Being a crypto enthusiast means learning new acronyms every week. Some are worth knowing, others take up valuable memory that could be used elsewhere. But as the future of business, DAO is one acronym everyone should know.
As you’ve probably guessed, the D stands for decentralized. This concept is the heart of blockchain technology. Here, it precedes Autonomous Organizations (DAO). It might not sound like much, but DAOs are tipped to make traditional corporations obsolete.
Let’s take a look at how this might be achieved.
What is a DAO?
A DAO is a group of like-minded individuals working towards a shared goal. Their activities are facilitated by the maturation of Decentralized Finance (DeFi). In the crypto sphere, a DAO’s goals might include stockpiling particular non-fungible tokens (NFT), using mining rewards to fund mutually beneficial initiatives and trading on assets with shared risk. As you have no doubt noticed, all of these activities take place online. This is a defining characteristic of DAO endeavors and all blockchain enterprises.
Like blockchains, DAOs have no centralized authority. Their financial operations are not led by one individual or institution. Rather, the democratic model is employed. All members of the DAO are involved in the decision-making process. Those who invest more in the DAO get more of a say in the organization’s activities. But ultimately, the DAO needs a majority to make any decisions on how to spend the funds. However, its founding purpose is difficult to deviate from. This is because the DAOs action plan is solidified by a smart contract and written into the blockchain.
Here are some of the most popular types of DAO:
- Operating Systems
- Protocol DAOs or Web3 Infrastructure DAOs
- Investment DAOs
- Grants DAOs
- Collector DAOs
- Service DAOs
- Social DAOs
- Media DAOs
What Makes DAOs Popular?
It isn’t difficult to understand. Crypto enthusiasts adore any innovation that has the potential to replace a more traditional process. Decentralized Exchanges (DEXes) enable crypto users to trade assets, just as international markets make it possible to trade fiat currencies and tangible assets. In the same vein, DAOs have the potential to replace traditional corporations. The two entities are essentially the same. Two groups of individuals with a shared goal. Pepsi Co, for example, wants to dominate the soft drinks market. LexDAO aims to lead the world in providing blockchains with tools to replace expensive legal services.
Here are some of the most popular DAOs:
- Decentraland DAO
Who Can Benefit from DAOs?
The short answer is everybody. This is because a DAO provides the average crypto user with increased security. As with any organization, an individual benefits from the many skills and support of the collective. There is a level of knowledge-sharing that leads to better decision-making and results. As such, new members with limited experience can piggyback on the experts’ success.
DAOs also act as pools of assets. Of course, these funds are pooled for a singular purpose, laid out in the DAO’s smart contract. But pools also grant individuals access to opportunities they might not have ordinarily. Younger traders might have the knowledge to make successful trades but not the capital. As with any traditional market, certain opportunities have higher minimum buy-ins. DAOs can give these knowledgeable traders the backing they need to succeed.
DAOs are closely related to, and to a certain extent dependent on, DeFi models and vehicles. This means anyone who has experience using DeFi solutions can easily transition to a DAO. And why wouldn’t they? DAOs are free of human error and manipulation, secured by tried and tested blockchain technology, and free of bureaucracy.
What Are the Drawbacks?
The main criticism of DAOs is that they are largely unregulated. This is a problem for those who believe DAOs could replace corporations. Unfortunately, human nature is proven to be highly compromised. There is a tendency to take advantage of the lack of regulations with unethical behavior. Some of the biggest theft cases in history have taken place at DEXes. The popular phrase is true: criminals are made when opportunities arise. This is why regulations and security protocols are so important. Without them, the future of DAOs is less certain. But as already mentioned, DAOs like LexDAO are committed to making this concern obsolete.
If you are looking for increased security and a wider range of opportunities, a DAO could be a viable solution. DeFi has given crypto enthusiasts all the financial activities of traditional markets. If it is possible with fiat, it is now possible with crypto. DAOs aim to do the same for traditional corporate activities. Think of a DAO as a crypto corporation.
