The main common problems of modern "early" DAOs and JMC solutions

Almost all DAOs have serious problems with voter apathy. At the same time, decisions in DAOs are made by general voting. Accordingly, it takes a lot of time for the initiators of proposals in DAOs to find an approach to the mass of voters, tell them about their initiative, raise awareness and organize voting. This is very difficult and costly.

Most DAOs are slow to make decisions, they miss investment opportunities, fail to consider and adopt many useful initiatives that don't receive the attention they deserve. Common DAO problems are solved by various DAOs in different ways: through sub-dao, pods (groups of DAO participants), exotic voting methods and so on. For example, “quadratic” voting, which reduces the influence of large token holders on the final result of voting, or “lazy consensus”, when 1% of DAO token holders can make decisions regarding the entire DAO treasury. Such approaches undoubtedly came from the scientific world, but for most entrepreneurs and corporate managers they seem to be associated with fiction and cause distrust due to the fact that they have not yet been tested by time and practice.

As a result, the widespread adoption of DAO is hindered by the lack of common DAO standards, its working model for most applications and a ready-made “out-of-the-box" solution.

DAO – Problem Areas

JMC DAO (and Platform) – Proposed Solutions

1. DAOs take too much time to make decisions due to voter apathy.

A specially selected Panel of Experts makes investment decisions quickly, while remaining under the control of the holders of DAO tokens, who can block any decision prior to its execution.

- Staking encourages token holders to participate in voting.

- Experts will help the participants of the DAO to understand the essence of the issues being voted on.

2. Very often, communities that call themselves DAOs are not actually decentralized organizations on the blockchain:

- their treasuries are managed by only a few members of the community (i.e. centrally),

- the voting results have no direct influence upon the treasury or the DAO smart-contract code (i.e. they are public opinion polls and are advisory to the DAO developers).

All functionality will be implemented on the blockchain, including automatic changes in the parameters of the DAO smart contract based on voting results.

3. Obscure decision-making principles and complex unfamiliar concepts like "quadratic voting" and "Sub-DAO" marginalize DAOs and prevent their widespread use in business.

- The existence of partial analogues of the proposed governance system in the “real world'' (trusts and special types of funds) simplifies perception.

- There are a lot of flexible settings for tasks that are familiar to corporate managers.

4. Regulatory challenges and under- developed legislative framework.

Minimization of risks and negative consequences through the use of:

- professional lawyers as Protectors;

- trust structures as legal wrappers of the DAO.

5. Long deployment period of "customized DAOs" (i.e. almost all DAOs), requiring the services of an expensive team of software engineers for at least 3-5 weeks.

The DAO Setup Wizard platform will save time up to 4-20 times (or more).

DAO parameters on the Platform can be set up, not programmed from scratch.

6. In the crypto world, it is not yet possible to make transactions between two specific counterparties that require escrow mechanisms, collateral, execution under certain conditions without a centralized guarantor for such transactions.

It is expected to implement the ability to design the terms of bilateral transactions in a smart contract and guarantee (carry out) their technical execution on the Platform, if the parties have wallets on the Platform.

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