How DAOs are Transforming Organisational Governance

Author: JR Foronda

Imagine a company without a CEO, where decisions are made collectively by its members. Welcome to the world of Decentralised Autonomous Organisations (DAOs). But how do DAOs work, and why are they considered the future of organisational governance?

DAOs are organisations run by smart contracts on a blockchain. They operate without centralised leadership, allowing members to vote on decisions. Think of it as a digital co-op where everyone has a voice.

Key Features:

• Decentralised Decision-Making: Power is distributed among all members, ensuring transparency and fairness.
• Smart Contracts: These automate processes and enforce rules without human intervention.
• Token-Based Voting: Members use tokens to vote on proposals, aligning incentives with organisational goals.

Impacts on Governance:

• Increased Transparency: Every decision is recorded on the blockchain, accessible to all members.
• Enhanced Efficiency: Automated processes reduce bureaucracy and speed up decision-making.
• Challenges: DAOs face legal and regulatory uncertainties, similar to navigating uncharted waters.



DAOs are reshaping how organisations operate, offering a glimpse into a more democratic and efficient future. Are you ready to explore this new frontier in governance?