The Ultimate Guide to DAOs: Find Your Home in Web3


Start here for the ultimate guide to DAOs.


By Avalon



August 21, 2022

AUGUST 21, 2022


Last updated October 27, 2022

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Feeling lonely entering Web3? The Violet Verse has the ultimate guide to DAOs to find your home in Web3. Check it out.

It can feel lonely in the new world of Web3, which is why leaders in the space developed communities for users to join. These groups are called DAOs and if you want any sort of chance of making it on the blockchain: listen up and check out our ultimate guide to DAOs!

Decentralized Autonomous Organizations are an effective and safe way to work with like minded folks. Think of DAOs as businesses owned and managed by its users. No shady CEOs or sketchy CFOs, The treasury, decisions, and rules are all transparent on the DAO code. 

In the Violet Verse, our goal is to be as transparent with our community as possible. That’s why we developed the ultimate guide to joining DAOs. 

Start here for the ultimate guide to DAOs.

DAOs work on the backbone of a smart contract. The contract defines the rules of the organization and holds the group’s treasury. Once the contract is live on Ethereum, NEAR, Polygon, or Solana no one can change the rules except by a vote. If anyone tries to do something that’s not covered by the rules and logic in the code, it will fail. 

And because the treasury is defined by the smart contract too that means no one can spend the money without the group’s approval either. This means that DAOs don’t need a central authority. 

Instead the group makes decisions collectively and payments are authorized automatically when votes pass. This is possible because smart contracts are tamper-proof once they go live on Ethereum. You can’t just edit the code (the DAOs rules) without people noticing because everything is public

One of the many benefits of joining a DAO is the security. In an average business deal, customers can find it hard to do business with strangers. But in a DAO, because the code is visible to everyone, you know exactly what you’re getting into. Though not only you, everyone in the community can hold each other responsible. DAOs are innovative because this transparency opens so many opportunities for global collaboration and coordination. 

What are DAOs used for?

Some examples of how you can use a DAO vary. The first example is for a charity. Users from around the world can get together to raise money for a good cause. Together, the community decides where to donate the money. However, on the flip side, some of us are trying to make money, not donate it. 

Which is why a freelancer network is another great use of a DAO. Independent Contractors pool their funds for office spaces and software venture grants. This is a huge advantage for freelancers because it works as a ‘double whammy’ for networking and financial benefits. Additionally, DAOs are great for ventures and grants. 

Become the venture capitalist you always knew you could be! Venture DAOs invest capital and votes into potentially successful projects. Earnings are then re-distributed amongst the DAO’s members who invested. 

There are different types of models that DAOs work on. Memberships are a popular model for these organizations to adopt. Membership can determine how voting works and other key parts of the DAO. Usually fully permissionless, depending on the token used. 

One type of membership is based on Social Tokens.Mostly these governance tokens can be traded permissionless on a decentralized exchange. Others must be earned through providing liquidity or some other ‘proof-of-work’. Either way, simply holding the token grants access to voting.

But which one do I join?

Ok, but the question you came here to answer still hasn’t been answered? How in the Violet Verse do I decide on which DAOs to join? Well, while we want to encourage our readers to follow their heart into Web3, we’re happy to give a hand to get you to your feet. 

Check out the rest of our ultimate guide to DAOs to start in your exploration.  

Bankless DAO

Web3 is an incredible space with an even greater attitude. Communities in Web3 value supportive and engaging users. Take Bankless DAO for example. 

The decentralized autonomous organization has one mission in mind, help the world. This community is, “focused on driving adoption and awareness of bankless money systems like Ethereum, Bitcoin and DeFi.” 

Additionally, Bankless DAO aims to help people around the globe by creating approachable onramps for the world to discover and engage with decentralized financial technologies through education, media, and culture. But why is this important for society?

Because Bankless DAO believes in a future where anyone with an internet connection has access to the financial tools needed to achieve financial independence.

There are several ways to join Bankless DAO as stated in its Discord.To join as a full member you will need 35,000 BANK. BANK is the DAO’s, “native governance token which coordinates activity and gets distributed to community members for active participation in this movement.” What’s important to note about BANK is the fact that it has no financial value and represents a user’s contribution to the community. You can buy BANK on a few exchanges listed in the DAO’s “dao-start-here” Discord channel. Users obtain BANK by either buying it or earning it. Some of the Bankless DAO users are changing the game.

One of our favorite figures in the NFT space is in Bankless DAO, Tam Gryn, author of “How to Create and Sell NFT.” Currently, Gryn’s career objective is to empower artists to confidently enter the space to seize the rights to their intellectual property. 

If empowering others sounds like something that gets you going, then continue reading our guide to DAOs. 

Dream DAO

Dream DAO is another community that should capture your attention. A community that creates civic innovators called Civics Unplugged runs a DAO called Dream DAO. 

To be purposely ‘punny,’ Dream DAO does sound like a complete dream! We love this group because its goal is to, “train and fund regen-minded Gen Z leaders around the world to explore Web3 and harness its power to build a solar punk future. 

Basically you join to learn how to become a Web3 blockchain boss bitch. 

Launched in January 2022, Dream DAO has already garnered a substantial community to learn from. When you join, you are put in one of two positions: builders (a.k.a. newbs) and champions (people who know what they’re doing).

And that’s where a user’s journey begins! Soon weekly learning seminars, a Web3 mentor, and a warm introduction to other pillars in this space. 

Korii DAO

One DAO in development we’re wicked excited for is the Korii DAO. This community’s purpose is to help build and launch NFT collections, P2E games and other web3 creative projects through storytelling, community engagement and organic following. 

Sure, cryptocurrency is important, but NFTs are just as important. Like Tam Gryn, the ultimate vision is to evolve into the leading go-to space for creators and DAOs to launch an NFT project. “We aim to accelerate the crypto renaissance by connecting DAOs with artists and creators.”

Check out more here

Web3 can be an overwhelming place, it is the third version of the internet after all; but that doesn’t mean you need to be overwhelmed. This is where the value of a DAO comes in. 

As your guiding hand into the Violet Verse, it's our duty to not lead you astray. If there is one takeaway from learning about DAOs, it is to join a DAO that matches what you’re passionate about. 

These communities are there to help you thrive - so while we may be offering a guide to DAOs - explore, engage, fail, and start fresh when it comes to finding your home in Web3. 

**Disclaimer: Nothing on the Verse should be taken as financial advice. Please do your own research. $VV utility reflects engagement on the protocol, accessing token-gated content and community events.


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