Decentralized autonomous organizations (DAOs) are innovative forms of organizations that have the potential to disrupt traditional models of business and governance. These virtual organizations are built on blockchain technology and are run by smart contracts, allowing for decentralized decision-making and governance. DAOs can provide access to new opportunities, increased transparency and security, community support, and prospective rewards. These are the DAOs you can venture into this year. All four protocols are built on Ethereum Blockchain.
MakerDAO is a DAO that issues a stablecoin called DAI, pegged to the value of the US dollar. MakerDAO incentivizes holders of its native MKR token to govern the system and ensure the stability of DAI. According to a recent announcement, the protocol has made more than $2.8 million in profits from its investments in ETFs and short-term bonds. Within the first week of the year, its trading volume grew from $14 million to $38.6 million. MakerDAO has over $6.2 billion engaged in its smart contracts, making it the DAO with the highest total value locked.
Friends With Benefits
Friends with Benefits (FWB) DAO acts as a decentralized community where members, such as leading Web3 influencers, can engage in various activities, such as investment opportunities and social impact initiatives. FWB DAO’s objective is to promote decentralized collaboration and mutual support among its members. It operates based on the principles of mutual trust, transparency, and inclusiveness, creating a community where users can participate and benefit from shared resources and opportunities. To join the DAO, you must buy at least 75 of its native tokens, FWB, which can be found on DEXes.
Lido Finance is a DAO that provides staking and liquidity solutions for DeFi. Since its launch in December 2020, the organization offers a decentralized platform for staking and liquidity provision, allowing users to earn rewards by participating in the platform’s liquidity pools. The platform also offers a staking program for its native token LDO, allowing holders to earn rewards for supporting the network. From July to August last year, investors who had bought LDO made over 300% in profit even with the ongoing bearish trend. The goal of Lido Finance is to provide an accessible and efficient solution for staking and liquidity provision in DeFi and help drive growth and adoption in the ecosystem.