Decentralised Autonomous Organisation (DAO)

A Decentralised Autonomous Organisation (DAO) can be built using Extendables.

Typically the rules for DAO membership are encoded into the smart contract mechanism that facilitates the coordination. However as communities evolve and their use-cases expand (or narrow), DAOs and their coordination mechanisms must be able to change with the needs.

By separating DAO functionality into Extensions, you can create a DAO that can:

• Change the way members are added and removed

• Change the privilege of certain members or token holders

• Change the way voting works

• Shift voting weights

• Introduce sub-DAOs to account for subsets of the community to tackle specialised issues

Interestingly, you can use DAO structures to vote on changes to your protocol through Extendables, and cause extensions to be added or removed depending on the votes. This is how we see the future of decentralised coordination, and is paramount in building the future of web3.