The Future of DAOs: Understanding Collaborative Networks – Matan Field

so yeah so I'll speak a little bit about well douse but really a simpler the simplest version of douse which I would like to call collaborative networks and it may be more friendly name for them that just call them Commons I want to say that a lot of my thinking well I was inspired by many people but this specific talk a lot of all of this thinking is by grief green that is maybe somewhere here so I'm gonna say that ok so let me let me start with a question who in the audience thinks that capitalism is just perfect as is nothing to be changed and let's just continue rolling the same direction please raise your hand I'm not ok great thank you and just to make sure that you're not totally sleeping who thinks that some change may be capitalism is great but some change needs to be implemented please raise your hand ok so half of you is sleeping but that's still we have a majority I I'll tell you what I think so I think that capitalism is is amazingly simple and yet effective acknowledging it's so simple at any school child can understand that right people they have needs and they are willing to pay money to get their needs so to get good product services anything that they capture as being good now those that willing is creating a business opportunity for new ventures to emerge satisfies and satisfies those willings and offer goods right and to outcomes comes out of that one is that there is constant creation of goods of good things as people perceive them and secondly those who are involved in those ventures they make money and they can use that money to purchase more goods so we have this incredibly simple cycles that contest constantly spills out spits out good things what a good coordination mechanism indeed now one thing to observe if you look at the typical benefit distribution of such a venture of this cycle typically there will be a few very large beneficiaries right and many many many small ones now that's clear because those the few large beneficiaries are those who are taking most of the risk and the effort so it makes a lot of sense that there are large beneficiaries it's making a lot of sense to reward them right and also it's good incentive incentivize people to take risk and make effort which is a good thing in fact in actual benefit distribution there is also negative beneficiaries so if you are building a very large total building you are probably blocking my view so I'm harmed by this venture so there are negative in fisheries but you know what never mind put them aside secondly these distributions they have artifacts I think we fill them in empty it's a whole nother talk to explain the failure modes of those distributions but even even put that aside let's just that let's just assume that this exhibition just fine as they are okay still there are definitely not representing the whole space of distributions definitely there are dispersion just like that right I would call them Democratic benefit distributions causes ventures right causes achievement Society achievements such that from which everyone kind of benefit the same kind of benefit a little bit right we have plenty of those all over the place all around us and we call them public goods public Commons I'm not sure if that's the right title and why don't we see more of this like why there are more rare than the centralized distributions it's obvious because there is no one person has the incentive to pull them off so in the game theory aspect of things we will just see less of those and more of those but not because they are worse just because there is no good incentive how could we fix that rig so States municipalities and NGOs have been engineered basically to take care of public or democratic distributions benefit distributions right but unfortunately two things one states municipalities and NGOs as you all know are way less effective than the free market ventures and for the same reason because there is no one person or five people that have really strong incentive to make it work that's one secondly there because of their centralization with respect to the market they are highly highly manipulative and corruptible and in fact you all know corrupted right so these are two problems so how could you fix that I'm saying we could fix that if we had a machinery to produce those democratic distributions such that everyone benefit a little and the same time everyone contribute a little now of course the problem is that if everyone or a lot of people's are contributing a little bit we are opening a coordination problem right so now we have million contributions little contributions we need organizational principle and no kind of organizational principle to aggregate all those contributions into a meaningful action and that's what dowse about but I would call them collaborative networks because cool optic networks are a simpler version of those that can aggregate millions of actions of real people not professional not engineers just mean you into meaningful action so these would be quality networks or just commons so what's missing is the coordination tool for the commons and that's what i want to present you and an app a simple app that is called the and I'll show you that through an example so Danielle he is a young guy he just graduated from his bachelor's degree in computer science if you wanna if you want to know and he always dreamed to meet the jungles so we always dream to reach the roots of the Amazon so after Bachelor he he saved some money he buys a one-way ticket and he gets on a plane so in there in Lima Peru he finds a tourist guide which takes him to the primary jungle so the primary jungle is where the trees have never been cut before at the level of livelihood there is much more than anything we are we are experiencing today so in that lively environment he's so he feels such an experience with nature that he has a decision at that moment that he's gonna dedicate effort to save the Amazon rainforest great he goes back to the hostel in Lima he thinks himself what can I do if I could just buy it all I would protect that but clearly I don't have the money well surely people have thought that before right so he opens his Facebook account and and look for you know corresponding groups he indeed find four different save the Amazon rainforest exclamation mark groups and he enters all of them and there he finds quite inspiring thing he finds many thousands of people who share the same passion as he and lively discussions and ideation and excitement but none of those groups really trigger any meaningful action they just can't so he's frustrated he write to a friend to his friend his best friend which tells him you thought there is just this app is no up called the common app which is just for that it to say it served to self-organize movement around shared causes so we quickly download that app launch it and open an open account and browse in inside for example he finds the free Hong Kong movement so it or Commons it's a 25,000 people movement that just raised donations of 1 million dollars you find a group of about thousand people that promoting vegan dishes in Tel Aviv and he found this insane meetups and events network that is called thaw fest so he looks inside the vegan TLV to find out which kind of actions you know they can they can trigger so for example one one proposal he's just gonna pass in a few hours he Amanda is she's proposing to allow all restaurants in Tel Aviv that have at least ten vegan dishes in their menu to post advertisement freely on this group homepage that's very that's very powerful it find another proposal to promote Facebook in