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The arrogance of the crypto elite: A deep critique of The DAO

2022-06-01 14:22
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Original title: "The Arrogance of Encrypted Elites: A Deep Criticism of DAO / On the Seven Deadly Sins of DAO / DAOs Micro Power Structure"
Original author: VION WILLIAMS



01 Our real intentions for DAO


The basic definition of DAO (conceptual background )


DAO (Decentralized Autonomous Organization), a decentralized autonomous organization based on blockchain technology, in the current Web3 extensive discussion of DAO, There are two related concepts that are often overlooked: DAC (Decentralized Autonomous Corporation) - decentralized autonomous company; DAS (Decentralized Autonomous Society) - decentralized autonomous society.


The concept of DAC was proposed by EOS founder Daniel Larimer in 2013, and Daniel also invented the delegated proof of stake DPOS , which is a consensus mechanism in line with the concept of DAC. In 2016, Vitalik Buterin created the Ethereum project through The DAO. Recalling the story between Daniel Larimer and Vitalik Buterin, we can regard DAC and DAO as two different ideas of decentralized autonomous organizations.


When we are discussing how DAO needs to develop in the current legal framework, company system, and government supervision, DAC is a solution that is more in line with development demands plan. Although Daniel Larimer has retired from the crypto arena, the merits of the DAC concept cannot be completely dismissed.


DAS represents the views of some visionaries on the future. In the future, all decentralized organizational ecology will form a new social form, which means It is the possibility of a future digital society for human beings. The emergence of DAS requires the support of countless DAOs, so building a DAOs network is the only way we must go next. Vitalik Buterin further developed the concept of DAS in his latest paper "Searching for the Soul of Web3", and proposed the DeSoc a concept.


So, when we are discussing the concept of DAO, we need to realize that it is a concept with a family vocabulary. The basic understanding of the concept of DAO cannot be limited to the description of its technical functions.


Why DAO is trustworthy


DAO is trustworthy The reason is that the decision-making governance rules and execution process are realized by computer programs. From the technical level, the basic characteristics are that the data on the chain is open, transparent and cannot be tampered with, and the second is the automatic execution of the program rules by the smart contracts on the chain. Generally speaking, we believe that DAO is a fair game that can maintain consensus and supervision rules.


Although we are temporarily unable to implement the complex contract regulations of the commercial society through DAO, the development trend of DAO is to gradually The implementation of the terms is to ensure the technical order of the collective consensus, which greatly avoids malicious fraud caused by human manipulation in the execution process.


Another trustworthy advantage of DAO lies in the protection and certification of workers’ property rights. The core requirement of the system is that the company, the main body of the equity structure, is responsible for the interests of shareholders. In essence, the existence of employees is the human resources and production tools that create profits for the company.


The capital operation logic of the company system, all the assets created by employees when they are employed by a company are the assets of the company, and it is difficult for individuals to obtain Protection and proof of personal property rights. The DAO's on-chain collaboration proof will effectively solve this problem, and the data generated by workers on the chain will also indirectly serve as future rights and interests.


Limitations of the Jump Out Discussion


We all know There are obvious obstacles in the development of DAO, and there are obvious cognitive limitations in the engineering implementation issues considered from the technical dimension. An efficient and faster DAO governance voting tool cannot solve the fundamental problem of DAO. Optimizing the data interaction presentation of investment research DAO and improving the ease of use of voting participants cannot avoid the fairness problem caused by governance weight.


We are too limited in thinking about computer system engineering solutions, ignoring the deep reasons behind the phenomenon, lacking more vision and higher dimensions, we need Re-examine and seriously think about what a DAO is? And what kind of fate its future development will bring us.


So, in this article, I will not use technical engineering and business design to discuss the development and destiny of DAO, although I have In the field of Crypto, I am a PM who is partial to technical recognition, but this time I will try to return to the relationship between the existence value of DAO and the development of society. DAO must find its own way of philosophical development in the current era and follow the laws of social development. Build its business rules.


DAO discusses the ambiguity of language


DAO as An imperfect concept, it is endowed by its many believers with a value far beyond its technical definition. When we discuss DAO, we need to be aware of the ambiguity of the conceptual language. Why use "ambiguity" instead of "ambiguity" or "prejudice"? I believe readers will be confused by the unfamiliar concept of ambiguity.


Ambiguity refers to confusing the identification of things with definite properties in the deterministic category, and prejudice generally refers to the There is a conflict of value cognition for a certain thing. There is a view that ambiguity is a common language trap, and some even think that its English should be translated as an approximate synonym of "ambiguity". I personally think that this is actually very inaccurate.


Simply speaking, ambiguity means that the seemingly univocal and definite language contains multiple and uncertain It means that in most situations of our daily life, the ambiguity of communication language is a common phenomenon. However, when we seriously discuss the linguistic ambiguity of the DAO concept, it may lead to the emergence of the stacking paradox. The stacking paradox is the aggregate presentation of a group of paradoxes, which refer to things that are intuitively true but objectively proved to be false. (Here is not a true or false philosophical debate)


The stacking paradox caused by the ambiguity of the DAO concept means that we are exploring and building In the process, the series of deconstruction and reconstruction of DAO caused by the narrative of language intuition are all based on a series of paradoxes, and this problem will cause the industry's collective cognition of DAO to become a kind of Knowledge-based logic idling away from the comprehensive construction of objective facts.


