Thread by @PrasoonPratham

You wouldn't believe this, a friend of mine is earning $100k+ a year by writing code for something called a 'DAO'.

They are one of the most interesting applications of blockchain tech in web3 and are being used for a host of different things.

Here's how it works 🧵

🏢'DAOs short for (𝗗ecentralized 𝗔utonomous 𝗢rganizations) are an effective and safe way to work with like-minded folks around the globe.'

- Ethereum.​org

🔺Corporations of today operate with a 'hierarchical' structure so to speak.

The people at the top hold an immense amount of power, which they can use to their own advantage.

Granted there are laws and rules to prevent this, but they aren't always enforced.

There's always room for shady things like insider trading or manipulating the books to happen.

We've seen this happen countless times.

• Enron went bankrupt in 2000 because they had been lying about their profits for years.

• Financial institutions(Leyman, AIG etc) crashed in 2007-08 because the banks gave away housing loans to people that were not eligible for it...

...
• WFC had a big scandal recently where they opened savings and checking accounts on behalf of their clients without their consent.

I could go on and on, you get the point.

The main problems here are a lack of:

A. Transparency
B. Uneven distribution of power

Let's see how DAOs fix this ⬇️

DAOs are owned and managed by its members collectively, there's no CEO, no board of directors, just the people.

Everyone has a say in the decisions of the DAO and every single activity is recorded on the blockchain, which means it is:

• Transparent
• Immutable

These 2 properties allow you to collaborate with basically anyone without having to "trust" them, the DAOs code is 100% transparent and verifiable.

These decisions and activities are done through programs on the blockchain called 'smart contracts', the backbone of a DAO.

Here's how they work👇🏻

https://twitter.com/PrasoonPratham/status/1441742243115765760?s=20

tl;dr a smart contract is a piece of code deployed on the blockchain that does something when a given set of condition(s) are met.

This code is 100% transparent and can be viewed by anyone and immutable ie it cannot changed once deployed on the chain.

The DAO that my friend is writing code to make $100k+/yr is called Gitcoin.

It's a place where you can solve bounties and various other types of tasks to get paid.

I'd highly reccomend you to check it out.

Mind you this is not some "get rich quick" scheme but a great way to monetize your programming skills if you are experienced.

Another cool DAO that I am a part is the @developer_dao , a community of 9000 devs.

Each one us can vote on what decisions the dao takes, really cool stuff!

That is it for this thread, if you're interested in learning about the world of web3, give @PrasoonPratham a follow.

I'm make the complex sh*t simple so that you can be a part of this amazing future.

Stay tuned because wagmi 😎