Welcome to the SuperBenefit Lexicon! This is your guide to the language and key concepts we use to explore decentralized organizations (DAOs), Web3 governance, and social impact.
Think of this as our shared dictionary, constantly evolving to reflect our growing understanding of these complex fields.
What You’ll Find Here
This lexicon provides:
Clear Definitions: Concise explanations of the terms and concepts we use in our work.
Contextual Understanding: Insights into how these terms are applied within the SuperBenefit network and the broader Web3 ecosystem.
Connections to Our Thinking: Links to related notes and resources within our knowledge garden, helping you see how these concepts fit into our overall framework.
Actions are occurrences or processes initiated by individuals or systems that result in a change or impact on a given situation, environment, or system.
Actions represent the bridge between intention and realization in any system. They transform abstract goals, decisions, and plans into tangible outcomes that advance an organization’s purpose. In decentralized contexts, actions gain additional significance as they operate without centralized control, instead being guided by shared agreements, protocols, and autonomous decision-making.
Within the DAO ecosystem, actions serve as the fundamental units of productivity and change, whether executed by individuals, teams, or automated processes. These discrete operations collectively create the movement, transformation, and flow of resources, information, and value that animate organizational systems. Understanding how actions are initiated, coordinated, and evaluated provides insight into how decentralized networks maintain coherence while enabling autonomy.
Uses of “Actions”
Actions in Organization and Systems Design
In the context of organization and systems design, actions are the measurable processes or events through which resources are created, exchanged, or transformed, driving the flow of value within the system.
Organizations can be understood as networks of coordinated actions that allow disparate individuals to work together toward shared purposes. How these actions are structured, permitted, and recorded determines an organization’s effectiveness, adaptability, and alignment with its goals. In traditional organizations, actions typically flow from top-down direction, while decentralized systems develop mechanisms for autonomous action within agreed frameworks.
Actions in DAOs and Web3
In decentralized autonomous organizations, actions manifest through multiple mechanisms:
On-chain actions: Transactions, votes, and interactions with smart contracts that are cryptographically verified and permanently recorded on the blockchain
Coordination actions: Communications, decisions, and agreements that coordinate activity across autonomous teams or cells
Contributory actions: Tasks and deliverables created by community members that advance the DAO’s purpose
Governance actions: Processes like proposals, voting, and delegation that shape the direction and rules of the organization
What distinguishes actions in DAOs is their permissionless nature combined with transparent accountability. As noted in Minimum Viable Permissionless-ness, the ability for participants to take autonomous action without prior approval—while still being accountable to the network—is fundamental to generating decentralized intelligence.
Actions in Social Impact
In social impact contexts, actions focus on creating measurable positive change in communities, environments, or systems. These actions balance the need for immediate intervention with long-term transformation, often incorporating:
Mutual aid actions: Direct support and resource sharing within communities
Capacity building actions: Activities that strengthen community resilience and capabilities
Advocacy actions: Efforts to transform structures and policies that create or perpetuate harm
Regenerative actions: Interventions that restore and enhance social and ecological systems
The Reimagining Power initiative specifically examines how web3 technologies can enable more equitable, community-driven action by redistributing power and resources to those most affected by social challenges.
Related Concepts
Actions connect to numerous other concepts in the knowledge base:
Tasks: Structured units of work that organize action toward specific deliverables
Decisions: Choice-making processes that determine which actions to take
Execution: The process of carrying actions to completion
Evaluation: Assessment of actions and their outcomes
Agreements: Shared understandings that guide and constrain actions
Permissions: Rights that enable or limit certain types of actions
Resources: Assets transformed or deployed through actions
Together, these concepts form an interconnected framework for understanding how purposeful activity emerges, operates, and evolves within decentralized systems.
Agents are autonomous individuals, entities, or systems that act or make decisions on behalf of themselves or others, exercising agency to influence outcomes through their actions and interactions within networks, organizations, and coordination systems.
Agents form the fundamental building blocks of all social and technological systems. They possess varying degrees of autonomy, capabilities, and authority to act, make decisions, and affect their environment. Whether human participants, autonomous teams, or computational systems, agents operate based on their incentives, knowledge, and the constraints or permissions granted to them within their operational context.
In decentralized systems like DAOs, the relationship between agents and governance structures is bidirectional: governance frameworks define the parameters within which agents can act, while agents collectively shape and evolve these governance structures through their participation. This dynamic interplay between individual agents and collective systems enables both bottom-up emergence and purposeful coordination, allowing complex networks to develop adaptive, resilient behavior without requiring centralized control.
Uses of “Agents”
Agents in Systems Design
In systems and organizational design, agents represent the basic units of action and decision-making that enable collective behavior to emerge. All systems—from companies to cities to online platforms—can be understood as networks of agents interacting according to explicit or implicit rules. How these agents are incentivized, constrained, and coordinated fundamentally shapes system outcomes and characteristics.
The Anticapture framework describes agents as decision-making entities that control resources and participate in networks. It distinguishes between individual agents controlling private resources and networks of agents governing shared resources, highlighting how agent relationships determine whether systems become extractive or regenerative.
Agents in DAOs and Web3
In DAOs and web3 contexts, agents include core contributors, token holders, community members, and autonomous teams (Cells) that participate in network governance and operations. These agents interact through transparent protocols and operate with varying levels of autonomy while remaining aligned with collective purpose.
As described in DAOs aren’t things… they are flows, DAOs function as “purpose-aligned networks of small autonomous teams” where these agent-teams self-organize around opportunities while maintaining coherence within the broader network. These agents exercise their agency through mechanisms like submitting proposals, contributing to projects, participating in governance, and allocating resources.
The effectiveness of DAOs depends on creating conditions where individual agents can act autonomously while remaining aligned with collective goals—what Building DAOs as scalable networks describes as “DAOs as network intelligence that flows,” where resources and attention naturally orient toward the highest-value opportunities through distributed agent decisions rather than centralized direction.
AI Agents
AI agents represent a rapidly evolving category of computational agents that can perform tasks, process information, and make decisions with increasing levels of sophistication and autonomy. Unlike traditional software, AI agents can learn, adapt, and operate in environments with uncertainty, making them powerful tools for extending human capabilities and addressing complex challenges.