The ambiguity of the concept of DAO has led to ambiguity in the industry's widespread cognition, but it thinks it is reasonable and true. Ambiguity often requires multidisciplinary deconstruction and reconstruction, and the current lack of understanding of the conceptual characteristics of DAO construction often leads to a lack of clear boundaries when we use this concept, that is, the scope of application of DAO and the constraints .


It is deeply aware that DAO as a concept itself and re-deconstructing this concept is an idea that is generally lacking in the entire industry. The discussion about DAO itself has broken away from the category of technical solutions, and has become a concept that precipitates history.


The definition of the concept competes


An immature concept with great value potential The concept of the concept will inevitably cause interest-seeking parties to compete for the right to define the concept. The competition for cultural capital is an important way for capital to plunder intellectual resources.


When the concept of DAO is understood as a new form of social organization, it has great power to change the social structure, especially when it involves large interests Re-cutting of the cake. Therefore, the characteristics of "decentralization" are infinitely magnified and emphasized by some people, and "decentralization" is used as a sharp weapon for DAO to disintegrate the old system, and it is deliberately emphasized as a revolutionary weapon.


In the cryptocurrency trading market, DAO is emphasized as a free capital circulation place, and equity governance should serve the purpose of capital flow. Any DAO participant can join an investment research DAO with a fair process mechanism, but the final benefit distribution result of the investment research DAO is determined by the external factors of economic advantages and poor information. DAO becomes a cash machine for advantage free capital.


There is a set of value framework behind the business design of DAO, and this framework is a description of concept definition and function. Competing for the definition right of DAO can get rich Benefit. We are indeed committed to building a better digital society, but we cannot be used as cannon fodder by capital. There are many tigers in the dark forest of encrypted capital. Idealistic builders should be careful.


The hidden true intention


In the deep sea The light source is likely to be a bait waiting for fish to take the bait. In fact, the vigorous Web3 enlightenment movement also contains a lot of bait. As a new social paradigm, Web3 has touched too many interests in the future. As a representative of social change, DAO, the industry's true intention for DAO is probably driven by the desire of capital, and the initial belief in the spirit of encryption.


Can the huge public fund pool governed by collective decision-making, under the manipulation of capital public opinion, really overcome the temptation of short-term interests? Can collective voting with economic weight as the governance mechanism really maintain loyalty to the long-term interests of the collective? Under the temptation of the Ponzi economic model, wouldn't collective economic decision-making become a democratic mob?


We need to be alert to the true intentions behind "free, democratic and fair decision-making", especially the Behind the development of DAO is the human desire to encroach on "self-government", trying to become a three-no harvester that harvests "leeks" without supervision, responsibility, and management.


Take off the mask of hypocrisy


DAO may be a Seemingly beautiful things, ambiguous concepts and capital intentions, have a great probability of falling from a beautiful vision to become a new capital game tool. Just like a Hollywood-style investment research performance being staged by a well-known crypto capital, it paints the bubble economy in the epidemic era with false prosperity.


Please follow me to remove this hypocritical mask and face the ugliness of the dark forest.


02 Four-layer criticism of DAO


Those are obvious


About the development and construction of DAO, there are always some obvious problems. These obvious problems plague the development process of DAO, and sometimes it is not technical The difficulty in realizing it is that we lack a reasonable solution to the DAO governance mechanism, and we lack the key theories to establish a new consensus, such as some of the following problems:


1 , The dilemma between decentralization and centralization;


2. How to reasonably design the decision-making weight of autonomy;


3. Consensus disputes and limitations between POW and POS;


4. Whether win-win is important or joint governance is important;


4. p>

5. How the public treasury can avoid the tragic game of the commons;


6. The fairness problem of economic weight governance ;


7、......


Hidden problems under the iceberg< /h4>


For non-technical engineering problems and non-commercial requirements, it is difficult for us to assess how large and complex the problems behind them are, especially when they involve social problems. It is impossible for us to expect to solve the impossible triangle of the blockchain, and we will be able to solve the complete decentralized expansion of DAO. It is even more impossible for us to expect to solve the debt problem of a Ponzi economic model to solve the long-term public finance of DAO. sustainable development problem.


When we started to build DAO's social protocol-related products, when we designed protocol products such as reputation/credit/contribution, How do we define what is a good reputation and what is a bad reputation? What kind of equity incentives and corresponding governance powers will a good reputation get?


Are reputation levels indicative of governance power levels? How to measure the balance between economic benefits and governance power for the level of equity obtained from reputation? Is reputational equity a hybrid of economic interest and governance power creating a form of digital corruption? How will the monitoring mechanism of the reputation system measure and evaluate the moral contribution of the governance person?


So, when these problems are advanced layer by layer, they will soon touch the system engineering problem of social governance. The difficulty far exceeds the service design of business needs. For example, Web2's platform member rights and interests system is in a closed platform, and the platform itself has the right to interpret rules and modify terms, while Web3's reputation protocol needs to be open source and globalized, oriented to the entire society in the encryption-native world crowd.


This is equivalent to putting forward your own social governance solution as a member of the Web3 public society, thus gaining the support of the public society Recognition and financial rewards. The creators of the protocol can even blatantly withdraw while the project maintains its natural operation and execution. Therefore, what you have to consider is to solve the governance problems of a global encrypted society, not just business needs.


