A DAO is a decentralized autonomous organization. A DAO operates on a blockchain with no central leadership but instead is self-governing and operates independently through the use of smart contracts that execute community-made decisions.
DAO members can create proposals about how the DAO should function and all members can vote on each proposal. If a proposal reaches the required level of approval it is accepted and implemented by a smart contract.
Phase 2 of HIP 51 implemented the Helium DAO which oversees and maintains the various subDAO’s, which to date include the IOT and MOBILE subDAO. The Helium DAO is a network that is made up of smaller subnetworks. Each subnetwork is self-governed but the Helium DAO establishes parameters that govern the entirety of the network.
Some possible decentralized network protocols that could be added to the Helium network in the future include 5G, WiFi6, CDN, and VPN each with their own subDAO. Each subDAO would have its own network token such as 5G has the MOBILE token and data hotspots have the IOT token. This is necessary because each network protocol has its own specific technology.
Each new network protocol that is adopted would present an opportunity for individuals to participate in another subDAO.
With more possible subDAO’s in the future there will be more competition between protocols for a set amount of HNT which is currently 82,000 HNT minted daily.
HIP 51 provides a roadmap for separate IoT and cellular networks under the Helium umbrella. While it does not formally establish any other network protocols outside of these two, it creates the opportunity for other wireless networks such as WiFi and VPN to be onboarded. Proposals for additional network protocols can be submitted as a HIP via Helium’s HIP GitHub Repository or Discord channel.
Why do I choose to participate in the Helium Network IOT subDAO ?
One of the reasons that I choose to participate in the network is because it gives cryptocurrency a practical use. To be real, there are many cryptos that have no utility and no real purpose.
The IOT subDAO provides a revenue opportunity. Does a IOT hotspot pay out what it used three years ago ? Not even close ! But I’m okay with that because there should be a greater reward for early adopters who assumed more risk.
Operating an IOT hotspot gives me the opportunity to participate in a project that is not cost prohibitive to start up and electric cost is negligible. As much as I would like to run an ASIC the cost alone would be deal breaker, not to mention the incessant noise of an ASIC.
Whatever future subDAO’s arise in the Helium ecosystem I would view as yet another opportunity to participate in a project that I believe in.
