DAOs, DACs, DAs and More: An Incomplete Terminology Guide | Ethereum Foundation Blog

DAOs will eventually replace the traditional model. A DAO is an internet-native organization with core functions that are automated by smart contracts, and with people who do the things that automation cannot (e.g., marketing, software development). In practice, not all DAOs are decentralized or autonomous, so it is best to think of DAOs as interne... See more

More simply, DAOs are a new way to finance projects, govern communities, and share value. Instead of a top-down hierarchical structure, they use Web3 technology and rapidly evolving governance and incentive systems to distribute decision-making authority and financial rewards. Typically, they do that by issuing tokens based on participation, contri... See more

Since DAOs are blockchain-based organizations that usually are not tied to a corporate entity, they leave a lot of room for rapid experimentation in organization and incentive design. Members can collectively source an idea, funnel collectively managed resources toward shared goals, iterate, and ship with rapid speed.

“A” DAO? What’s that? Why is it better?DAO stands for a Decentralized Autonomous Organization. Some people like to also refer to it as Digital Autonomous Organization, but I prefer the former.They are virtual organizations. In the real world, you have organizations or companies right? And these companies have Shareholders and a Board of Directors. ... See more