The complexity and difficulty factor of the test facing Web3 is far beyond imagination. What we started to touch and think about in 2022 The problem is only the part of the iceberg that floats on the water.


Representation: Inequality in Rights and Interests Governance


Currently, most DAOs use POS Or the consensus governance mechanism of DPOS uses Token as a kind of equity certificate, and obtains the qualification and weight of governance voting according to data indicators such as holding amount/holding time/locked share. Community members, as shareholders of equity holders, participate in the development and construction of the project and enjoy the return of economic benefits together. However, the seemingly fair system obviously has a variety of unfair status quo, so the economically advantaged party has actually obtained the dominance of community governance, and the DAO's concept of community autonomy has instead helped to become a natural soil for capital control.


The reason why we agree with the idea of DAO so much is that by pursuing an autonomous model of fair decision-making, we can obtain a more equal social labor result. ——“Equal equality means that each person or group gets the same resources or opportunities. Fair equity recognizes that everyone has a different situation, so it is necessary to allocate the exact resources and opportunities that each person needs to achieve equality. The result."


If we hope that DAO will become the order guarantee of the future digital society, based on Code is law The significance of the process of fair distribution lies in providing authority and legitimacy for power execution. If this order neglects the responsibility for fair outcomes, it means that external advantages will use this set of rules to exacerbate inequality in social outcomes.


Pay attention to process distribution but not be responsible for the results, will continue to be reduced to a social norm in which elites implement certain technology/knowledge through technological power The fairness of the distribution process conceals the fairness of the results, which does not conform to the moral ethics of "justice", nor does it conform to the moral and ethical demands of our DAO construction.


Ignoring the unequal impact of the economic advantages of externalities on the governance results, it is the current POS and other rights and interests governance mechanisms applied to the internal management of DAOs and the external cooperation of DAOs The natural disadvantages that exist at the time are also the most intuitive shortcomings we feel at the moment.


Root-roots: Limitations of consensus algorithms


If Using the concept of DAO in a broad sense, then Bitcoin and Ethereum may be the two most successful DAO projects in the encryption world. The two different consensuses of POW and POS still support the underlying consensus of the current encrypted world. All consensus mechanisms evolved from POW and POS are essentially to verify the state of the distributed ledger.


The ledger of the financial concept is designed into a sequence structure of data blocks through encryption technology, and finance, as a space-time machine, cashes out the future by mortgaging historical assets value, which is the space-time transformation ability of financial machines. Bitcoin, on the other hand, couples the concept of time with the state of the ledger through the design of time stamps, and integrates mathematical puzzle calculations with the longest chain rules through POW, thereby maintaining the synchronization of the global consensus.


As a historical asset, the electricity cost consumed by computing power resources is used to obtain bitcoins that cash out future value by maintaining the state of the ledger , which is a new perspective of thinking, used to explore the value of the consensus mechanism, not just for bookkeeping rights and resistance to Sybil attacks.


In order to solve the shortcomings of the POW algorithm, the industry began to propose the POS consensus mechanism. POS is not only to solve the problem of POW resource waste, It also tries to propose a new consensus value paradigm, that is, book participants need to pledge their own interests, which can better avoid the probability of nodes doing evil. This is actually a technical design concept of values, and does not represent objective facts. Facts have proved that the application of DAO to proof of rights and interests is full of the phenomenon of joint node cooperation.


If there is a new algorithm that brings hope, then I think it is Solana’s PoH history proof mechanism, whose biggest feature is the The time and state are decoupled on the block, and the ledger state can be updated asynchronously through the global time clock, which is a fundamental progress.


However, it is a pity that PoH is a solution for the blockchain time clock, not the core consensus mechanism of Solana, but from the coupling structure of data blocks Innovation provides us with a new thinking breakthrough to solve the problem of DAO consensus governance from the root.


Easter egg: History is always so interesting. The POS algorithm first proposed by Quantum Mechanic in bitcointalk in 2011 led to the 2022 Vion Williams jumped down the abyss of the rabbit hole in researching the governance problems of DAOs, which led to the birth of this article, presented to the readers who are reading this article at this moment.


Sociality: The Illusion of Liberal Democracy


In fact , DAO sometimes creates an illusion of freedom and democracy for us, there are always some people who try to have an unrealistic illusion, such as "protecting the privacy of free people to freely enter and exit DAO, calling for equal rights Everyone under the movement votes fairly, trying to maximize the benefits of free riders while weakening the leadership of the leader", etc., all kinds of dazzling and ideologically vague XX liberalism are flooding.


Perhaps it is precisely because of the seemingly free and open governance concept of DAO, it has become a place that nourishes various myths about freedom and democracy The hotbed has become the spiritual carrier of various unrealistic fantasies. DAO has become a place of identity with survival dependence. Everyone relies on a consensus with a strong romanticism, and DAO has become a spiritual sustenance of collective utopia.


DAO has become a symbol of the emergence of various social thoughts, just like the myth of the times that emerged in PFP-like NFT, with the capital Manipulated and alienated as an aesthetic symbol. Although we all know that behind it is the result of free market hype, this will become the history of encryption culture, but it is undeniable.


