The overall number of DAOs has risen considerably in the last year, as has their turnout rates, but this does not always suggest that decentralised administration is gaining traction.
Over the last 12 months, the overall number of decentralised autonomous organisations (DAO), the number of management applications made, and the number of votes cast have all increased by an incredible 8X.
DAO membership has surged by 8.8X, from 700 in May 2021 to 6,000 currently, according to data collated by Snapshot Labs and released by Electric Capital Engineer Emre Caliskan in a June 9 tweet. Over the last year, the amount of suggestions has risen by 8.5X, while the final tally has climbed by 8.3X.
The information was produced in partnership with Electric Capital, a Web3 investment company, and Snapshot is a decentralised governance involvement site where DAO users can submit new projects and vote on them.
Whereas the results are encouraging for decentralized governance structures, just a few of the most engaged DAOs were responsible for the high involvement. Only 10% of DAOs submitted new initiatives, while 60% of DAOs have received three or fewer propositions since their beginning.
Nonetheless, the total rise is a strong indication of trust in the DAO system.
DeepDAO, a competing DAO monitoring tool, provides somewhat various numbers, indicating that there are only 4,833 DAOS as of June 10.
Caliskan credited the rise in new suggestions to Constitution DAO’s success and breadth of exposure. It was a non-profit organization in November to purchase a hard copy of the Constitution of the United States. Although the DAO was outpriced at the last minute, it illustrates the potential that organizations like this may wield.
Regarding request count, PancakeSwap and Decentraland, respectively, are the two most popular DAOs. As of this posting, only 72 organizations have received at least 100 applications.
Given the promising actual numbers for DAO growth, a draught law from the US Senate released on June 7 could stifle it if no adjustments are made. It requires all cryptocurrency businesses to enrol first.
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