A DAO (or a common) is a coordination of large number of people around a shared purpose. It relies on engagement, alignment and coordination. To align on a joint action, the DAO needs to constantly make decisions — the atomic many-to-one interaction in the DAO. DAO activity is composed of many individual contributions — the atomic one-to-many interaction in the DAO. Spontaneous coordination of efforts requires composable, purpose-driven structure. And finally, a DAO needs motivating contributions, generally with an inherent economy.

A general DAO framework thus includes these four pillars:

  1. A DAO governance framework.
  2. A DAO contribution framework.
  3. A DAO holarchic structure.
  4. And DAO economy, or tokenomic.