As mentioned earlier, during the development of DAO, a lot of capital intentions have been involved, and freedom and democracy are also an illusory phenomenon shaped by the current stage. Sweet dreams, this is closely related to the current countercurrent trend of globalization. And now, the illusory dream of a new globalized liberal democracy constructed by liberal encrypted capitalism is gestating in the world of Web3.


Historic: the loss of encryption spirit


Web3 is not exactly equal to Crypto, Web3 is from Born out of Crypto, the core of Web3 is the spirit of encryption culture. However, the inheritance of the encryption spirit has been ignored by Web3er, and few people have seen the impact of the orthodoxy of the encryption spirit on the construction of Web3. So, when we discuss about the construction of DAO in the Web3 era, what is the encryption spirit inherited by DAO? At least the DAO in the Chinese region has almost zero encryption spirit.


Assange once warned the world in the book "Cypherpunk":"In order to avoid all power from any form of violence, the transfer of personal rights.”


The significance of the encryption spirit lies in the awakening of personal sovereignty consciousness, and the birth background of Bitcoin is to protect personal private wealth from Infected by the traditional financial system. The encryption spirit inherited in the Web3 era is the awakening of personal property rights awareness, that is, individuals have the ownership of their own data and have the right to determine the financial realization of the data. "Customization of data value" should be a key issue worth thinking about in building Web3.


But at present, the entire industry seems to be considering the rationalization and legitimation of the Ponzi economic model. The concept of tokenization is introduced into Crypto, making encryption a leek harvester for free capital.


Just as Cypherpunk uses an encrypted email system to provide privacy protection for user information exchange, Bitcoin, as a point-to-point electronic currency system, ensures that private property cannot Infringement...How much of the current Web3 industry construction is really aimed at protecting user data property rights?


Web3 seems to have a trend of losing the orthodoxy of the encryption spirit. A bunch of traditional projects in the shell of Web3 are flooding. A false illusion of prosperity.


The real Web3 project or DAO is still a minority at the moment. If you don’t understand the orthodoxy of the encryption spirit, you can’t see what a real Web3 project is , and the inability to build a DAO with an encrypted cultural core, some people may criticize me as Crypto native's insistence on its orthodox status. Here is a quote from Satoshi Nakamoto:


< /p>

if you don't believe me or don't get it, i don't have time to try to convince you, sorry


Technological manifestation of human desire


To sum up, many problems that hinder the development of DAO come from interest demands The game, the result of the intention of human desire to get involved in the role of technological tools, is making a lot of noise in the world of Crypto and Web3. There are always some pure and kind Web3 believers who are blinded by short-term interests to examine right and wrong. Here is an excerpt from a group announcement I once posted in the community:


Group name The suffixed emoji "Three No Monkeys" are "don't listen to monkeys, don't look at monkeys, don't talk about monkeys", which will be used as a symbol of self-discipline and self-discipline. Pin is on the title bar of the group chat, just like the "Dharma" hanging above the head The Sword of Chris" always warns us lonely braves of this era, in this hot era of change, in the transformation of the bull-bear cycle, the ebb and flow of speculative bubbles and investment philosophies, do not listen to right and wrong , Don’t look at falsehood, don’t talk against your will, it’s to avoid yourself being engulfed in the floating clouds and floating waters of false prosperity, which will lead to the loss of personal authenticity, and cause misjudgment of the development trend of the industry.


We may enjoy the dividends of the times, we may also suffer the blow of fate, we may rise between the fate of pioneers and martyrs at any time or fall. But no matter what, we should uphold the independence and self-denial of rational criticism, listen carefully, read carefully, and speak carefully. Finding one's place in the chaotic situation of the great era, not forgetting one's original intention and pursuing one's true self, is a pilgrimage to make money what u believe.


Be alert to the collective consensus that may be the prejudice of the times, and firmly believe that the truth is often in the hands of a few people. BUIDLs who truly believe in and build Web3 must master the weapon of truth.


03 On the Seven Deadly Sins of DAO


Humanity is a non-technical variable of DAO


In last year's article, I put forward such a criticism of DAO:


< p>「DAO is a difficult but ideal direction. Actually, I am not sure whether it is the right direction, because any social organization system is a complex system. The current DAO thinking is the product of rational tool thinking, and the fault tolerance rate for complex individuals Extremely low, people's emotions are by no means quantifiable by data, and personal will is by no means restricted by data agreements."


I try to make human nature, which is not quantifiable, artificial Factors are excluded in the construction of DAO, and it is even proposed that CryptoAIGC+DAO is a reasonable direction. Forgive my ignorance last year, and my apologies to readers at the time.


Humanity is a non-technical variable in the DAO system design process, and it is a rule design that we need to embody in governance thinking. For example, the internal cultural structure of the reputation protocol/contribution protocol/trust protocol is a metaphor for the implementation of human variables. Specifically, I will mention how the protocol is embedded in the DAO's power structure in the next chapter of this article.



Now, let’s face the seven deadly sins of human nature and how they are found in DAO It is fully reflected in the development and construction. In "Divine Comedy", according to the order of the severity of evil deeds, Dante ranked the seven deadly sins from light to heavy, as follows: lust, gluttony, greed, laziness, rage, envy, arrogance. And I will describe the seven crimes of DAO one by one from the most important (root) to the lightest (appearance).


