stablecoins and huge bonuses in the protocol’s native tokens (ie YFI and SUSHI ). It’s worth noting that getting a full-time role in the DAO may require a lot of upfront work, but those who can prove its value can be well compensated. For reference, I personally see that the salary structure of core contributors is as high as millions of dollars per year (see Sushiswap ‘s recruitment guide).
  • 2. Coordinape: Coordinape is a Web3 native compensation tool, which is derived from the Year ecosystem. In short, it is a tool based on peer evaluation. Contributors can allocate “GIVE” tokens to their colleagues based on the amount of work they have done over a period of time. At the end of this round, users allocate the fund pool proportionally based on the amount of “GIVE” they receive from their peers. Overall, Coordinape is one of the most unique and interesting ways to compensate contributors. Although the largest round is promoted by the number of contributors (stress test Dunbar number), the final reward seems to largely represent the actual work done by individual contributors (that is, the most active contributors tend to rise to the chart top).

Note: Dunbar’s number is the Rule of 150, which is inferred based on the intelligence and social network of apes: the number of people whose intelligence will allow humans to have a stable social network is 148, rounded to about 150.

Understand the roles required by DAOs and the many ways to get paid for them

Understand the roles required by DAOs and the many ways to get paid for them

  • 3. Funding: **Almost every major DAO has a funding plan at this point. These are usually managed by a small group of community-elected contributors who are responsible for reviewing grant requests and allocating funds accordingly. Protocol DAOs such as Compound, Uniswap, and Aave have a large pool of funds, and they allocate these funds to those who can build unique products or provide valuable services on top of the protocol. If you are essentially a builder and submit a proposal to do meaningful work, you can get paid through a grant from one of these committees.
  • 4. Bounty: **Bounty has existed in the crypto ecosystem for some time, but due to the emergence of DAO’s digital work, it has begun to receive attention again. The typical feature of bounty is to allow individuals, especially new community members, to participate and add value to the DAO in exchange for native token compensation. Currently, this part of the tool is still in its infancy.
  • 5. SourceCred: **SourceCred is another Web3 native tool that has become popular in some communities (ie FWB). SourceCred provides an interesting way to reward community members for participating in forum discussions, such as Discord and governance suggestions. To summarize its working principle, similar to Coordinape, SourceCred software tracks information and participating KPIs (for example, the number of likes replies to the forum, the number of responses to your message, the number of GitHub submissions) to allocate CRED to individual users. At the end of each period, the tokens in the pool are distributed to individuals based on the accumulated CRED amount during that period.
  • 6. Revenue sharing: ** The community is strong. If you build what the community wants, they will reward you with demand for products or services. This is enough to enable individuals to actually earn part of the income they generate from the product, while also being able to align with the DAO by allocating part of the income to the community treasury. We have witnessed this mainly through Bankless DAO and MetaFactory Merch, NFT Showcases and BED Index. Here, community members can earn part of their income from merchandise and NFT sales. The community provides a customer base, and the creator provides valuable products or services that DAO wants.

in conclusion

DAO activities are very lively. There is no shortage of opportunities for those who wish to enter the field of future work and contribute to the DAO. Most importantly, even if you are in a full-time job, you can do this flexibly. You can work as you wish, the only thing that matters is the actual value that your work brings.

For those who find themselves gaining a lot of reputation within the DAO community, the upside can be exponential. There are many ways to get paid from these new digital organizations, whether it is to obtain a competitive full-time compensation package that is comparable to the largest technology companies, or to obtain a sense of accomplishment recognized by the peers.

What is the most important thing? We just got a preliminary understanding of what might happen.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/understand-the-roles-required-by-daos-and-the-many-ways-to-get-paid-for-them/
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