Organizations that are managed by the Community and do not have a central authority are called Decentralized Autonomous Organizations (DAO). The basic working principle of these organizations is that the rules are written in the source code and these rules are processed by thousands of nodes on a consensus-based algorithm.

DAOs are more transparent than the traditional financial system.

The management of DAOs is done through a series of proposals where members vote via the blockchain.

DAO is used on the Ethereum network.

Examples of how we can use DAOs:

Charity organization

collective property

initiatives and grants

The first DAO project is "The DAO", which was launched in 2016.