Arrogance: The Unjustified Authority of Technical Discipline


Early encryption spiritual leader, calling for What is important is to build a public digital space where everyone can participate freely, and this digital space is free from the interference and monitoring of any social power, while some encryption elites try to monopolize this digital space through encryption technology, and use technology to build over others. "Autonomous" agreements over real law.


Technology is not only used as a kind of public power, but also as a moral metaphor to realize the discipline of power. Especially when the Ethereum technical community calls out for orthodoxy, in fact the Ethereum technical community is beginning to try to establish the orthodox status of technical authority, but the premise of all orthodoxy is that the reasonable conditions of legitimacy are established< /b>.


“The spirit of the encryption movement is to prevent the world from falling into totalitarian control and monopoly, such as the integration of modern countries and Internet technology, The formation of a digital social management mechanism has improved the governance efficiency of the entire society from the perspective of progressivism. However, technology is always a double-edged sword, especially in periods of historical turmoil, when the rise of totalitarianism, nationalism and digital capitalism Combined, the digital Leviathan, which is likely to give birth to the cyberpunk stream of consciousness, will appear, and the cybernetic revolution will realize the comprehensive digital erosion of human society through computer networks.”


The arrogance of the encryption elite will lead them to violate the original intention of the encryption spirit, and form a new force based on cryptography to monopolize the digital space, and use "consensus rights" to tame digital residents and bow down to them.


Envy: The Exclusive Struggle for Power Bribes


Governance of Rights On the contrary, it encourages the frequent occurrence of bribery by economic power. The transparent governance decision-making process exposes the return of economic interests, and the display of interest gaps is where jealousy sprouts.


While currency is the value of commodity flow, currency also acts as a power mechanism to regulate the economic system. In public governance, the economic fairness of currency as a power advantage is ignored The principle of sexuality actually hides the theft of governance power and the erasure of the legitimacy of rights and interests. Economic advantages become competing governance advantages.


At the consensus governance level of DAO, it seems reasonable to take economic input as the principle of fairness, but the governance method of economic weight ignores the large gap in economic level,< b>Economic advantage will create a kind of economic power and realize the monopoly of public interests. And this has further triggered the phenomenon of bribery to increase economic advantages and carry out power confrontation. Ultimately, public governance that serves the collective interest becomes a means to benefit minorities.


Envy will eventually lead to the convergence of interests into a community of power until an absolute monopoly is achieved. Occurring natural defects.


Rage: Execution under the guise of justice


One we often see in the encryption circle Phenomenon, the founder of a certain project has committed violations of ethics and morals in the past, such as making discriminatory remarks. Based on the appeal of political correctness, the community voted him out of the project through a joint vote, depriving him of the right to participate in project construction.


In a strict legal sense, after a social criminal completes his sentence of reform through labor, most of the public morals and rights in society are still right Its openness, for example, does not affect its search for jobs to make a living, its social contacts in society, etc. The national laws provide strong protection for its civil rights.


However, in the encrypted dark forest, once there are inflammatory remarks that uphold the commanding heights of justice and morality, a large number of community members holding voting governance rights will be in The punishment of public power driven by justice is actually a rather primitive level of political management. We often move what happened in the primitive society to the field of cutting-edge technology and repeat it, which is exposed by the Crypto native who claims to be an elite Human frailty is no different from primitive man.


Laziness: the inaction of lack of responsibility


Actually, there is a voice now, The governance of DAO should be spontaneous and self-driven, without the intervention and guidance of managers, everything can happen naturally, and the Chinese Taoist philosophy, "governance by doing nothing" just provides a philosophy for the rise of this governance thought. Ideological guidance, a good DAO arises naturally without governance, just like Satoshi Nakamoto’s governance of Bitcoin. Years of work before letting go, and the support of other crypto team members.


This kind of ideological laziness brought great misunderstanding to the early DAO builders. Those who take advantage of this opportunity to profit are free-flowing capital that only cares about profits, and free-riding monsters who do not participate in contributions but hitchhike. When a DAO has comparatively advantageous resources, free governance is equivalent to giving professional "wool" big players an opportunity to plunder wantonly, and the public resources of DAO will be exhausted.


Ideological laziness in governance is a loss of sense of responsibility, especially when DAO is currently in the stage of theoretical perfection and infrastructure budding , directly refer to the "governance by doing nothing" in the mature stage of the future as the governance model of DAO, and failure is inevitable. Secondly, such cognition will also seriously hit the motivation of early DAO builders.


Greed: The ruthless squeeze of data value


Appropriate speculation is the lubrication of a healthy financial market The behavior of speculative arbitrage has promoted the liquidity of market transactions. However, cryptocurrency is an immature financial market, and the development of DAO depends on such a financial environment. DeFi is the core part of DAO. However, all DeFi and XFi are in a hunting competition for maximum profit harvesting. Speculation is the current One of the mainstream forces.


DAO will definitely not be a purely financial organization in the future, but will completely change the digital survival and development of human beings, the transaction indicators of task flow and capital flow or It will become the economic development indicator of Web3, and in order to achieve transaction liquidity faster, the AMM concept will soon be introduced from Defi to the DAOs network. And the participants of the DAO will be trained to be fast task orderers.