Decentralized AI Agents
Decentralized AI agents operate on infrastructure that distributes ownership, control, and benefits across communities rather than concentrating them within corporate entities. These agents leverage several key technologies and approaches:
Trustless Execution Environments allow AI agents to operate with cryptographic verification of their behavior, ensuring they follow their intended programming without requiring trust in a central operator
Self-Custody enables communities to maintain control over their AI agents, including the data they use and generate
Open-Source Models make underlying AI capabilities accessible for inspection, modification, and improvement by the communities they serve
Distributed Compute uses decentralized infrastructure to run AI workloads without dependence on centralized cloud providers
Community Governance places decision-making about agent capabilities, limitations, and deployment under democratic control
These characteristics create AI systems that are more resilient to capture and aligned with community values rather than extractive business models.
Centralized Web2 AI Agents
In contrast, centralized Web2 AI agents typically operate within closed ecosystems controlled by large technology companies. They are characterized by:
Cloud Dependence: Reliance on proprietary infrastructure operated by major technology providers
Subscription/Rent Models: Requiring ongoing payment for access rather than community ownership
Centralized Permissions: Authority over agent capabilities and access concentrated in corporate decision-makers
Proprietary Systems: Closed architectures that limit interoperability and community modification
Data Extraction: Business models that often monetize user data and interactions
These systems offer convenience but create dependencies and power imbalances that can work against community autonomy and resilience.
Community-Owned Agents for Collective Action
Communities can leverage decentralized AI agents to enhance their collective capabilities and resilience in several ways:
Knowledge Commons Management: Agents can help organize, synthesize, and make accessible the collective knowledge of a community through technologies like semiotic bridging, which translates between different knowledge systems and cultural contexts
Threat Detection and Response: Community-owned AI systems can monitor for cyber threats or hostile AI actions while maintaining privacy and local control
Complex Coordination: Agents can help manage coordination challenges that would otherwise overwhelm human capacity, such as resource allocation across large networks or tracking impact across multiple initiatives
Capability Extension: By automating routine tasks and augmenting decision-making, agents can extend what communities can accomplish with limited resources
Sovereignty Preservation: Using decentralized AI infrastructure helps communities maintain self-determination rather than becoming dependent on external systems
This approach represents a fundamentally different relationship with technology—one where communities own and govern the tools that serve them rather than being served by (and potentially captured by) tools owned by others.
Related Concepts
Actions: The processes or events initiated by agents that result in change
Roles: Defined responsibilities that structure how agents participate in systems
Permissions: Controls that determine what actions agents can take
Autonomy: The capacity of agents to operate independently
Delegation: The process of transferring authority between agents
Decisions: The choices agents make that determine outcomes
Agreements are formalized understandings or commitments between parties that establish shared expectations, terms, and parameters for interaction, resource allocation, and collective action, creating a foundation for coordination and accountability.
Agreements serve as the connective tissue in any coordination system, enabling diverse entities to align their actions without requiring centralized control. They transform implicit assumptions into explicit commitments that can be referenced, revised, and relied upon. In decentralized systems, agreements take on particular importance as they replace traditional command structures with consent-based protocols that respect the autonomy of participants while ensuring coherent collective action.
The form of agreements can vary widely - from informal social norms to detailed smart contracts with automated enforcement. Regardless of their form, effective agreements balance clarity and flexibility, providing enough structure to enable confident action while allowing for adaptation as contexts change. In web3 and DAO contexts, agreements often exist across multiple layers simultaneously: as social commitments, governance protocols, and executable code.
Uses of “Agreements”
Agreements in DAO Primitives Framework
In the DAO Primitives Framework, agreements are considered one of three foundational organizational primitives alongside entities/groups and networks. They represent the commitments within and between entities that allow for coordination across different scales. The framework identifies several key types of agreements that form the basis of decentralized coordination:
Purpose agreements: Shared commitments to the “why” of a collective effort
Practice agreements: How a group operates, makes decisions, and governs itself
Progress agreements: How work is tracked, evaluated, and communicated
Within this framework, specific organizational structures like Cells, Roles, and Tasks are implementations of different types of agreements. The Cell state pattern demonstrates how agreements can be documented to provide both internal coherence for team collaboration and external transparency for network coordination.
Agreements in Governance Systems
In governance contexts, agreements establish the rules, processes, and boundaries for collective decision-making. These can include:
Decision protocols: Methods for reaching collective decisions such as consent-based or consensus-based processes
Policies: Formalized rules and guidelines that establish parameters for decision-making
Permission systems: Frameworks defining who can take which actions in what contexts
Delegation frameworks: Rules for transferring decision-making authority between parties
As described in Governance for better futures, effective governance agreements must balance structure with emergence, enabling both consistency and adaptation as circumstances evolve.
Agreements in Web3 and Blockchain Systems
In web3 contexts, agreements often take the form of technical protocols and smart contracts that automate enforcement and verification. These include:
Smart contracts: Self-executing agreements with terms directly written into code
Protocol parameters: Rules governing how decentralized systems operate
Token agreements: Rights and responsibilities associated with token ownership
Digital signatures: Cryptographic verification of consent to specific terms
These technical implementations allow agreements to function across trustless environments by removing the need for third-party enforcement. However, they must still be complemented by social agreements that address aspects too complex or nuanced for code alone.
Agreements in Community Coordination
At the community level, agreements establish shared norms, values, and practices that enable large groups to collaborate effectively. These often include:
Codes of conduct: Expectations for behavior and interaction
Cultural norms: Implicit agreements about values and priorities
Reputation systems: Social agreements about how contribution is recognized
Resource allocation: Processes for making decisions about shared resources
The success of initiatives like Community Governance depends on creating agreements that stakeholders find legitimate, accessible, and aligned with their needs and values.
Related Concepts
Consent: A decision-making principle where proposals proceed when no participant raises substantial objections
Consensus: A decision-making approach requiring active agreement from all participants
Policies: Formalized rules and guidelines that establish parameters for decision-making
Roles: Defined sets of responsibilities and authorities within a system
Protocols: Standardized sets of rules that govern interactions in decentralized systems
Permissions: Specific rights or access controls granted to participants
Resources: Assets that agreements often manage access to and use of
Practices: Established methods guided by agreements but enacted through regular activity
References and Resources
Cell State Pattern - Demonstrates how agreements are documented and maintained
DAO Primitives Framework - Provides context for agreements as foundational organizational primitives
Governance for better futures - Explores governance agreements in complex systems
The capacity of individuals, groups, or systems to self-govern, make independent decisions, and act according to their own principles and judgments while remaining accountable for outcomes and participating in larger coordination frameworks.
