A lot of commotion has begun generating, specifically around blockchain applications with the emerging developments in distributed ledger systems. Besides decentralized exchanges (DEXs) and decentralized finance (DeFi), decentralized autonomous organizations (DAOs) have become a unique concept that has piqued the attention of software developers worldwide.
In this article, we’ll take a deep dive into DAOs discussing what they are and how we can use them to shape education in the not-so-distant future.
What Are DAOs?
DAOs are decentralized autonomous organizations that are managed by their members and jointly owned. These internet-blended organizations completely eliminate traditional hierarchical management.
The characteristic core of DAOs requires that members work together in coordination according to a standard set of laws encoded on a blockchain. Still, these DAOs can be employed for many functions. For example, DAOs can be utilized with donations, which are approved jointly by the members of charitable organizations.
Four Main Characteristics of DAOs
Because of these four primary characteristics, DAOs can transform eLearning as we know it.
DAOs Rely on Tokenomics
When tangible values are the reward for intangible behaviors, this concept is known as tokenomics. One of the most impactful aspects of the DAO is its reliance on this system.
You can go on to differentiate these tokens between:
Those that unlock programming
Those that grant roles
Those that open access to the community
Those that allow a vote
Those that hold equity
DAOs Vary in Structure
DAOs can choose whatever structure of governing they want, which could include more technical and complex options like quadratic voting or a hybrid of traditional systems. Either way, you can deploy these more easily than in conventional structures. Plus, throughout their life cycle, DAOs can change their structure fluidly.
DAOs Span Ownership
Most DAOs are following a trajectory that is constantly evolving. For example, with the intention to move into providing grants for innovation, k20 DAO is starting as a learning space for educators. This DAO also aims to:
Facilitate conferences and hackathons
Create a talent portal
Upskill educators in web3
Operate as a VC for the next tier of web3 education startups
Today, it’s pretty standard among DAOs, but before the last couple of years, this vision would have sounded completely insane.
DAOs Run on the Blockchain
Running on the blockchain means that the following actions, based on membership status are “trustless”:
Unlockable content
Token deployment
Treasury allocations
Voting
The DAO can run without bias and efficiently, without the need to rely on any one party because of the automation set by a charter and coded rules allow. Both future and current members can see the reliability and validity of all transactions of the DAO because the blockchain is trackable.
Why Transparency Matters
Since anybody can monitor the transactions for the DAO, the main upsides that come with DAOs is the increased level of transparency. Especially when you compare them to hierarchical-based organizations, this concept of “total” transparency significantly minimizes the risks related to censorship and corruption.
Prospects of DAOs for eLearning
Many students and professionals within the learning space moved to the online learning environment due to COVID-19. With this significant movement to eLearning comes the possibility of DAOs for eLearning, as online content in various domains is becoming readily available. Helping one another with understanding several more complicated topics in a particular domain, students would work together in the quest for learning.
DAO Concept in eLearning
We can identify parallels with the more familiar decentralized file-sharing system to understand the eLearning DAO concept. Here, each member in the system can act as a client or server alternatively, based on the member’s needs.
The member will act as a server distributing the file to interested members if they have the requested file. Otherwise, if they are requesting a certain file, they will act as a client if they request a certain file.
Using this format, you can replace the client/server relationship with the student/teacher relationship to better understand the eLearning DAO concept.
The member will act as a teacher distributing knowledge to interested members if they are well-versed on a certain topic that other members require more information on. Otherwise, the member learns about a particular topic, acting as a student.
Pros and Cons of DAOs in eLearning
In order to fully understand how DAOs can impact eLearning, it’s essential to look at both sides of the argument for and against the integration.
Advantages of DAOs
For starters, let’s take a closer look at some of the primary advantages of DAOs.
Immutability
Counterfeit certifications are no longer possible for students to achieve because the blockchain ledgers permanently record the teaching and learning events.
Decentralization
Decentralizing eLearning means that teaching flexibility is enabled. In this type of environment, a small group of members or a single body do not hold control of the entire teaching network. Trust among members is unnecessary, and each member has the ability to become a student if they have the desire to learn a subject or a teacher if they are knowledgeable about a topic.
Transparency
Other members can gain insight into how members are interacting with each other in the learning environment. An evaluation mechanism for both teachers (such as student evaluations) and students (such as grading) allows this level of transparency.
Disadvantages of DAOs
Alternatively, here are a few of the caveats of DAOs in eLearning.
Cyber Security
Attackers may alter the smart contract’s code to destabilize the DAO even though transactions are encrypted, and immutability offers a permanent record.
Lack of Legal Frameworks
There is a lack of framework from a legal perspective for DAOs since multiple jurisdictions can disperse their information. Should any legal issues arise, a complex legal dispute will likely occur that requires any involved parties to deal with a variety of regional laws.
Conclusion
The prospect of managing modern organizations, including eLearning-based systems, is transforming. DAOs will continue to generate new concepts for eLearning as distributed ledger systems continue evolving. Since the goal is always to increase learning efficiency, it comes as no surprise that eLearning DAOs may foster new paths with the added bonus of transparency and collaboration among members.