And what will happen to the greedy ending? Encrypted capitalists who have mastered technological advantages, and the people at the bottom who are disadvantaged in terms of economic strength and work level, have no choice but to pledge their data property rights to obtain weak liquidity benefits. With the improvement of data extraction and algorithm optimization, When the staking income returns to zero, it is the time when the disadvantaged groups of Web3 are optimized by "excess".


We shouted that Web3 liberated users' data ownership, but locked it for a long time through the Staking economic order, and encrypted capitalists squeezed the value of their data to zero Finally, vulnerable groups will be ruthlessly abandoned.


Gluttony: the comprehensive devouring of original data


Web3 as the Enlightenment of the Return of Data Property Rights , On the one hand, it activates the awakening of users’ awareness of data rights and interests, and owns the ownership of personal data in Web3, which means that the right to use the data returns to the user itself. On the other hand, data, as a special resource, most It is difficult for users to realize the specific use value of data. How to convert data resources into a digital asset will be the commercial purpose of most Web3 service organizations, and it also allows a large number of encryption projects to see the opportunity to harvest huge benefits.


From the perspective of human nature, the fraudulent plundering of technology developers and the decision-making laziness of data owners, such as the current Web3 Behind the enthusiasm of users for X2EARN is the acquiescence of Xfi's permission to obtain its data usage rights. With the increase of data resources and the mature development of XFI model, the phenomenon of abuse of user credit data in the P2P field will inevitably appear.


In the future, the protocol products of the DAOs network, such as the reputation agreement/contribution agreement/credit agreement, especially the terrible design of the credit agreement, in the name of credit risk control Carry out all-round data monitoring and data acquisition for users, and even guide users to continuously produce more data. The developer related to the credit agreement will eventually swallow up the user's data completely, and credit as the endorsement of financial transactions, completes Indirect capital alienation to users.


We have just liberated the user's data rights from the traditional Web2 giants, and in a blink of an eye, we were wiped out by the giant crocodile ambushing under the water of Web3. What a fart!


Lust: False Prosperity Under Beautiful Indicators


We I often see all kinds of eloquent projects that use data as endorsements and citations, and the investment model of encryption funds is also set by various measurement indicators. In the very early stage of DAO, we can't help seeing a large number of DAOs showing off the success represented by a data indicator, such as the number of people in the community, public treasury, number of topics, and so on.


Data indicators are the presentation of objective facts, and the design of indicators can also be a kind of false behavior. To measure the income of all residents, the fact behind it is likely that 1% of the extremely rich, 9% of the average rich, 20% of the average income, 50% of the poor income, and 20% of the extreme poor.


Focus on the objective facts behind the data of a DAO and the long-term sustainable development of a DAO, far more than paying attention to beautiful indicators at the moment more important. The encryption circle is a dark forest where public opinion manipulation is rampant. Please keep questioning all public data indicators.


The survival power struggle behind human nature


It is vividly displayed Behind the ultimate human nature, there is actually a competition for social survival power between individuals. The seven deadly sins of human nature are a series of volitional behaviors of individuals in order to realize their own survival desires, and human desires Mobility, which shapes the basis for the fluidity of power relations.


04 About the power structure of DAO


Space production Power Discipline


When thinking about the theoretical support of the metaverse last year, I read a large tome in the All Saints Book Garden, the book is called "The Production of Space" ", the author is French philosopher Henri Lefebvre, this is a philosophical book with a unique style and strange ideas, and it is also known as one of the five "Books" of Western Marxism, but it will not be read for a while I understand it very well, but knowing that it is a rare and precious book, I put it aside for the time being based on the experience of buying books and reading after getting married first.


This year, while studying the construction of DAOs network, by chance, when I watched Wang Min'an's "Body, Space and Postmodernity", in his "Space Production In the chapter "The Political Economy of China", it finally pried open a window on the theory of space production, connected the relevant knowledge points of the book "Space, Knowledge and Power", and made a further progress in the relationship between space and power. Thanks to Mr. Wang Min'an for his recognition.


The theory of space production proposed by Lefebvre does not refer to the material production inside the space, but refers to the production of space itself. Space is a man-made product. Space is political, space is the product of fierce competition among various interests, and space is a product full of various ideologies.


"Every society, every mode of production, and every specific production relationship will produce its own unique space, since each mode of production has its own specific production space, the change from one mode of production to another must be accompanied by the creation of a new space, and this new space appears with the change of production mode, and its planning and organization are well-organized. This is exactly the space production embodiment of DAO.


In Foucault's "Discipline and Punishment", modern society is a spatialized society, and Panopticon Prison is a typical example of social spatialization . Prison as a space exhibits its own disciplinary power, a power that lurks automatically and anonymously, such as the ever-present, ubiquitous surveillance. The way power flows through space achieves the purpose of transforming and producing individuals, which is automatic, anonymous and long-lasting.


“In a money economy in general, and in a capitalist society in particular, the mutual control of money, time, and space forms the A substantive connected series of social forces that we cannot ignore. Money, time, and space are intimately related, they influence and control each other. “Spatial and temporal practices are never neutral in social affairs. class or other social content, and often become the focus of fierce social struggle. To expand social power, it is necessary to seize the dominance of space, which means that who can control the specific deployment of space content, who can control Space-flowing transportation technology, whoever can control the political and economic distribution of space will be able to seize the dominance of society,"——Excerpt from "The Political Economy of Space Production"


So, when the two theories of Lefebvre and Foucault collided, the power structure based on the theory of space production formed the power structure that we recognize DAO basic theory.