Autonomy represents a fundamental quality in decentralized systems, balancing independence with interdependence. Unlike complete independence, which suggests isolation, autonomy acknowledges the context of relationships and networks within which self-determination occurs. In organizational and social contexts, autonomy enables distributed decision-making that can respond to local conditions while maintaining alignment with broader purposes and values.
The concept bridges individual agency with collective coordination, creating systems that can harness diverse perspectives and contextual intelligence without requiring top-down control. This quality is essential for creating resilient, adaptive organizations capable of responding to complexity and change while preserving coherence and purpose alignment.
Uses of “Autonomy”
Autonomy in Decentralized Organizations
In DAOs and other decentralized organizations, autonomy refers to the ability of individual contributors and teams to make decisions and take actions without requiring approval from a hierarchical management structure. This operational freedom is balanced through alignment mechanisms like shared purpose, transparent agreements, and distributed governance protocols rather than command-and-control directives.
As described in the DAO Primitives framework, DAOs function as “purpose-aligned networks of small autonomous teams” where each unit maintains decision-making independence while coordinating with others toward shared goals. This creates organizations that can simultaneously achieve focus through small team collaboration while leveraging network-scale coordination.
Autonomy in Cell-Based Structures
Within the Cell working group pattern, autonomy is a defining characteristic that allows Cells (small teams of fewer than 10 people) to operate with high degrees of freedom while remaining connected to a broader organizational context. These autonomous units maintain internal self-governance while developing agreements with other Cells and the larger network.
This approach creates “networked autonomy” where Cells can make independent decisions about how to achieve their purpose while coordinating with other Cells through transparent state documentation and formal relationships. As described in the Cell working group documentation, this balanced approach “helps realize the benefits of decentralized organization while mitigating common failure modes.”
Autonomy in Community Governance
In the context of localism and community self-determination, autonomy refers to the capacity of communities to govern their own resources, infrastructure, and development according to local needs and values. This concept appears in both localism and cosmolocalism, where it represents a core quality of resilient community systems.
Community autonomy is enhanced rather than diminished by appropriate connections to broader networks. As noted in the cosmolocalism tag, these approaches combine “resilient localized production with access to global knowledge commons and coordination protocols,” enabling communities to “maintain autonomy while benefiting from global networks.”
Autonomy in Technology and Privacy
In technological contexts, autonomy is closely linked to privacy and data sovereignty. Privacy-preserving systems enhance autonomy by allowing individuals and organizations to maintain control over their information and digital interactions without surveillance or external manipulation.
This connection is evident in patterns like Privacy-Preserving Crypto Payments, which list autonomy as a key quality. Such systems provide tools for self-determination in contexts where traditional infrastructure might compromise independence or subject users to unwanted control.
Related Concepts
Decentralization: Autonomy is enabled by and contributes to decentralized structures, distributing decision-making authority rather than concentrating it
Consent: Autonomous decision-making often relies on consent-based processes, where actions proceed unless there are substantive objections
Decisions: The capacity to make independent decisions is central to meaningful autonomy
Permissions: Systems for managing access and authority create the boundaries within which autonomy operates
Cell: Autonomous teams operating within a purpose-aligned network
Sovereignty: A related concept emphasizing self-governance and authority over defined domains
References and Resources
Building DAOs as scalable networks - Explores how DAOs can scale while preserving team autonomy
Scale and the levers that provide DAOs their power - Discusses how autonomous teams contribute to organizational effectiveness
A blockchain is a type of distributed database system for managing information that can reduce the need for central authorities or trusted intermediaries to oversee interactions and make sure the network rules are being followed. This enables participants to engage in peer-to-peer data and value transfers, and potentially, to contribute to the design, functioning, and management of the network – i.e. to build networks based on multi-stakeholder governance. Blockchains are a subset of distributed ledger technologies (DLT)—ie. all blockchains are distributed ledgers, but not all distributed ledgers are blockchains.
In a blockchain network, identical copies of a database are stored on multiple computers, resulting in a single, shared ledger that records the history of interactions and asset ownership in the network, and maintains the rules governing interactions. This distributed structure leads to a lot of discussion about the extent and value of decentralization, but beware the hype: decentralization could refer to many different things, like the distribution of hardware, software, or decision-making power. Distributed computing power is not the same as distributed political power.
In a blockchain, data is arranged into “blocks” that are “chained” together using advanced cryptography, hence the name blockchain and the nickname “crypto”. It is extremely difficult to secretly modify or delete records once they are added to the chain, so blockchains are often said to be “immutable” or tamper-evident (as in, everyone knows if anyone tries to tamper with the record). This means users can have high confidence in the integrity of the shared data.
Cryptocurrencies
As well as managing information, blockchains can issue their own “cryptocurrencies” (eg. bitcoin on the Bitcoin network, or ether on the Ethereum network) that enable peer-to-peer value transfers and are used to reward participants for helping maintain the blockchain ledger. To maintain agreement about the “true” state of the shared ledger without a centralized authority, blockchains use a “consensus mechanism” that combines cryptography with game-theoretic incentives (eg. payments or penalties paid in cryptocurrencies) in ways that maximize confidence in the integrity of the ledger.
Blockchains can be public or private, permissioned or permissionless. In permissioned chains (often used by corporate entities), access and functionality are strictly controlled. In public networks like Bitcoin, Ethereum, Polygon or Solana, anyone with an internet connection can participate, in principle.
New societal governance mechanisms?
Information management is a critical part of modern societies. Since blockchains enable a wider degree of participation in the design and management of computer networks (relative to typical modern systems), and since cryptocurrencies can be programed to incentivize specific kinds of cooperative behavior, blockchain networks expand the scope to build sophisticated, large scale networks outside of traditional structures. For example, they make it possible to build transnational networks that are difficult, though not impossible, for governments to control, because states tend to assert regulatory authority via centralized bureaucracies or trusted intermediaries.
A group of individuals bound together by shared purpose, values, interests, practices, or place, who develop relationships and social structures to support collective action and mutual benefit.
Communities exist in many forms - from place-based neighborhoods, towns, and bioregions to interest-based associations, professional networks, and digital collectives. Regardless of their form, thriving communities are characterized by meaningful relationships, shared identity, and participatory processes that enable collective decision-making, resource stewardship, and mutual care.
Throughout history, communities have been fundamental to human flourishing, providing the social infrastructure through which people meet their needs, resolve conflicts, transmit knowledge across generations, and develop cultural practices. While community organizing has traditionally been rooted in physical place, digital tools and networks have expanded the possibilities for community formation and coordination across geographical boundaries.
