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Enhancing the Democratic Nature of Voting Processes within Decentralized Autonomous Organizations

Author

Listed:
  • Colin Gilson

    (UNamur - Université de Namur [Namur])

  • Sarah Bouraga

    (UNamur - Université de Namur [Namur])

Abstract

Purpose. We aim to explore the problem of power imbalance within Decentralized Autonomous Organizations (DAOs) and propose potential solutions that could contribute to enhancing the democratic nature of DAOs. Design/methodology/approach. In this paper, we apply a qualitative methodology. Using a thematic coding analysis, we process data collected from interviews with 11 experts. Findings. Multiple factors contribute to the perceived lack of democracy within DAOs, such as: token concentration, effective stakeholder communication. Next, quadratic voting has the potential to enhance democracy within DAOs, but this mechanism must be implemented mindfully. Finally, the results were nuanced when it comes to the effectiveness of liquid democracy in DAOs to enhance voter participation and representation. Originality. This paper is one of the first research contributions to propose recommendations to address the power imbalance within DAOs and to contribute to the advancement of decentralized decision-making structures

Suggested Citation

  • Colin Gilson & Sarah Bouraga, 2024. "Enhancing the Democratic Nature of Voting Processes within Decentralized Autonomous Organizations," Post-Print hal-04814435, HAL.
    • Handle: RePEc:hal:journl:hal-04814435
    DOI: 10.1108/DPRG-09-2023-0126
    Note: View the original document on HAL open archive server: https://normandie-univ.hal.science/hal-04814435v1
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    References listed on IDEAS

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    1. Goldberg, Mitchell & Schär, Fabian, 2023. "Metaverse governance: An empirical analysis of voting within Decentralized Autonomous Organizations," Journal of Business Research, Elsevier, vol. 160(C).
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    3. Ying-Ying Hsieh & Jean-Philippe Vergne & Philip Anderson & Karim Lakhani & Markus Reitzig, 2018. "Bitcoin and the rise of decentralized autonomous organizations," Journal of Organization Design, Springer;Organizational Design Community, vol. 7(1), pages 1-16, December.
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    5. Nils Augustin & Andreas Eckhardt & Alexander Willem Jong, 2023. "Understanding decentralized autonomous organizations from the inside," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-14, December.
    6. Zhan, Yuanzhu & Xiong, Yu & Xing, Xinjie, 2023. "A conceptual model and case study of blockchain-enabled social media platform," Technovation, Elsevier, vol. 119(C).
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