Distributed and pervasive micro-power


Knowledge The type of discipline is Foucault's most famous power theory. There is bound to be a power relationship among those who live there, and a society in which this power relationship is ubiquitous is also called a disciplinary society by Foucault.


Foucault said: "Power is not a mechanism, not a structure, not some kind of power that we have; The name used by the situation. Power is everywhere, not because it has the privilege of enveloping everything in its invincible whole, but because it is produced every moment, everywhere, even in all Power is everywhere, not because it encompasses everything, but because it comes from everywhere.”


Power permeates in an intellectual way Among the various rules and regulations of social governance, the power of moral punishment is presented through the symbolic system of rule constraints, and the new economy and new technology have produced what Foucault called symbolic technology, and it has six principles as the basis :


Principle of Least Quantity: The punishment must be such that the risky crime does more harm than good.


Principle of Sufficient Ideality: The idea of pain or representation of punishment should prevent potential crime.


Principle of Side Effect: Punishment should affect others so that they do not want to commit a crime.


The principle of complete certainty: the punishment must invariably follow the crime.


Common Truth Principle: Evidence must be weighed against a common standard of proof.


Crime case-by-case.


This kind of knowledge-based micro-power penetrates into every detail of human society, and when DAO becomes a social space for survival and development Knowledge, various agreement products are a natural power tool for knowledge discipline. We use the knowledge-based data of the reputation protocol/credit protocol as evidence of community governance punishment, which is essentially an application of a protocol-based power relationship, and the designer of the protocol can use this relationship power to achieve an automatic and hidden The DAO society manipulates power and determines the fate of the DAO's development and evolution. Individuals will also form a relationship of producing and being produced under the manipulation of the power relationship of the agreed product.


I believe that the protocol power lineage of Web3 will become a key philosophical and political proposition of DAO.


Equity measurement indicators create mediocre evil


When we understand the space production provided by DAO If the foundation of power flow is established, and the agreement tool implements knowledge-based discipline through power relations, then the econometric indicators under instrumental rationality will further intensify the growth spiral of power strengthening. We link the implementation actions stipulated in the agreement with the measurement indicators of TOEKN economic rewards, and the equity economic measurement indicators will form a comprehensive capital dissimilation to the Dosc constructed by DAOs.


This alienation will go far beyond the social values of "all about money" brought about by the alienation of consumerist capital, and it is more likely to cause "social inner Moral values” become measurable economic indicators. Equity measurement indicators are linked to the equivalent of economic value, which will trigger a new round of technical religious indulgences, which can be used to buy and redeem governance rights after doing evil.


The measurement indicators of the equity economy include the power relationship into the economic elements needed for survival, and the evil relationship can be realized through the fluidity of economic transactions. The absence of penetration. The equity economy has become the power economy. Economic income is the basic bottom line to ensure the dignity of existence. Everyone is forced to join this web of consensus permeated by rights, and every individual is forced to participate in "banal evil" unconsciously.


When the "truth, goodness and beauty" of human beings are transformed into tradable measurement indicators through various agreement tools, the light of human civilization will begin to dim and decline, because technology The internal discipline of morality cannot cause an intuitive impact like the "atomic bomb", but it will be a kind of slow poison penetration to make the general public aware of its harm.


The integration of technological moral discipline and capital economy has indeed unscrupulously alienated all human social moral cognition in all aspects. The secularized country breaks away from the causal reincarnation view of life, and on the contrary, it completely opens the door to the pursuit of all interests in the world. We only pay attention to the maximization of individual interests in the present age, and we are more eager to pursue the return of wealth. Our generation is likely to collectively open the Pandora's box that ruins human civilization.


Decentralization is another kind of centralization


By The analysis of the above three propositions, DAO’s space production, DAO’s micro-relationships, and DAO’s micro-power relations encumbered by capital’s evil, has finally completed the critique of the ultimate proposition of “decentralization”.


The general cognitive inertia leads us to have a kind of cognition of power concentration in all centralized management, and we think that once this centralization theme is eliminated, then The phenomenon of centralization of power will disappear. However, through the thoughts of Lefebvre, Foucault, and Arendt, we can truly realize that the executive action of capital alienation can be ubiquitous and unmatched by a microscopic penetrating fluid power relationship. .


As I mentioned above, in the competition for concept definitions, this completely decentralized movement will form another " The ubiquitous and imperceptible "centralization" is a new type of power lineage that can be applied in the digital society. The encryption elite who has the advantage of technological monopoly will become the new ruler, and the ruler is more hidden and difficult to detect.


05 My concerns about DAO


For DoSoc Criticism


"The individual is born in the cold practice of the power mechanism without making noise. The individual, his body, his soul and all knowledge about him are anonymous The product of power.”


DeSoc’s soul binding essentially hopes to establish the user’s encrypted native identity to achieve a function similar to the uniqueness of the ledger. This original approach to constructing encrypted identities will greatly strengthen the discipline of encrypted power relations represented by identity protocols. It only pursues the originality of data, while ignoring the authenticity of people and the existence of human emotions. Ignored by the data, the true heart and soul of the human being is excluded.


