Efficient DAO Design

Efficiency is the result of careful org design. This is implied by the very term “organization” and a consequence of the Theory of the Firm and Conway's Law. The premise is that individuals must organize themselves, their interactions, and their outputs to produce complex and desirable goods. This is hard, yet many DAOs expect to grow into efficiency simply by virtue of being decentralized. Productive efficiency is not emergent. The only things we get for free are entropycoordination failure, and the tragedy of the commons.
 

Efficient DAO Design

Efficiency is the result of careful org design. This is implied by the very term “organization” and a consequence of the Theory of the Firm and Conway's Law. The premise is that individuals must organize themselves, their interactions, and their outputs to produce complex and desirable goods. This is hard, yet many DAOs expect to grow into efficiency simply by virtue of being decentralized. Productive efficiency is not emergent. The only things we get for free are entropycoordination failure, and the tragedy of the commons.