BitcoinVauld is a cryptocurrency brand that conducted award winning campaign called SkillzVault where ESE Entertainment Win Gold at Muse Creative Awards 2022
At Bitcoin Vault (BTCV), we pride ourselves on solving security issues that no one else can. This requires a great deal of creative thinking. But when a team can think outside the box, anything is possible. Now, we have proof that our creativity is what drives our project forward.
We are pleased to announce that BTCV has been awarded the Gold Prize at the Muse Creative Awards for work on our SkillzVault series of events. This initiative was our first collaboration with a new partner, ESE Entertainment. As you no doubt remember, these events were announced back in May 2021 and ran from August to December in Asia and South America. Well, the events were a huge success, attracting large in-person crowds and audiences across multiple streaming platforms. This was compounded by the launch of our very popular Non-fungible Tokens promoting the events.
The Muse Awards
The International Awards Associate (IAA) is an organization that recognizes excellence in various creative and design industries. Its Muse Awards are distributed across multiple disciplines. Besides the Creative Awards, for which BTCV won Gold, there are categories for Design, Photography, and Hotel.
About ESE Entertainment
One of the most recognizable names in esports, ESE Entertainment helps game developers, publishers, and brands achieve their goals. A combination of technology, infrastructure, and behavior science has made ESE a pioneer in the industry. ESE operates its own e-commerce channels, esports teams, and gaming leagues. BTCV collaborated with ESE in order to realize shared goals. Winning Gold at the Muse Creative Awards is just the beginning of a very promising and mutually beneficial future.
Meet the Applicants
The International Awards Associate received over 6,000 entries from competitors in 18 different countries. They are all internationally recognized leaders in their fields.
Here are just a few of the names behind direct submissions:
- Les Ateliers Louis Moinet SA
- LWK + Partners
- António Fernandez Architects
- Leica Geosystems
But the awards also receive a considerable number of indirect submissions. Here is a selection of those reputable applicants:
- Donahue Schriber Realty Group, Inc.
- Bureau of Public Works of Shenzhen Municipality
- Beijing Enterprises Group Company Limited
- Warner Bros.
- Porsche Hungária.
Who Were the Winners
Previous winners have included League of Legends, Porsche, and Nike. This is truly distinguished company. The 2022 winners were no different, including GoDaddy, TikTok Canada, and Fiverr US. BTCV was the Gold Winner in the Social Media in Financial Services category. The SkillzVault gaming talent show has been a remarkable achievement for all parties involved. None of this would have been possible with ESE Entertainment. For BTCV, it is an honor and a pleasure to call this company a partner. Together, we have achieved recognition from a panel of highly respected judges.
The Panel of Judges
The International Awards Associate knows that an award is only as respectable as its evaluators. That’s why it selects leading industry professionals to be the competition’s judges. By selecting individuals from a wide range of sectors and regions, the IAA is able to maintain impartiality and high standards.
The judges for the 2022 Awards included Creative Director of Kre8ive Partners, Mark Turner; Owner and Founder of UArchitects, Misak Terzibasiyan; 3D Senior Global Packaging Designer at Tom Ford Beauty, Jiaru Lin; Managing Director and Co-Founder of LR Seoul, Joon Kwon; Associate Creative Director at MullenLowe, Renato Barreto; and Art Director at VML Y&R São Paulo, Felipe Paganoti.
Everyone at BTCV is overjoyed at the success of the SkillzVault Events and winning Gold at the Muse Creative Awards. But perhaps no one is happier than Konrad Mroczek, Marketing Manager at Bitcoin Vault. Reflecting on the achievement, he had this to say:
“A substantial part of this success goes to all team members of ESE Entertainment for huge and highly professional work. The company perfectly merged two target groups of gamers and crypto enthusiasts. Results of the SkillzVault campaign confirm that it was a spot-on decision.”
Just the Beginning
As amazing as this achievement is, it is just the beginning. We are looking to build on this momentum and use the recognition to secure new partnerships. The SkillzVault events were our first steps into the esports industry, but they won’t be our last.
Stay tuned for more gaming events and sports-themed products like the SkillzVault NFTs.
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