Birth of the Crypto Dragon


When Vitalik Buterin declares the technical orthodoxy of Ethereum , when leading the Ethereum 2.0 tangent to the POS consensus, and even starting to propose the soul binding of encrypted identities to build DeSoc, combined with the above in-depth criticism, I seem to vaguely see the birth of an encrypted dragon.


The hidden worry of modernity


The operating order of modern society , the hidden logic since the Industrial Revolution is that while we develop the industrial system, we also strengthen the natural order with Newtonian Mechanism as the underlying philosophical development concept, and then evolve the collaborative hierarchical system and scale of modern society The emergence of the division of labor. The technical philosophy of classical computers also follows the philosophical outlook behind classical mechanics. Cyber culture was born from cybernetics. We can even see von Neumann in his book "Computers and the Human Brain". Compare the similarities between a computer and a nervous system in their structure and function.


In fact, we are gradually deprived of the emotional meaning of being human beings in the alienation of technology and economy, which means that we From a human individual in a general sense to a socialized individual, instrumental rational thinking has further strengthened and deprived us of our personality attributes beyond rationality. This is also what Weber called the "modern iron cage". Human society is in this iron cage. It has created a modern civilized society with a developed economy and abundant materials, but at the same time, it has made human beings quickly step into an "impersonalized" society with efficiency as the priority for the development of social order.


Natural human rights are the digital enlightenment significance of Web3, if we do not re-examine the individual in the "personality sense", then gradually evolve As humans becoming a digital species, we will be reduced to labor puppets producing data. Therefore, in a cultural sense, we need a new philosophical view to prevent us as human beings from being eroded by Cyberism and becoming a data production unit.


With DeSoc as the representative of the construction idea of the future encrypted society, we will inevitably become an asset puppet of production and consumption controlled by encrypted capital.


06 A new possibility


Web3 Philosophy of Authenticity


Authenticity is the philosophical cornerstone of my exploration and construction of Cryptoweb3Metaverse. Web3 users have data ownership, which means that the social trend of thought behind this property rights return movement is a confrontation against the digital capital behind the traditional Internet to achieve data monopoly. Behind this confrontation force comes from our thoughts on "natural human rights" inherit.


How we rely on [natural human rights] as the legitimacy of the new Enlightenment lies in a transcendentalist philosophy that transcends existentialism and nihilism——This authenticity. This is a transcendent romanticism and a religious pursuit of pure belief. In the Web3 era, the return of this pure power will reshape the meaning of our being human, and it is also the key to getting rid of being defined by data. .


Authenticity endows us with a philosophy of life that transcends rationality and sensibility, following the heart instead of data quantification and algorithm construction personalities and behavioral characteristics of digital identities. Only by facing up to the morality of the heart can the social synergy relationship built by the agreement on the chain have the authority, legitimacy and rationality of self-identity.


If our inner hearts and personalities are not recognized by social relationships and fully self-identified in our hearts, then the Web3 movement will eventually fail.


The Eastern Philosophical Construction View of DAOs


DAO, as a digital society that carries our future, The three questions of "how to live", "why live" and "how to live" will become the three philosophical questions we first answer. However, the current thoughts on the construction of DAO are all designed based on Western ideas, and the romantic spirit of Western thought has fallen, and instrumental rational thinking is already destroying the foundation of the empire.


We need some cultural self-confidence, from the oriental philosophical thoughts, from our world feelings, to find the philosophical support for building future DAOs. The fusion of the authentic meaning of human beings and the "emotion noumenon" that I personally believe in gives the meaning of human emotion from self-affirming existentialism, and the hub established by this will build the "emotion, righteousness, and morality" of human society. ", the integration of emotion ontology and authenticity endows the inner hub of human's real emotional meaning, and it is the occurrence of emotional meaning.


The trust between emotion and meaning is the guarantee of collective survival dependence, and the internal rational structure of "righteousness" breaks the Depersonalized social trust relationships. The great virtue of the world is life: life, living and survival, "virtue" is the highest value meaning of human beings living because of love, "virtue" cultural identity has shaped the three philosophical questions of human life, "virtue" is life, life and Survival guidelines.


The value of social collective significance based on the internal rational structure will guide us to explore a new development path, and it is also our The way for human beings to rebuild their souls avoids the fate of becoming a data tool person.


Reference Material
"Body, Space and Postmodernity" - Wang Min'an
"Foucault" -- Chris Horrocks
"The Production of Space" -- Henry Lefebvre
"Searching for the Soul of web3" -- Vitalik Buterin
Arndt's Guide - Peter Bell
Discipline and Punishment - Michel Foucault
An Alternative Solana: No Points "The Road to Film" - Blue Fox Notes
"Computer and the Human Brain" - Von Neumann
"The Hidden Worry of Modernity" - Charles Taylor
Work, Consumerism and the New Poor – Zygmunt Baumann
Wealth, Poverty and Politics – Thomas Sowell
Cypherpunks : Freedom and the Future of the Internet" - Julian Assange
"A Millennium Financial History" - William Goetzman
"The Divine Comedy" - Dante
"Philosophy Exploration" - Li Zehou
"How Chinese Philosophy Appears" - Li Zehou


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