Four characteristics of DAO

First of all, DAO is a trust-free network, which must be based on blockchain, smart contracts and digital wallets. Secondly, it is a transparent network, and the whole process is on the blockchain, so the operation data of DAO is open and transparent throughout the network.

Therefore, from the perspective of information disclosure, compared with traditional business, it is an order of magnitude higher in terms of transparency, timeliness, authenticity and comprehensiveness of information disclosure. Third, DAO is a network of usage rights and has no owners. Founders or promoters may have some influence over the network, but they do not own the network.

Fourth, DAO is a permissionless network. It is up to the person to join or quit. No one needs to apply to anyone. No one or any organization can decide who can join and who cannot join. The business model of DAO must have two value markers: one is NFT and the other is Token.

NFT is a certification tool for DAO. NFT is used to prove the behavior records, contribution records, and ability records of members in DAO, and of course it is also used as a record of property rights. After these records are recorded, DAO will issue Tokens to provide economic incentives for these behaviors. Token is the economic incentive model of DAO. Due to its sharing and standardization, Became an exchange for all DAO value. Therefore, the business model of the entire DAO should say play NFT to The business model of earn Token.