Innovations in Web3.0 Governance Mechanisms from the Perspective of Decentralization by Governor DAO

Author: Bing venture

The open-source community has proven to be the foundation of community governance and coordination paradigms. Governor DAO uses cryptographic tools to improve upon previous DAO systems, broadly enhancing token holder participation through decentralized governance. Governor DAO addresses the issue of participant apathy by continuously iterating on governance rules and frameworks.

Source: DeepDAO

The effectiveness of governance is the core value in tracking community value. Governor DAO ensures governance effectiveness and intrinsic community value by maximizing incentives for all active participants and providing seamless integration of "governance as a service" (GaaS). Intrinsic community value (ICV) is the value that members gain within the community through information sharing and collaboration. This value often represents the first claim to information and exclusive access.

Crucially, information should be provided collectively by the community, rather than being monopolized by a few individuals.

What Role Does Decentralization Play?

In fact, the success of decentralized governance is largely attributed to the maturity of blockchain technology and innovations in DeFi mechanisms. While members within an organization can have some control over their information rights, the content they produce often amounts to a pile of data without a unified collaborative medium or a well-developed trading market. Even more concerning is that some malicious entities (including governments that can be more frightening than certain large corporations) are attempting to seize people's power over information.

Decentralization is ensuring that the value of DAO governance tokens continues to increase. I believe we are still in the early stages of decentralized governance. Decentralization and meta-governance ensure that the bridges we build in the DAO ecosystem can operate in sync, establishing a highly free and healthy cryptocurrency ecosystem.

GaaS for End Users

Governor DAO is a blockchain project whose core value revolves around governance as a service (GaaS) and deploying DAOs within enterprises or projects. Governor DAO guides third-party projects through GaaS for initial liquidity expansion and revenue generation. GaaS can further evolve into a more comprehensive form of Unrug-as-a-Service. Ultimately, governance as a service is a mature decentralization program. Governor DAO leverages this high-participation community governance model to ensure a flexible collaborative infrastructure for user freedom.

Source: DeepDAO

The self-sustaining community operation model minimizes trust in the Governor DAO governance network and provides ample competitiveness for sustainable development processes. Governor DAO clearly practices the principles of decentralization. From the initial launch to full decentralization, ultimately, GDAO token holders will have complete ownership and control over the treasury. Governance power and influence will continue to be distributed within the project. All funds raised and revenues generated by the DAO will be allocated to the treasury. The funds in the Governor DAO treasury will be used to support project development and the Governor DAO ecosystem.

From a technical perspective, improving the infrastructure and tools of Governor DAO is crucial, while embracing the metaverse and reducing coordination bottlenecks between contributors and teams. In the future, if Governor DAO further optimizes the developer ecosystem and incentivizes more lightweight applications, it will attract a broader contributor base and operate as a new type of open-source project built, managed, and funded on the blockchain.

Financial Value Flow of the DAO

The governance effectiveness of Governor DAO has a more direct value aspect—capital flow. These capital flows can be direct (in the form of dividends) or indirect (as token buybacks), allowing GDAO tokens to be valued using traditional discounted cash flow methods. Additionally, a popular mechanism for increasing token value is to provide products and services (or at discounted prices) specifically to token holders. Exclusive services are particularly important for governance effectiveness, such as providing consulting services for token holders.

GDAO tokens grant voting rights and ownership of the treasury within the DAO. Voting privileges extend to all governance matters within the DAO. Furthermore, GDAO token holders can use their tokens as proxy voters on any third-party governance issues. Currently, the treasury holds governance tokens, including AAVE, SNX, UNI, and YFI.

Source: governordao.org

Governor DAO combines the development of financial tools with community governance. The community can more easily set economic terms that balance member interests. By leveraging the governance functions of GDAO tokens, the value of all internal matters and their flows can be reflected in digital assets, thereby forming an open free market and achieving long-tail value.

DeFi assets and tools play a role in real-time price discovery, unlocking potential value on the internet that has yet to be realized. If Governor DAO can further improve the DAO services stack, allowing members to collectively govern and develop open-source projects more flexibly without frequently seeking external resources and tools to generate ideas, the benefits of public ownership governance in this virtual open-source network will become even more apparent.

Assetized Interactive Network Value

Social capital theory posits that capital can bring about value appreciation. Social capital can only be maintained, accumulated, and developed through social interactions. "Socialized currency" transforms social capital into cash. Socialized tokens facilitate frictionless interactions among users within the DAO community. This highlights the necessity of a decentralized collaborative economy.

Social Monetization of the DAO

Community tokens are typically centered around the community rather than individuals, used to manage access and participation within the community. In the practice of Governor DAO, future governance treasury contracts will provide more control and administrative responsibilities. Ultimately, all administrative multisignature wallets will be fully controlled by the governance treasury.

Source: governordao.org

Governor token holders possess their own Governor treasury and the income generated, but ownership links need to be formalized so that token holders can use them according to their best judgment. Additionally, the GDAO governance treasury can achieve formal ownership of project funds and the ability to share profits in a more nuanced manner, such as repurchasing GDAO tokens for governance treasury participants. With this economic foundation, Governor DAO can create a healthy and sustainable social base for maintainers, contributors, and community members, effectively incentivizing community cohesion and identity.

In short, the overall function of the Governor DAO token is to make users a part of the governance of the social network. Network members maintain management control over all governance based on the Governor DAO treasury. Therefore, the primary task of the treasury is to support the development and growth of collective community infrastructure that can be used for further decentralized projects.

Mining More POE Value

One major characteristic that distinguishes humans from AI is social attributes. Humans are social animals that form social connections with those around them. Therefore, Proof of Existence leverages this characteristic by verifying through human biological traits. Proof of existence is an innovative solution in terms of Sybil resistance, addressing the question, "How do I design a unique off-chain identity recognition system for each user if I cannot audit the accounts?"

Governor DAO collaborates with the biometric company Finnovant to create a portal for Ethereum wallet biometric authentication. Users enter the portal using a web3-connected wallet and input facial and voice parameters. I believe this solution represents the right direction for identifiers in Web 3.0. Fortunately, Governor DAO has taken the first step in this direction.

Source: governordao.org

Both off-chain and on-chain identities are equally important, as they are core data for perfecting decentralization mechanisms. Governor DAO should strive to exercise more imagination in off-chain identity governance in Web 3.0. This means that there is still significant room for innovative mechanisms in DAO governance and DID solutions. In fact, I would love to see Governor DAO collaborate with projects like BrightID, Proof Of Humanity, Everest, iden3, and Idena. These collaborations are expected to further enhance the freedom and flexibility of Governor DAO, thereby enriching the data treasury inherent in the GaaS mechanism.

We believe that decentralization is the most important factor influencing the value of governance effectiveness, but it cannot be measured directly, much like brand equity in traditional finance. However, projects like Governor DAO are financializing and metaversing decentralization mechanisms, introducing Proof of Existence, and ultimately forming a MetaFi governance model that allows for governance while earning.

Through the financialization of power, platforms can effectively quantify the value of participants' outcomes. Through Proof of Existence, Governor DAO will return all value generated during the development process back to the community, fully mobilizing community enthusiasm. Governor DAO provides a new perspective on decentralization by quantifying social incentives, combining comprehensive data collection entry points with incentives for different levels of participants, and facilitating value transformation and lightweight social application innovation within Governor DAO, which is worth paying attention to.