facebook campaign to promote this group and grow it further he finds a proposal to fund a vegan night by a famous chef and so on so forth so as you can feel Daniel starts to develop his own appetite so in just two minutes just two minutes he clicks in it wouldn't and few clicks of a button he opens the Amazon Network he picks the slogan if you want to save the Amazon own it he chooses ten dollars to be the minimal donation membership fee so if you want to be part of that group you need to donate $10 and he also chooses $5,000 to be the first funding goal only after which the common can use the funds and just before going to sleep is just quickly sharing a link of that app and specifically damage the network to all of those Facebook groups that he joined before and his friends and he goes to sleep and early in the morning he finds out that 97 new members have just joined the app sorry just joined the Amazon Network but which also means that they've just raised their first thousand dollars amazing it happens that one of those people was Jake and he opens the app he gets he opens the Amazon Network he gets this big button request to join he just clicks it and by Daddy first $10 to the common conditionally and then people vote on his membership he's being folded up and after a couple of hours he's a member and the $10 is donated to the common now Jake he's a very successful blog blogger he has more than 3000 followers so I quickly write a blog post saying about this new amazing tool and this inside like incredible network that is just growing up rapidly and is also posting a quick post in the app telling about that blog posting medium and a few hours later in the evening there are 624 new members in the Amazon Network which is great because it means that if just reached their funding goal of $5,000 and it can just use the app which is great because Michelle that follows Jake she has a marketing agency and she just offered in two minutes she offers you know what I'll just make a Facebook campaign and that will be fun that we for $200 to grow further the group so Daniel is very excited about that he uploads that proposal and he's happy to discover just a few hours later that the proposal got approved the $200 automatic glow goes to Michelle she started campaign and it goes on and on I think you get the gist in just a few weeks the Amazon Network grows to sixty four thousand members raised about a million of dollars and also the first proposal comes up to start purchase lands in the Amazon to protect from the first station three months after Danielle's celebrating a post in the Amazon Network describing all of the achievements of that common in particularly purchasing significant portion of lands in Peru Brazil Ecuador and Bolivia now all of this started just with Daniel's journey to the Amazon and the passion that he encountered there for certain cause but also with connecting with the same passion see that in many many thousand others with a very simple tool for coordination funding and pursuing that cause so this was just one example and you can now think of many many others it can be global ones or it can be a local ones for example it could be local festivals organized by by thousands of people's event networks political campaigns corporate fight against local pollution it can be people just planting forest together or funding parks it can be large purchasing group to think 1 million people making a purchase group and then going together to a seller company to get a better deal wouldn't they get it growing awareness marketing open open projects education networks content and really what not and the common denominator of those doubts or cloudy networks is that one they are simple simple action simple to engage with little dependency between different decisions they are very large-scale so they start from hundreds but they can really range to millions once you this once you design the set up to be very very simple there is actually no limit of the size of these organizations of the Commons it's designed for mainstream it's not for furnish market not for professional market is designed for anyone here in the audience and the other audiences and it's designed to be social because movement although they have purpose they are largely social of people who want to be part of something bigger than them but really be part of that not not be exploited and connecting with people so maybe here I posed for two minutes and I want to ask sincerely like really honest who thinks right now and it's firm it's just like a user research right who thinks that they would use this app or waiting for that app to load to be launched to use it in let's say three months who'd use it amazing thank you very much who is anyone is willing to share what will be your common anyone one yes please you have a microphone just next to your fight against gerrymandering okay I'm from Israel I don't understand that but thank you nevertheless honesty anyone else what I want to say what's their cause what's their common day they will found I actually have a question yeah how do you control the use of the funds is there some mechanism in it how you look good can you could repeat that can you repeat how do you control the use of the funds once the fundraising is done oh so so so the funds are held by a collective wallet on the on the theorem blockchain and anyone any member in that common can make any proposal to use of that fund and they should probably follow up if there's every such common has an agenda which is also agreed by the people can continuously change and voted for and you can make a proposal to support that agenda right and then anyone in the common can vote about the proposal and once there is there is certain governance rules decision rules which I'm not getting to but if you maybe you heard about this thing called holographic consensus it gets their base it allows the comments make fast decisions with with little will of number of voters but which still reflects the bigger majority to that whole graphic consensus and then once something is approved though if the funds just automatically goes to the proposer or or actually whoever beneficiary he was proposing to manage those funds any other question okay so I'll just move on almost done hmm so actually the story about Daniel is based on everyone so this is nany meet noni noni is a good friend of mine and about 15 years ago he went to the Amazon and he had just that moment in the primary jungle he experienced such a level of livelihood that at that moment he decided his day literally briquetting dedicating his life to save the rainforest and he did over a decade he lived in Costa Rica he the biggest ecological movement in Costa Rica and he educated more than 100,000 kids in there and created really a global movement the problem though is that there are not enough known is let's face that there are not enough people their passion of which is so strong that they are willing to put everything else in life including family and dedicated laughs their life to a cause and Daniel in three months could achieve the same level of impact and more just by connecting his little passion with the little passion of many many other thousands and with a simple coordination tool the common which brings really back the power to the Commons so let me let me end here thank you one more comment not related if you are a dialog hacker probably you're hacking but nevertheless if you are doused art hacker and you're not hacking then please know that at 2 p.m. 2 p.m. at the workshop space floor 4.

5 everyone getting together to ask question resolved issues and so on any questions ok so thank you very much [Music] you