With the increasing adoption of Web3 technology, companies with traditional top-down pyramid structures are gradually evolving into new types of organizational relationships with bottom-up DAOs. This new type of organizational relationship can greatly improve the subjective initiative of individuals, tap the multi-faceted potential of individuals, further liberate productivity and accelerate our communication efficiency.To fully understand how this relationship is built the bottom-up governance of such DAO as MoonDAO needs to be examined in contrast to how traditional LLCs operate.

MoonDAO is a consortium of space enthusiasts, crypto investors and DAO builders that was formed by Pablo Moncada and Kori Rogers in November 2021. Its primary objective is to decentralize access to space by funding space travel and exploration in a Web3 way.

Advantages of DAOs (ie MOONDAO)

It gives members governance rights

A unit of $Mooney equals a bundle of voting power which is required in the governance of MoonDAO. Holding $Mooney implies that one has a stake in the affairs of MoonDAO by voting on proposals and it increases the incentive to transition from working in traditional companies to joining a DAO’s work force.

It stimulates passion

The applicability of blockchain technology through DAOs can reduce the credit cost. Traditional enterprises have cumbersome processes to ensure the compliance of economic transactions, whereas DAOs, based on blockchain technology and web3 tools, liberates project members from the process and puts more energy into the value creation and value output of project construction.

By peer-to-peer working mode, people can have a great freedom to work, whether in space and time. It arouses the interest of team members in the project, and stimulates their initiative of work and study.

It promotes democratic mode of decision making

Of course, decentralization means a wider public participation in governance and discussion of matters. To a certain extent, it will bring about inefficiency. MoonDAO has effectively explored how to balance efficiency and democracy.

We have realized over time that having the whole community weigh in on small decisions has become a recurring bottleneck for MoonDAO. In an effort to accelerate the execution speed of our DAO, we have developed a method for allowing the DAO to trust certain individuals to work on properly scoped-out, non-perpetual, goal-based projects such that they have their own access to funds via a multi-signature wallet.

The proposal also includes rules and guidelines for how to work in a transparent and auditable way, how compensation will work for those teams, and how the community can voice their comments or concerns with the project team.

We believe that this step forward will increase the speed at which the DAO can operate, with the added benefit of increasing decentralization, autonomy and organization!

Process

Therefore, we set up the MoonDAO Project. MoonDAO Projects are non-perpetual, goal-based teams that are voted to act as trusted executors on behalf of the DAO to complete a mission. Projects can apply for a budget from the community to complete their goals, and once the mission is completed the team is disbanded.

Phase 1: Preparation

1. Selection of Project Direction

According to the demand in MoonDAO of ourselves or others’ feedback, first find the sore point, and choose the direction of the project.

2. Talent Aggregation

We can gather like-minded members in discord, and use our network resources in reality to invite friends together. Then form a team with a variety of talents and comprehensive abilities.

3. Proposal Writing

The democracy and relative efficiency of DAO is based on Google's online documentations, online sheets and on-chain voting. After Team leads work out all materials like the timeline, OKRs and budgets of the project, it is posted in discord and all members of the community can read and give opinions. And finally summarize to form the final version of the plan file, reducing the cost of consensus

4. Two Votes

There are two votes open to the whole community.

a. The proposal is active for a maximum of 7 days for it to reach a threshold of 30 Discord thumbs up from our DAO members.

b. After meeting the threshold, the proposal will be included in that batch’s weekly snapshot for approval by the DAO and the DAO can vote on the snapshot for it to be passed.

Phase 2:   Implementation

1. Guiding teams

As the team steward, there are two core aspects to consider:

a) Positioning and task assignment of team members. After planning the roles required for the project, community members are naturally a talent pool for every project.

b) Formulate rules and regulations of penalties and rewards to staff rules to follow and create a good management system.

2. Control the Progress

Follow the schedule of timelines and planning matters on the proposal. And by using discord and google doc, the team can easily make meeting agenda, organize a meeting and report timely project progress to the whole community.

3. Public informed

Projects work transparently in the DAO such that anyone in the DAO can audit the work that is being done, and can weigh in if they have questions, comments, or concerns. They will also receive access to the Notion where they can archive documents, meeting notes, etc…

4. Compensation

a) Do project stewards receive any compensation?

Project stewards will be compensated with a $5,000 monthly salary paid in DAI. This salary is only meant to cover living expenses, and is only a portion of the full compensation that may come from Coordinape while they’re leading a project.

Steward pay will be consistent for each project, with a maximum of two leaders per project. If someone is already a leader in a project, they may lead a second project, but they would not receive pay from multiple projects.

b) How do other project members get paid?

Compensation for members on a project will not be included in the budget. Rather, every pay period the DAO will vote for the proportion of incentives that are distributed to each project. Then, inside each project a Coordinape will be created to pay everyone that has helped in that project.

Thoughts & Experiences

Here are some experiences some project leaders and participants have and summarize in the process of the project and if you want to join in this journey, you go ahead with the things above!

Hayrul Music NFT Project－Richard：

After proposing the idea of building KOLs and Hayrul Music NFTs, it quickly gained support from $Mooney holders in the community and quickly formed a team.

In less than a week, singer Hayrul completed the creation of the song, and the community spontaneously donated to help the production and distribution of the song, and the community's connections quickly contacted the Tencent music platform, and the release was successful. Such a rapid organization of resources to execute projects is an advantage that traditional industries do not have, as Team lead saves a lot of communication and coordination costs, and can focus on the development of ideas.

My personal experience about web3 projects construction especially for NFT projects is that enough attention, exposure and visibility are important. In order to bring enough traffic, I conceived to focus on cultivating community members, becoming KOLs, helping the project to continue to drain, and being able to exert efforts in the early, middle and late stages of the entire project, with continuous people, stories, communication and narrative.

Writing Project－CarolW：

I'm editor-in-chief from the writers guild, and I've been involved in both guild and project. In MoonDAO, the guild and project are both independent and related. Each guild also needs to do a project to apply for a project to apply for a salary incentive or funding reimbursement.

The Mirror project is just initiated by the internal discussion of the risks guild in discord - we strongly felt the urgency of the mirror sub-domain name, and it was necessary to build the mirror as a communication base for the project to promote the brand and project ideas. So after planning the general process, writers who were willing to write articles were openly recruited to participate in the creation. Write proposals (including time planning, task division, etc.) and submit them to the community for voting. After the project proposal is adopted, it will be carried out step by step according to the time point, and the division of labor will be cooperated.

Compared to the working mode of traditional companies, I have new experience in the process of organizing and participating in DAO projects.

First of all, it is small and efficient. The project setting time period is no more than one month, and even long-term projects need to be applied for in stages. On the one hand, this is conducive to urging the project to set short-term goals, carry out efficiently in a limited time, and complete small tasks in a short period of time, rather than the traditional company's project settings for a long time, resulting in staff procrastination; on the other hand, MoonDAO's support for small projects is conducive to rapidly promoting the development of matters and efficiently promoting DAO to maturity step by step.

Then there is enough openness and transparency. The initiation of the project, the mid-term work discussion, the phase meeting are fully open and transparent in discord, and the details of the project expenditures for which the funds have been requested will be submitted for review. This greatly reflects the intention of the DAO to decentralize.

(Author: CarolW Richard; Editor-in-chief: CarolW)