Despite the widely publicized breach of The DAO (decentralized autonomous organization) in 2016, today’s leading experts in the crypto markets still point to the overall DAO model as being a central pillar for the evolution of blockchain financial and data management.

One notable pundit- crypto investor Tekin Salimi- emphasizes that the key to secure blockchain transactions is the establishment of a permanent record and the elimination for need for any central governing authority, which is precisely what the DAO model offers.

To add more color, Salimi eludicates “Gas prices and scalability concerns on Ethereum today are bottlenecks that have led many project founders to consider launching DAOs on other platforms. Polkadot is a great example of a platform that stands to win DAO market share. Through utilizing Parity’s Substrate framework, a project founder can now launch a DAO chain that is natively interoperable with all other Substrate-based blockchains. This DAO chain can also participate in Polkadot’s parachain auctions to become an elected parachain and effectively piggy-back off of Polkadot’s consensus security. The value proposition of a platform like Polkadot is through reducing the surface area of issues that a DAO founder needs to worry about, so the founder can focus fundamentally on building a valuable economic model for the DAO’s tokenholders.

Polkadot- as cited by Salimi- is a blockchain platform that connects private and consortium chains, public and permissionless networks, oracles, and future technologies that have not been created yet in a single, cohesive, and interoperable system. Polkadot enables different independent blockchains to seamlessly swap data and transactions, in a trustless way, through “parachains”, with each individual parachain utilizing the security of the Polkadot relay chain.

Polkadot is just one such platform that can support the launch of a variety of different DAOs. DAO’s can be launched on different platforms and ultilized for a large variety of different applications, collectively helping to wean today’s financial markets off dependency of central authorities.

LA Weekly