Key Points: How DAO Constitution works: People donate ETH and 1 ETH to receive 1 million dollars.
Cult DAO is an investment-oriented organization that requires at least 15.5 Ethereum.
Vote on NFT by Nouns DAO
The DAO bill was passed by the Ohio State Senate in March 2021. This allows users to manage their affairs via DAO. DAO’s legal status has been gradually recognized. DAO has been growing rapidly and with a stronger momentum. Various types of DAO have also started to compete to enter the crypto market.
Use internal capital to issue tokens, thereby incentivizing the behavior of participants and ensuring the good operation of the organization;Autonomy:
This is automatic decision-making and execution that does not rely on human behavior. Usually, code is used to complete. Rule by man:
There is a certain amount of rule of men, and the rule-of-man model is highly democratic. However, the element of autonomy must not be less than 0. DAOs are benchmarks in the circle because of their excellent organizational structures. Some DAOs have become benchmarks in the circle by virtue of their excellent organizational structures, while others have been left behind.Constitutional DAO – Fundraising MythConstitution DAO was founded as a joke.In November 2021, Sotheby’s publicly auctioned the first batch of printed copies of the U.S. Constitution. The U.S. Constitution was the first written constitution in modern society. There were only a dozen copies printed for the first time, and the prints auctioned by Sotheby’s are private Last 1 copy circulated.Therefore, some people joked on Twitter, saying that they wanted to raise funds to buy the constitution, and then the constitution DAO really landed.The reason for its establishment is to use the decentralized characteristics of DAO to preserve the historic cultural relic of the copy of the Constitution to the public and avoid falling into private pockets. If the auction is successful the decision on where the copy of the constitution will go will be made by a collective vote. Coinbase and z16z were also involved in the promotion. Former CEO of FTX, SBF, also supported the Constitution DAO. However, the operation of the Constitution DAO was unsuccessful. Traditional collectors won the auction for 43.2 million US Dollars. After the auction, the idea of how to vote in the DAO and run it was not fully developed. The amount of funds raised is public due to the transparency and fairness of the DAO decentralized organisation. DAO’s advantages are now disadvantages in the auction. Competitors can quickly determine the bottom line of bidding, and they can win the auction. After the auction was abandoned, the constitutional DAO initiated the refund mechanism. Donors could choose to return the donation or not. PEOPLE became a meme. The current token price of $0.0217 US dollars is $0.0383 US dollars and the market value of 153,174.783 US Dollars is 153,174.783 US$. The road to DAO exploration is not without its challenges and pitfalls. There are many failed projects. Cult DAO is one such project. It is an investment DAO. The founding team is anonymous and the project exploded in April 2022. It excels in its economic model. As shown in the figure below, the founding team issues tokens called CULT tokens via smart contracts. Users can choose to stake or not, and the top 50 holdings will automatically be Guardians dynamically. Guardians can initiate proposals but cannot vote in governance. Non-Guardians dCULT holders have the power to govern Cult DAO. Voters can also voluntarily entrust their votes to publicly elected proxy voters (because of the high transaction fees on the Ethereum chain, some voters may entrust their voting rights to others, this function may increase voter voting to a certain extent Participation).Personal assets are the only criterion for measuring guardian eligibility, so proxy voters will not become guardians for this reason.Users need to pay a 0.4% tax when trading CULTv (for example, if you buy 1,000 CULT, you only get 996, and 4 of them will be deducted as taxes). These taxes are automatically paid to the Treasury. The treasury will automatically accumulate CULT worth 15.5ETH. CULT value 13E will be used to invest in proposals. The remaining CULT value 2.5E will be destroyed to achieve deflation. DAO must convert certain tokens into CULT within a specified time period in order to invest in other proposals. Half of the converted tokens will be given to holders of dCULT, while the other half will be destroyed. Nouns are an investment DAO. They also establish an important primitive within the Web3 field. This solves the problems associated with high concentrations of government power and low community activity. Every 24 hours, the Nouns protocol will create and auction a Noun (NFT whose codes are randomly generated). All proceeds will be deposited into the central treasury under the control of Nouns holders. The treasury funds will be used to fund new Nouns DAO projects. Holders of Nouns can make proposals and others can vote on them. Each NFT is equal governance rights to the Treasury. 1 NFT = 1 vote. One vote is equals 1 NFT. This virtuous situation is impossible without daily auctions, a system of daily bidding that gradually reduces ownership. It is therefore possible that the number of single owners will rise over time, solving the problem of centralization in governance. All Nouns holders can submit on chain proposals detailing the content and funding requirements. The proposal will be put to vote. A quorum of at minimum 10% of total votes is required for adoption. If approved, the funds can be released immediately. There are currently more than 239 on chain proposals, of which more that 164 have been passed (the pass rate being about 68%). Nouns DAO has a high voting participation rate, approximately 12%. Other DAOs have less than 10% turnout. This can be used to gauge the health of a DAO. Low participation rates have long been a significant problem with DAOs, meaning that a small percentage of votes (10 – 20%) can make major decisions.Today, Nouns DAO is still a star in the encryption field, and the price of an NFT is still as high as 30ETH.ConclusionThrough the analysis of the above three typical DAO models, three points can be roughly summarized.First, the openness and transparency of DAO is a double-edged sword, and strategies need to be added in the auction of open cards. Although the constitutional DAO auction was unsuccessful, its idea to give the community ownership of collections had a profound effect on the development of DAO. Second, the current DAO community governance mix with centralization factors will lead to resource dissipation. The core backbone and basic rules that underlie the DAO will be solidified will win the hearts of the people and improve resource utilization efficiency. CultDAO can be described as a milestone attempt in this regard.Finally, in the exploration of DAO’s governance model, other elements such as NFT, SFT, and SBT can be appropriately added to enrich the community content while improving users’ sense of belonging and investment.DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.Join us to keep track of news: https://linktr.ee/coincuHaroldCoincu NewsTags: Constitutional DAOCult DAODAOsETHEthereumNFTNouns DAO