The Next Big Thing in Crypto is DAOs

An beginner’s guide to DAOs (and their explosive growth)

Vitalik Buterin — founder of Ethereum

What do these situations have in common?

• student-athletes not getting paid
• Facebook disregarding privacy concerns
• banks paying no interest on checking accounts

For starters, all of these situations are not fair.

And all of these situations involve a rent-seeking middleman — the university, the corporation, the banks — keeping all the value that its customers generate for itself.

Facebook wouldn’t make money if you didn’t post anything. Universities would remain unknown if it weren’t for their football programs. Banks wouldn’t earn interest if they couldn’t loan out the money from your checking account.

These institutions are worth billions of dollars, accruing value from its constituents’ work. Yet it doesn’t gets distributed out to the people — the people who make them possible.

And to add insult to injury, if you complain to these centralized entities, they have the power to ban you. Censor…