Uses of “Community”
In the context of DAO networks and decentralized systems, “community” takes on several distinct but interconnected meanings, each highlighting different aspects of how groups organize, govern, and create value together.
Community as Identity and Culture
Communities establish shared identities, norms, and cultural practices that guide behavior and decision-making. This cultural layer provides the social infrastructure necessary for decentralized coordination.
In DAO to DAO cooperation, strong community identity is highlighted as a critical facilitator of cooperation: “these communities have a strong sense of identity and individuals who have deep relationships with one another - these are really important facilitators of cooperation.”
Community in Social Impact
In social impact contexts, communities are both beneficiaries and active participants in designing and implementing solutions. Reimagining Power emphasizes the importance of community-driven approaches that transfer power and resources to those directly affected by social challenges.
Community involvement ensures that solutions are contextually appropriate, culturally sensitive, and aligned with local needs and priorities. Web3 technologies can enhance this by enabling more direct community participation in decision-making and resource allocation through mechanisms like participatory grantmaking and community-owned funding pools.
Community in Web3
In the context of web3 and DAOs, a community is more than just a collection of users or stakeholders. It represents an active, engaged network of participants who contribute to, govern, and derive value from decentralized systems. Communities in this context are characterized by their agency, self-organization capabilities, and collective intelligence. They exist across multiple scales - from small collaborative teams to large constituency networks - and can evolve through different phases of development and engagement.
Unlike traditional user bases or audiences, web3 communities exercise direct influence over governance, resource allocation, and strategic direction through decentralized decision-making mechanisms. This fundamentally shifts power dynamics from centralized entities to distributed networks of stakeholders, enabling more equitable, transparent, and resilient systems.
Community as Network Coordinator
Communities can function as coordination mechanisms for autonomous teams and resource flows. In this context, a community provides the shared context, values, and communication channels necessary for decentralized entities to align their actions without centralized control.
The DAO Primitives framework describes how “purpose-aligned networks of small autonomous teams” can coordinate effectively through community-level agreements and shared infrastructure, creating systems that “outperform traditional organizations” while directing “performance towards building a better and more sustainable world.”
Community as Governance Constituency
In Community Governance, “community” refers to the broad base of stakeholders who participate in governing a network’s overarching purpose and direction. This constituency-scale governance operates through deliberative mechanisms like conviction voting and makes long-term decisions about network direction and treasury allocation.
As described in Building DAOs as scalable networks, community governance “safeguards the purpose of the network” and includes a diverse set of stakeholders: “Cell contributors, founders, partners (sponsors, funders etc), as well as others that have a stake in the purpose of the network but may not be contributing directly to its operations.”
Community in Group Development
During the early Conversation Phase of group development, community serves as the foundation for exploration and idea generation. This phase is characterized by “open exploration and idea generation” where “all perspectives are valued” to establish a shared vision and understanding.
The community at this stage focuses on relationship building, creating trust and rapport among members that will be essential for effective collaboration in later stages of development.
This is a definition of “consensus” as it is used in Consensus Based Decision-making.
Consensus is a decision-making approach that requires all participants to actively agree with and support a proposal before it can move forward. Unlike consent based decision-making, which focuses on the absence of objections, consensus seeks explicit agreement and shared understanding from every stakeholder, often through discussion and modification of proposals until universal acceptance is achieved.
This is a definition of “consent” as the core principle in Consent Based Decision-making.
Consent is a principle where a proposal or action can proceed when no participant raises a reasoned, substantial objection that the proposal would harm the organization’s ability to achieve its purpose or prevent a member from fulfilling their role. Unlike consensus which requires active agreement from all parties, consent focuses on the absence of valid objections. This enables more efficient decision-making while still protecting against harmful changes and maintaining alignment with organizational goals.
In DAO contexts, consent operates as a coordination primitive that balances autonomy with collective wellbeing - allowing maximum freedom of action while providing safeguards against decisions that could damage the network’s ability to function effectively.
A cooperative is an autonomous association of persons who voluntarily unite to meet their common economic, social, and cultural needs and aspirations through a jointly owned and democratically controlled enterprise, operating according to internationally recognized principles of member ownership, democratic governance, and equitable distribution of benefits.
Cooperatives represent a fundamentally different approach to enterprise ownership and governance than conventional businesses. Unlike investor-owned firms that concentrate control and direct benefits primarily to external shareholders, cooperatives distribute both ownership and decision-making power across their membership, who may be workers, consumers, producers, or other stakeholders directly engaged with the enterprise. This structure creates organizations inherently oriented toward serving member needs rather than maximizing financial returns for investors, establishing operational accountability to the people most affected by the enterprise’s activities.
In practice, cooperatives operationalize their principles through specific governance mechanisms, including one-member-one-vote democratic control, transparent decision-making processes, limits on external capital influence, and equitable distribution of surpluses. These structures create enterprises capable of balancing economic viability with social purpose, addressing market failures where conventional firms fall short, and building resilient community wealth. While cooperative principles remain consistent across contexts, cooperatives manifest in diverse forms—from small worker-owned businesses to large agricultural producer co-ops to community-owned utilities—each adapting the model to specific member needs and conditions.
Uses of “Cooperative”
Worker Cooperatives
Worker cooperatives are businesses owned and democratically governed by their employees, who collectively make strategic decisions, share in profits, and often participate in day-to-day management. This model transforms workplace relationships by eliminating the traditional division between capital and labor.
These cooperatives typically distribute surplus (profit) based on labor contribution rather than capital investment, with governance structures ranging from direct democracy in smaller organizations to elected boards in larger ones. Worker cooperatives have demonstrated particular resilience during economic downturns, as their decision-making prioritizes job preservation and long-term viability over short-term profit maximization.
Consumer Cooperatives
Consumer cooperatives are owned and governed by the people who use their services, creating enterprises designed to meet consumer needs rather than maximize profit. These range from retail food co-ops to utilities and insurance providers, all structured to deliver quality goods and services at fair prices while maintaining accountability to customer-members.
These cooperatives implement democratic governance through membership systems that give each customer-member voting rights, often returning economic benefits through patronage dividends based on individual purchasing. They frequently emphasize product quality, sustainability, and ethical sourcing, as their governance directly reflects the priorities of the people using their products and services.
