DAO was first created by a developer (company) named slock.it from Germany, at that time dao was created to make transactions between the physical world and the blockchain that allows users to rent, sell or share their property without intermediaries. Dao used to be made on the network ethereum, because at that time ethereum was the only smart contract platform that made it possible to create applications on the blockchain.
slock.it made dao for the first time in 2016, at that time they were raising funds to develop The DAO project, at that time slock.it received funding from several investors (companies). Over time, The DAO grew and evolved into a truly decentralized platform. The DAO runs crowdfunding on the ethereum network, and they raised around $150 Million in funding, this being the most controversial crowdfunding.
but in june 2016, DAO was hacked and lost around $50 million (or around 3.6 million ETH at the time). Surprisingly, Slock.it did not disband after being hacked, and the DAO never regained its original status.
What is DAO?
DAO stands for decentralized autonomous organization, which is an organization that consists of a group of people gathered but there is no leader among them, and no other party or company dictates to them. Dao is truly decentralized, because it is built on the blockchain using smart contracts (digital one-of-one agreements).
DAO members usually consist of people from all over the world, usually members buy special tokens (DAO) to enter and vote to vote and determine votes. Basically the dao was made to govern people in different ways.
Every DAO organization has a different vision and mission, whether it’s a single goal or part of some other project, a dao can also be associated with a number of industries or companies. Dao also has another goal which is to run business in a group. An example of a dao you may be familiar with is “MantraDAO”, it is a decentralized financial platform managed by the community, the platform allows users to borrow, stake, lend digital assets.
Create a DAO on the Coinex Smart Chain
To create a DAO on the coinex smart chain network, you can use the xdao site (URL = https://www.xdao.app/), this site allows you to create a dao easily and for free.
1# Create DAO
- Enter https://www.xdao.app/, click launch dapps
- Choose the coinex smart chain network & make sure your wallet already uses the coinex smart chain rpc
- Connect wallet (you can use metamask/wallet connect)
- Select Create DAO
- Enter the dao name and symbol (this will be the crc20 token name and symbol on the coinex smart chain)
- Add a partner, and enter the percentage amount. later the partner will get GT tokens according to the percentage.
- Quorum : determines how many tokens are needed to activate each vote in the DAO. If all GT issued equals 100%, then the 51% quorum will require 51% GT, which is distributed among DAO members.
- Create DAO, after it’s finished, you can check it on the coinex smart chain explorer,
- GT Token : is the governance token of the dao that you created, each partner will get the token according to the percentage that you set. GT tokens cannot be transferred via direct transfer.
2# Create LP Token
- The LP Token will represent finance within the DAO organization, adding to the dao treasury requires the process of printing LP tokens (this is for public or private offerings).
- Click “LP Token” click “Create LP”
- Fill in “LP NAME”, “LP Symbol”, “Title” and “Description of the LP Token”
- Create LP, and confirm in your wallet.
3# Add Member/Partner
You can also add other members/partners and set the GT tokens they will get.
- Click “Members”
- Add member
- You need to know, to add members/partners, you need approval from other members, voting to add these members will be active within 3 days, if during that time there is no approval, then these new members cannot enter the organization.
To add to the treasury, dao members also do a launchpad (private or public), but these members must still have the GT DAO token, if the GT token has been used up, then they cannot launchpad or add LP tokens
Each member has the right to submit a proposal, each proposal submitted by a member needs to be approved by other members, if the approval exceeds the quorum (51%) it means that the proposal is approved.
DAO is a solution to build a transparent, easy and equal organization for every member, no one regulates and no intervention in DAO. good luck