PhoenixDAO is launching a new generation DAO powered by the PhoenixDAO ecosystem that can potentially set an example for the capabilities of a DAO. It does not rely on any external funding as it will be using revenue generation from it’s flagship dApps and dApp store.
The company has been hinting at the launch of this dApp for some time now and has created hype in its community. The upcoming DAO will have a better reward system and a better governance mechanism and will push the ecosystem towards becoming entirely decentralized.
How does a DAO work?
DAO stands for Decentralized Autonomous Organization which means an organization with no single governing entity. It works with a collective effort from the community and uses smart contracts to execute commands. These smart contracts can be interpreted as community members of an organization such as PhoenixDAO voting for the proposals for the organization’s future.
A DAO promotes autonomy in an organization and helps to combat the shortcomings of a centralized organization. In a central organization, every decision is handled by a single entity that may or may not care for another member’s perspective. However, in a DAO, every governing partner can put forward their proposal for the community to vote on.
The Flagship DAO by PhoenixDAO
PhoenixDAO will soon launch an upgraded version of their existing DAO, potentially changing how the governing works in the ecosystem. It will mean better rewards for the governing members, more efficient transparency, and results.
In the new DAO dApp, users will have to stake a certain amount of tokens to become eligible for voting on existing proposals. However, if a token holder wants to submit their own proposal, they will have to stake a higher amount of PHNX tokens than required for voting.
Voting Process
- All token holders are eligible for voting on proposals if they burn a certain amount of PHNX tokens, as mentioned above.
- Users also have to get their KYC done using Numio’s dApp built on PhoenixDAO’s Identity protocol.
- Every token holder can vote simultaneously on different proposals, but only a single vote per person will count on a single proposal.
- The proposals can be related to marketing proposals, exchange listings, product development, protocol development, and so on.
Reward Structure
The new DAO will mean more rewards for users participating in the governance of the platform. Apart from the 20% APR return on staking PHNX tokens, the token holders will receive an additional 20% leverage for voting.
So, if someone stakes 1,000 tokens, they will receive 200 PHNX as a bonus and 1200 after the staking period ends.
To summarize the PhoenixDAO’s DAO has the following features:
- The DAO will vote on all spending decisions, and the PHNX budget will be posted on the running budget page.
- PhoenixDAO is truly self-sustaining as it does not rely on donations and uses revenue generated from its products.
- Participants who vote in governance will be rewarded with PHNX.
- Anyone can become a part of the DAO as PhoenixDAO has an open framework for participation.
This new model of governance and DAO means more power to the community members and will be significant in the ecosystem’s development. The company will soon announce the release of the flagship DAO dApp and will set an example for all the DAO projects of the crypto ecosystem.
About PhoenixDAO
PhoenixDAO is a decentralized platform that with the latest addition of a revamped DAO dApp, PhoenixDAO will offer the best services possible to its community.
PhoenixDao offers three unique dApps that together creates a robust ecosystem.
- PhoenixDAO
- Staking dApp
- Events dApp
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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