Written by: Mitch
What is a DAO?
Web 3.0 has sparked a new world of innovative projects and ideas. One of the more interesting ones is the DAO. A Decentralized Autonomous Organization, or DAO for short, is a business that is automated by a smart contract(s) to streamline all processes. Further, they are member-owned, trustless, transparent, and 100% verifiable by anyone.
As the DAO landscape continues to grow, original use cases for them will emerge. One particular demonstration is the Venture DAO. To understand Venture DAOs, it is useful to look back at the history of Venture Capital (VC).
History of Venture Capital:
The concept of VC has been around for a while. For those that may not know, VC involves financing startups, early stage, and emerging companies with high growth potential. In 1946, the first self-proclaimed VC firm was the American Research & Development Corporation, but the space did not emerge until personal computing came along in the ’70s. Since then, VC has worked mostly the same way. A ton of capital is pooled into centralized funds that deploy the capital to support high-growth startups. The model is archaic and in need of change to fit modern practices. In comes the Venture DAO.
What are Venture DAO’s?
Venture DAOs: decentralized entities that pool capital and invest in different areas of crypto. The value-add with Venture DAOs, over traditional VCs, is that more people can invest in early stage deals. In effect, those who commit their capital have a say in what projects the DAO invests in. This is a significant upgrade from the traditional model. It is about the wisdom of the crowds, not the wisdom of the few.
There are many examples of Venture DAO’s but some of the more prominent ones are highlighted in the image above. A lot of the Venture DAOs focus on pooling capital, investing in projects, and sharing in the proceeds from the investments, i.e. The LAO, Flamingo DAO. Others have investment funds but also bring together creators to help build Dapps, i.e. MetaCartel, Alliance DAO. But most Venture DAOs solely concentrate on investing capital into projects - exactly what a lot of traditional VC firms do.
Web 3.0 is missing Venture DAOs whose sole purpose is to build the next suite of innovative products. The sizeable sums of capital being deployed in crypto are forcing people to lose sight of building important projects. This is an apparent problem that needs to be addressed.
***What is New Order? ***
New Order is a community-led Venture DAO concentrated on incubating DeFi projects. New Order builds valuable projects that have a real purpose in DeFi. The organization is composed of hardworking, mission-driven individuals focused solely on one objective - making DeFi the norm in each of our lives. To execute on this goal, a core team was assembled consisting of software developers, DeFi strategists, Marketers, Designers, and Business Developers - mostly all having been in DeFi from its inception.
The business model of the DAO is comparable to the business model of an incubator (e.g. YCombinator). Through strategic incubation and acceleration, New Order aims to launch 20-30 projects per year and route a token allocation from these projects directly back into the DAO. On top of receiving token supply, the treasury is managed through various DeFi strategies to optimize returns and further diversify. New Order DAO aims to become the ‘DAO of choice’ for joint ventures and launches alongside other communities.
New Order is different from other Venture DAO’s as its focus is entirely on building, not deploying capital. By taking this approach, New Order is positioned at the forefront of the DeFi space, meaning an endless amount of project opportunities are at its disposal. From this large supply of opportunities, the DAO chooses only those that have the potential to make a tangible impact in DeFi. Along with the DAO’s advantageous positioning, the core team pushes the boundaries of what’s possible when it comes to building products. The creative collaboration amongst the team members ensures the incubated projects are cutting-edge, and never lagging behind. This is why New Order will win in the long-run over other DeFi innovators.
New Order Incubated Projects
[REDACTED] Cartel
On December 15, 2021 [REDACTED] launched as a first of its kind decentralized voting alliance that combines proven tokenomic designs from protocols like Olympus DAO with Curve and Convex to create an innovative new model that increases the value, traction, and adoption of all three ecosystems. The protocol is experiencing a tremendous amount of success and positioned itself as a staple project in DeFi. Some of the milestones include raising $73m at TGE, acquiring Votemak, and announcing the Hidden Hand Marketplace.
H2O
H2O is the first stable asset backed by the OCEAN token and next-generation data tokens within the OCEAN ecosystem - serving as a medium of exchange and unit of account in this ecosystem. H2O partnered with Ocean and Reflexer to make this a valuable project for the DeFi ecosystem. The scheduled launch date is February 28, 2022.
OptyFi
The OptyFi Protocol provides simplified access to optimized yield across DeFi. The Protocol evaluates thousands of yield strategies across hundreds of liquidity pools, dozens of protocols, and multiple blockchains. It is the most capital-efficient yield aggregator in DeFi.
Note: If you want to contribute to New Order please follow our social media and introduce yourself in Discord.