Producer Cooperatives
Producer cooperatives unite individual producers—such as farmers, artisans, or independent professionals—who collectively own enterprises for processing, marketing, or distributing their products. This model creates economies of scale and market access while preserving individual autonomy.
These cooperatives typically allocate voting rights and distribute benefits based on member patronage, creating proportional influence while maintaining democratic principles. They are particularly common in agriculture, enabling family farms to access processing facilities, distribution networks, and marketing capabilities that would be inaccessible to individual producers.
Platform Cooperatives
Platform cooperatives apply cooperative principles to digital platforms, creating alternatives to venture capital-funded platform companies. These enterprises develop technologies owned and controlled by the users, workers, and other stakeholders who depend on and contribute value to the platform.
This model addresses critiques of the dominant platform economy by ensuring value flows to the communities that generate it rather than being extracted by external investors. Platform cooperatives use blockchain and Web3 technologies to enable transparent governance and value distribution, creating digital commons that serve community needs while maintaining technical innovation.
Cooperatives and Web3
The convergence of cooperative principles with Web3 technologies creates possibilities for reinventing economic relationships in digital space. Blockchain provides technical infrastructure for cooperative principles like democratic control and economic participation, while smart contracts can encode operational rules and automate processes like profit distribution according to democratically established parameters.
Web3 technologies enable cooperatives to overcome geographic limitations, creating global networks united by shared purpose rather than location. These systems can incorporate both formal membership and more permeable participation structures, using reputation systems to distribute governance rights and economic benefits across diverse contributor communities.
Cooperatives and DAOs
Cooperatives and Decentralized Autonomous Organizations (DAOs) represent distinct but convergent approaches to democratic ownership and governance. While traditional cooperatives operate through legally recognized structures within national jurisdictions, DAOs implement similar principles through blockchain-based smart contracts and token governance, often operating across jurisdictional boundaries.
Key differences include cooperatives’ emphasis on face-to-face relationships and one-member-one-vote principles versus DAOs’ capacity for coordinating globally distributed participants, often through token-weighted voting. Cooperatives benefit from established legal frameworks but face capital constraints, while DAOs enable rapid capital formation through tokenization but operate in evolving regulatory environments.
Emerging hybrid approaches combine cooperative legal structures with DAO governance mechanisms, creating organizations that benefit from both institutional legitimacy and technological innovation while maintaining democratic ownership at global scale.
Related Concepts
Mutual Aid: Cooperatives formalize and scale mutual aid principles through structured organizations
Solidarity: Cooperatives embody solidarity by uniting people to meet common needs through collective action
Governance: Cooperatives implement democratic governance models that distribute decision-making authority
Autonomy: Cooperatives maintain independence and self-determination while engaging with external entities
Decentralization: Cooperatives distribute ownership and control across members rather than concentrating power
International Cooperative Alliance. “Cooperative Identity, Values & Principles” - Global standards for cooperative organizations
Curl, John (2012). “For All The People: Uncovering the Hidden History of Cooperation, Cooperative Movements, and Communalism in America” - Historical perspective on cooperative development
Novkovic, S. & Webb, T. (2014). “Co-operatives in a Post-Growth Era: Creating Co-operative Economics” - Contemporary applications of cooperative principles
Schneider, N. (2018). “Everything for Everyone: The Radical Tradition That Is Shaping the Next Economy” - Exploration of modern cooperative innovations
Coordination refers to the processes, mechanisms, and systems that enable diverse agents to align their actions effectively toward shared goals without requiring centralized control, creating coherent collective behavior while preserving individual autonomy.
Coordination represents one of the fundamental challenges of human organization - how to enable multiple autonomous actors to work together effectively without sacrificing their independence or requiring hierarchical command structures. Unlike traditional management approaches that rely on authority and control, effective coordination in decentralized systems emerges from shared purpose, transparent communication, and mutual adjustment based on available information.
In web3 and DAO contexts, coordination takes on particular importance as these systems explicitly aim to distribute agency and decision-making while maintaining collective effectiveness. This creates the need for coordination mechanisms that can operate across different scales and contexts, from small collaborative teams to global networks of thousands. When successful, these mechanisms enable what Scale and the levers that provide DAOs their power describes as “collective intelligence” - systems that can sense opportunities, allocate resources, and adapt to changing conditions more effectively than any individual agent could achieve alone.
Uses of “Coordination”
Coordination Through Protocols and Primitives
In web3 contexts, coordination often relies on protocols - standardized systems of rules and procedures that enable predictable interactions between autonomous agents. These protocols may be implemented through social agreements, technical mechanisms like smart contracts, or combinations of both.
As described in DAOs - From fractal primitives to network scale., effective protocols enable coordination to scale by providing “primitives” - foundational building blocks that can be combined and recombined to address different coordination needs. This modular approach allows coordination mechanisms to evolve and adapt while maintaining interoperability across the network.
Coordination in Multi-Stakeholder Systems
Complex challenges often require coordination across diverse stakeholders with different perspectives, interests, and capabilities. Effective multi-stakeholder coordination balances the need for inclusive participation with the capacity for decisive action through what Governance for better futures - Meta-governance describes as “systems of systems” approaches.
In these contexts, coordination mechanisms must address power imbalances, information asymmetries, and differing incentives to create conditions where all relevant perspectives can contribute effectively. This often involves what the article calls “liquid democracies” that enable flexible representation and participation based on context and expertise rather than rigid structures.
Coordination Through Shared State
Transparent documentation of agreements, progress, and context serves as a critical coordination mechanism in decentralized systems. By making relevant information accessible to all participants, shared state documentation enables independent decision-making that naturally aligns with collective aims without requiring constant communication or oversight.
The Cell working group pattern demonstrates this approach through “nucleus” documentation that captures a team’s purpose, practices, and progress in a format accessible to both internal members and external collaborators. This transparency creates what the readme calls “clear interfaces that enable trust-based coordination between groups and individuals across a broader DAO network.”
Related Concepts
Networks: The interconnected relationships through which coordination flows
Governance: The systems that establish and maintain coordination frameworks
Protocols: Standardized rules and procedures that enable predictable coordination
Agreements: Explicit understandings that establish coordination parameters
Scale: The different levels at which coordination mechanisms operate
Culture: The shared norms and understandings that enable tacit coordination
References and Resources
Building DAOs as scalable networks: Explores coordination structures in decentralized organizations
Minimum Viable Permissionless-ness: Discusses coordination through permissionless network access
Scale and the levers that provide DAOs their power: Examines coordination mechanisms across different organizational scales
A system that combines resilient localized production with access to global knowledge commons and coordination protocols, following the principle “what is heavy is local, what is light is global.”
