DAO DAO is going interchain for the benefit of Juno and all DAOkind.
DAOs are the future, and they are needed everywhere. This is the moment for DAO DAO to establish itself at the heart of Interchain Governance.
In this blog post, we’ll explore our strategy moving forward, and how we can bring the most value to DAO stakeholders and the Interchain as a whole.
Why Interchain Apps?
The Master sees things as they are,
without trying to control them.
She lets them go their own way,
and resides at the center of the circle.
The way things are:
- Ideas will be copied to other chains
- Open source code will be forked
- Blockspace is plentiful
- Attention, community, and contributors are scarce
How do we maximize value in such an environment? Trying to limit a protocol to one chain is like trying to hold water in cupped hands. It will leak.
We’ve already witnessed forks of our contracts and user interface. It’s only a matter of time before each prominent chain has its own version. What if, instead of resisting this tide, we deploy DAO DAO ourselves? Everywhere.
Why not an app chain? A DAO DAO chain?
The reality is: chains inherently desire autonomy when it comes to DAO tooling. They need governance tools that empower self-regulation, devoid of concerns about the governance of other chains.
Moreover, as network effects made valuable web2 apps, so too will they make valuable protocols in the Internet of Blockchains. A protocol deployed over hundreds of chains will capture more value and get more usage than one deployed on just one.
DAO DAO has the opportunity to lead DAO tooling in the Interchain era, and we don’t plan on letting the opportunity slip through our fingers.
Juno and DAO DAO: A Strategic Partnership
Where does Juno fit into this strategy? As the home of DAO DAO, Juno plays an instrumental role. Revenue generated from other chains will be channeled to the DAO on Juno, marking it as a hub for Interchain Protocols. The center of the circle.
As Juno is the largest holder of $DAO, what’s good for DAO DAO also in turn benefits Juno. As the Interchain Incubator, its goal is to incubate valuable protocols, and we aim to do what makes our protocol most valuable.
The best way to capture the most value is to be Interchain.
This strategy also means the burden of funding DAO DAO will not fall on Juno entirely. This reduces downward price pressure on $JUNO: with other chains supporting development, our contributors and DAO won’t need to sell Juno to sustain themselves.
Juno is our home. New features will be implemented on Juno first, battle-tested, and then deployed on other chains that are DAO DAO members and contributors.
Revenue Streams and Sustainable Growth
Real yield will drive the next market cycle. Details on how we’ll be generating $DAO revenue will be shared in the coming months and we welcome input and ideas from the community.
Currently, our revenue generation model includes:
1. Fees: DAO DAO leverages referrer fees wherever applicable. For instance, on Wynd DEX, token swaps involve a referrer fee designed to encourage wallets and other User Interfaces (like DAO tooling) to integrate with Wynd. We aim to capitalize on such referrer fees across all available platforms.
2. DAO-run validators: We proudly operate the #3 ranked validator on Juno. Leveraging upcoming ICA features (via Polytone), we plan to extend our validator operations across numerous chains. All rewards generated are directed back to the DAO DAO DAO on Juno.
3. Token swaps: DAO DAO will swap $DAO tokens with the tokens of other DAOs, inclusive of those established by our members. These token exchanges may not always be conducted at the current market price: negotiated swaps could work favorably for DAO DAO, contingent upon the development stage of the partnering project. We plan to leverage these tokens for staking as well as for DAO-owned Liquidity in DeFi.
As we explore and establish additional revenue streams, we aim to make DAO DAO sustainable and profitable while respecting the DAOs that use our tooling.
Initially, we aim to channel revenue toward fueling development and growth. Our long-term vision is to share revenue with DAO stakers. This mechanism will be controlled by $DAO governance.
In addition to these revenue streams, we are soliciting grants to sustain us while we build out the full DAO DAO revenue models.
Chains: put your hand up and identify yourself as a prospective DAO DAO integrator. What is a pain that you’re experiencing that we can resolve? What are some benefits of having DAO DAO natively on your chain?
Find us on Discord or Twitter and let us know.
The Interchain Future
This is the beginning of a new Interchain Paradigm in crypto. DAO DAO still aims to become a DAO of DAOs — and to build the best DAO tooling in crypto. By going Interchain, we’ll be best equipped to accomplish our mission.
Thanks to Nick, Rarma, and Julius for feedback and help with drafting this article.