Cosmo-localism represents a third way beyond pure globalization or localism, enabling communities to maintain autonomy while benefiting from global networks of knowledge and resources. It emphasizes local production for local needs while sharing knowledge, design, and coordination tools globally.
Uses of “Cosmolocalism”
Cosmo-localism in Production
In production contexts, cosmo-localism promotes manufacturing closer to the point of use, using globally shared designs and knowledge but local materials and methods. This reduces transport costs and environmental impact while maintaining production efficiency through shared innovation.
Cosmo-localism in Knowledge Management
In knowledge management, cosmo-localism involves creating global commons of shared information and expertise while maintaining local sovereignty over implementation. Communities contribute to and draw from shared knowledge pools while adapting solutions to local contexts.
Cosmo-localism in web3
In web3 contexts, cosmo-localism finds powerful expression through:
Token systems aligning global and local incentives
Open protocols for knowledge and resource sharing
Decentralized governance tools for community autonomy
Global capital pools supporting local initiatives
The key innovation in web3 implementations is the creation of technical infrastructure that enables efficient coordination between autonomous local communities while preserving their independence and unique characteristics. This allows communities to:
Access global resources while maintaining local control
Share knowledge without losing autonomy
Coordinate actions without central authority
Build resilient local systems within global networks
Participate in larger economic systems on their own terms
Culture is the emergent system of shared beliefs, behaviors, practices, and norms that develop through collective experience and shape how participants interact, make decisions, and pursue common goals within communities and organizations.
Culture functions as the invisible architecture of social systems, creating patterns that guide behavior more powerfully than formal rules or structures. It emerges organically through interactions, shared experiences, and storytelling, yet can also be intentionally influenced through leadership, rituals, and explicit agreements. This dual nature—both emergent and designable—makes culture a critical lever for shaping how decentralized systems function and evolve.
In network organizations, culture plays a particularly vital role by providing coherence without requiring hierarchical control. When participants share cultural norms and understandings, they naturally make decisions that align with collective values and purpose, enabling coordination across autonomous teams without detailed oversight or instruction. As organizations scale and distribute, culture becomes the essential connective tissue that maintains alignment while allowing for contextual adaptation and evolution.
Uses of “Culture”
Culture in DAO Formation and Evolution
In DAO contexts, culture serves as both the foundation for initial formation and a key determinant of long-term success. As explored in Governance for better futures - DAO 2 DAO Co-operation, communities with “strong sense of identity and individuals who have deep relationships with one another” create the social fabric upon which effective coordination depends. This cultural substrate enables the trust and mutual understanding necessary for decentralized governance to function effectively.
Culture in DAOs develops through intentional practices such as onboarding rituals, shared terminology, governance participation, and collaborative creation. These experiences create what artifacts/articles/network-evolution 1/Minimum Viable Permissionless-ness describes as the “magic that we all saw in DAOs in the first place” - the sense of shared purpose and possibility that motivates participation and commitment beyond transactional engagement.
Culture as Coordination Mechanism
Culture functions as a powerful coordination mechanism in decentralized systems by establishing implicit agreements about how participants will interact and make decisions. As described in Scale and the levers that provide DAOs their power, this enables DAOs to operate as “purpose-aligned networks of small autonomous teams” without requiring detailed rules or oversight.
This cultural coordination works through shared mental models, behavioral norms, and tacit knowledge that participants internalize and apply across contexts. When team members share cultural understanding, they naturally align their decisions with network values and purpose without requiring explicit direction. This creates what Building DAOs as scalable networks calls “network intelligence that flows” - collective capacity for adaptation and sense-making beyond what any individual or central authority could achieve.
Culture in Knowledge and Practices
Culture manifests concretely through the knowledge systems, practices, and methodologies that communities develop and share. These include both explicit practices like governance processes and implicit know-how about how things actually work within the community. Together, they form what the readme identifies as Practice - one of the three core dimensions of Group State alongside Purpose and Progress.
The relationship between culture and practices is reciprocal: practices embody and reinforce culture, while culture provides the context that makes practices meaningful and effective. As communities evolve, they develop increasingly sophisticated shared practices that encode their accumulated wisdom and values, creating what semiotic-bridging describes as distinct “knowledge systems and cultural frameworks” with their own internal coherence and logic.
Culture Across Network Boundaries
In multi-DAO ecosystems, culture plays a crucial role in enabling cooperation and knowledge transfer across organizational boundaries. As discussed in Governance for better futures - DAO 2 DAO Co-operation, cultural affinity creates the conditions for alliance formation and resource sharing between autonomous organizations without requiring formal integration.
These inter-organizational cultural connections form through various mechanisms, including:
Shared membership across multiple communities
Token swaps and mutual governance participation
Collaborative projects that build relationships and understanding
Recognition of shared values and complementary purposes
These cultural bridges enable what the article describes as “cross-DAO token holding to build coalitions of projects aligned around particular values and ethics,” creating broader movements that transcend individual organizational boundaries while preserving autonomy.
Related Concepts
Values: The explicit principles that inform and shape cultural norms and practices
Community: The social fabric within which culture develops and operates
Practices: The concrete methodologies and routines that embody and reinforce culture
Purpose: The shared mission that culture helps to interpret and pursue
Agreements: The formal and informal understandings that codify cultural expectations
Coordination: The alignment of actions that culture facilitates across autonomous agents
References and Resources
Governance for better futures - DAO 2 DAO Co-operation: Explores culture’s role in inter-organizational collaboration
Minimum Viable Permissionless-ness: Discusses culture as the foundation for decentralized creativity
Building DAOs as scalable networks: Examines culture’s function in network coordination
DecentralizedAutonomous Organizations (DAOs) are blockchain-based coordination systems that enable groups to govern shared resources and make decisions collectively without centralized control, using transparent rules encoded in smart contracts to align incentives around common goals.
DAOs represent a fundamental shift in how people organize, moving beyond traditional hierarchical structures to create more flexible, transparent, and participatory systems. At their core, DAOs combine technological infrastructure (blockchain, tokens, smart contracts) with social coordination mechanisms to enable distributed governance while maintaining coherence and purpose alignment. They enable stakeholders to collaborate, allocate resources, and make decisions through transparent processes that are secured and executed by code rather than relying on trusted intermediaries or central authorities.
The underlying technology provides cryptographic guarantees that agreements will be executed as specified, while the social layer creates the conditions for effective human collaboration across contexts and scales. This combination allows DAOs to experiment with novel governance models that can be more responsive, inclusive, and adaptable than traditional organizational structures, while also operating with greater transparency and lower coordination costs.
Uses of “DAO”
The term “DAO” has evolved to encompass multiple interpretations and implementations, each emphasizing different aspects of decentralized coordination:
DAOs as Legal Entities
In some jurisdictions, DAOs can be legally recognized organizational structures (such as DAOs registered in Wyoming or DAO LLCs in the Marshall Islands). In this context, a DAO represents a legal wrapper that provides limited liability protection while enabling on-chain governance and transparent operations. This interpretation focuses on DAOs as alternatives to traditional corporate structures, with similar functions but more distributed control mechanisms.
DAOs as Protocol Governance Systems
Many blockchainprotocols use DAOs to manage upgrades, parameter changes, and treasury allocations. These protocol DAOs (like MakerDAO or Uniswap) enable token holders to vote on proposals that shape the development and operation of the underlying technology. The focus here is on decentralizing control over critical infrastructure to prevent capture by any single entity while ensuring the protocol evolves to meet user needs.
DAOs as Purpose-Aligned Networks
As described in the DAO Primitives Project, DAOs can be understood as “purpose-aligned networks of small autonomous teams” rather than discrete entities. This perspective views DAOs as fluid coordination systems where smaller groups (Cells) self-organize around a shared purpose while maintaining their autonomy. The network provides infrastructure for these groups to discover each other, share resources, and align activities toward common goals without requiring centralized direction.
As noted in DAOs aren’t things… they are flows:
“If we can shed this ‘company as centralising entity’ paradigm and instead see DAOs not as entities but as centerless networks with coordinated flows of resources, then a whole new way of looking at business and economics becomes possible.”
DAOs as Experimental Spaces
DAOs also represent laboratories for social, economic, and governance experimentation. They provide infrastructure for testing novel coordination mechanisms, incentive structures, and decision-making processes at scale. This usage emphasizes DAOs as vehicles for institutional innovation, enabling communities to rapidly iterate on organizational designs that would be difficult to implement within traditional structures.
DAOs as Network Economies
Unlike companies that operate business models, DAOs can function as network economies that harness both scaling infrastructure and creative networks. As described in Scale and the levers that provide DAOs their power, this enables DAOs to achieve efficiencies similar to traditional organizations while maintaining the innovation capacity typically lost in rigid hierarchies.
“DAOs are network economies, not business models. And as network economies they can be more like cities and can escape the rigid and finite fate of companies.”
Key Characteristics of DAOs
While implementations vary widely, most DAOs share several defining characteristics:
Distributed Decision-Making: Authority is distributed across members rather than concentrated in a management hierarchy.
Transparent Operations: Transactions, governance processes, and resource allocations are publicly visible on the blockchain.
Programmable Governance: Rules for coordination and decision-making are encoded in smart contracts, ensuring consistent enforcement.
Token-Based Participation: Rights to participation, governance, and economic benefits are often represented by tokens or other cryptographic credentials.
Purpose Alignment: Members coordinate around shared goals, values, or objectives rather than being directed by centralized authority.
Permissionless Access: Many DAOs allow anyone to participate in some capacity without requiring approval from gatekeepers.
Multi-Scale Governance: Different decision-making processes operate at different scales, from small autonomous teams to network-wide votes.
Related Concepts
Governance - The frameworks and processes that guide decision-making in DAOs
Data sovereignty refers to the right and capacity of individuals, communities, and governing bodies to maintain authority over their data, determining how it is collected, stored, processed, and shared while preserving autonomy and self-determination in an increasingly data-driven world.
Data sovereignty represents a fundamental shift from extractive data models toward systems where data creators and subjects retain meaningful control throughout the data lifecycle. Unlike conventional approaches where data is often centralized and exploited with minimal regard for its origins, sovereignty-based models recognize data as an extension of individual and collective autonomy that should remain under the control of those who generate it. This principle applies across scales—from personal data and community knowledge to indigenous wisdom and national information systems.
In Web3 and decentralized contexts, data sovereignty takes on particular importance as these systems explicitly aim to create alternatives to the surveillance capitalism and data extraction that characterize many mainstream digital services. By combining technical infrastructure (like self-sovereign identity systems and decentralized storage) with governance frameworks that center community ownership, data sovereignty approaches create the conditions for more equitable, consensual relationships between data subjects, stewards, and users.
Uses of “Data Sovereignty”
Data Sovereignty in Indigenous and Community Contexts
For indigenous peoples and local communities, data sovereignty represents a critical extension of self-determination and cultural autonomy. This approach recognizes that knowledge and information about communities should remain under their governance, challenging historical patterns where external researchers, corporations, and governments have extracted and controlled community data without consent or benefit-sharing.
Community data sovereignty often involves governance frameworks that ensure:
Community ownership and control of cultural knowledge and information
Protocols for appropriate data collection, storage, and use
Requirements for consent and benefit-sharing when external parties access community data
Protection of sensitive cultural information according to traditional laws and customs
These approaches connect to semiotic-bridging, which enables communities to “maintain sovereignty over their own information” while still participating in broader knowledge exchange networks. This balance creates systems where communities can share knowledge on their own terms without surrendering control to external platforms or authorities.
Data Sovereignty in Personal Privacy and Identity
At the individual level, data sovereignty centers on personal control over one’s digital identity, information, and online presence. This stands in contrast to conventional digital services where personal data is routinely harvested, aggregated, and monetized by platform providers with minimal transparency or user control.
Web3 approaches to personal data sovereignty include:
Self-sovereign identity systems that give individuals control over their credentials
Decentralized storage solutions that prevent platform lock-in
Selective disclosure capabilities that enable sharing specific information without revealing everything
User-controlled encryption that protects sensitive data from unauthorized access
Personal data stores that consolidate information under individual rather than corporate control
These technologies align with privacy as both “protective and generative functions,” creating spaces where individuals can participate in digital life without surrendering their autonomy or exposing themselves to surveillance.
Data Sovereignty in Web3 Infrastructure
In Web3 ecosystems, data sovereignty principles shape the design of technical infrastructure to ensure users maintain control over their information even while participating in decentralized networks. This infrastructure includes:
Decentralized storage networks that distribute data across peer nodes rather than corporate servers
Encryption systems that ensure only authorized parties can access sensitive information
Self-sovereign identity protocols that separate data storage from authentication
Verifiable credentials that enable selective disclosure of personal information
Data unions and cooperatives that enable collective negotiation over data use
These technical implementations create what autonomy describes as “the capacity for self-governance and independent decision-making within interconnected systems,” allowing participants to maintain sovereignty while still engaging in collaborative networks.
Data Sovereignty in Governance Frameworks
Data sovereignty requires governance frameworks that formalize rights, responsibilities, and processes for data management across different scales. These frameworks translate philosophical principles into practical arrangements for determining who can access, use, and benefit from data.
Effective data sovereignty governance typically includes:
Clear definitions of rights and responsibilities for different stakeholders
Consent mechanisms that ensure informed participation
Benefit-sharing arrangements that recognize data creators’ contributions
Dispute resolution processes for addressing conflicts
Representation of data subjects in decision-making about data policies
These governance approaches connect to broader decentralization efforts that distribute “power, decision-making, and control away from a central authority to multiple individuals or entities,” creating more equitable and participatory systems.
Related Concepts
Privacy: Data sovereignty enables privacy by giving individuals and communities control over information disclosure
Autonomy: Data sovereignty represents a specific application of autonomy in the digital realm
Decentralization: Distributed systems can enable data sovereignty by preventing centralized control
Semiotic Bridging: Enables communities to share knowledge while maintaining control over their information
Governance: Frameworks that determine how data sovereignty principles are implemented and enforced
Community: Often serves as a key unit of data governance between individual and institutional scales
Localism: Connects to data sovereignty through emphasis on local determination and control
References and Resources
CARE Principles for Indigenous Data Governance
The concept of “technological sovereignty” in community networks
Data commons and data cooperatives as collective sovereignty models
Decentralized identity standards and implementations
Decentralization refers to the distribution of power, decision-making, and control away from a central authority to multiple individuals or entities, allowing for more distributed and autonomous operations.
Decentralization represents a fundamental shift in how systems are organized and governed, moving from hierarchical, centralized structures toward networked, distributed arrangements. This organizational principle can be applied to technological systems (like blockchains), governance structures (like DAOs), and social coordination mechanisms. At its core, decentralization seeks to reduce single points of failure, minimize capture by concentrated interests, and enable greater participation by diverse stakeholders.
The degree of decentralization exists on a spectrum rather than as a binary state. Systems can decentralize specific functions (like decision-making or resource allocation) while maintaining centralization in others. The effectiveness of decentralization depends heavily on context - what works for one system or community might be inappropriate for another. Well-designed decentralized systems carefully balance autonomy with coordination, creating structures that enable individual freedom while maintaining coherent collective action.
Uses of “Decentralization”
Decentralization in Technological Systems
In blockchain and Web3 technologies, decentralization refers to the distribution of network infrastructure, data storage, and processing across multiple independent nodes. This technical decentralization creates systems that are resistant to censorship, tampering, and single points of failure. Bitcoin pioneered this approach by distributing the verification and recording of transactions across a global network of computers, eliminating the need for trusted intermediaries like banks or payment processors.
The technical implementation of decentralization typically involves consensus mechanisms, cryptographic verification, and incentive structures that allow a network to maintain consistency and security without central control. Different protocols make different trade-offs between decentralization, scalability, and security (often called the “blockchain trilemma”), leading to varied approaches across the Web3 ecosystem.
Decentralization in Organizational Design
In organizational contexts, decentralization involves distributing authority, decision-making power, and operational responsibilities across teams rather than concentrating them in a management hierarchy. As described in Building DAOs as scalable networks, this can take the form of “purpose-aligned networks of small autonomous teams” that coordinate through shared protocols rather than command-and-control structures.
Decentralized organizations often implement governance at multiple scales: small collaborative teams make operational decisions, coordination mechanisms align activities across teams, and constituency-scale processes determine overall direction and purpose. This approach combines the adaptability and contextual intelligence of autonomous teams with the coherence and scaling benefits of networked coordination.
Decentralization in Governance
In governance systems, decentralization refers to distributing power and authority across stakeholders rather than concentrating it in representative bodies or executive leadership. This can involve direct participation in decision-making, delegation mechanisms that preserve accountability, and nested governance structures that handle decisions at appropriate scales.
As explored in the Governance for better futures series, decentralized governance approaches can create more responsive, legitimate, and resilient systems by engaging diverse stakeholders and balancing power across networks. This doesn’t mean eliminating all structure or leadership, but rather designing systems where authority flows from community consent rather than institutional position.
Decentralization in Social Impact
In social impact contexts, decentralization addresses traditional power imbalances in philanthropy and development work. By distributing decision-making authority to affected communities rather than donors or intermediaries, decentralized approaches can create more equitable, contextually appropriate, and sustainable solutions.
This application of decentralization particularly emphasizes the importance of transferring not just nominal authority but also resources, knowledge access, and implementation capacity to historically marginalized communities. Web3 tools can enhance this process by creating transparent resource flows, participatory decision mechanisms, and direct community ownership of assets and infrastructure.
Related Concepts
Autonomy: Decentralization creates spaces for autonomous action by individuals and groups within a larger system
DAOs: Decentralized Autonomous Organizations implement decentralization through technological and social coordination mechanisms
Governance: Decentralized governance systems distribute decision-making authority across stakeholders
Consensus and Consent: Mechanisms for reaching agreement in decentralized systems
Power: Decentralization fundamentally addresses the distribution of power in social and technical systems
Permissionless-ness: The ability to participate without requiring approval from centralized gatekeepers
Networks: Decentralized systems typically organize as networks rather than hierarchies
Decisions are the transformative points where potential becomes direction through the selection of specific courses of action from available alternatives, enabling coordinated progress while reflecting underlying values, power structures, and governance principles.
Decision-making lies at the heart of all organizational systems, determining how resources are allocated, strategies are formed, and collective action is coordinated. The mechanisms through which decisions are made fundamentally shape an organization’s ability to respond to challenges, innovate, and align with its purpose. Traditional systems have often concentrated decision-making authority in hierarchical structures, while decentralized approaches distribute this power across networks of autonomous agents operating within shared frameworks.
In the context of decentralized organizations, decisions take on additional dimensions of complexity and opportunity. When properly designed, decentralized decision-making systems can harness collective intelligence, increase responsiveness to changing conditions, and create more equitable participation in governance. However, they also introduce challenges around coordination, accountability, and effectiveness that require thoughtful design of decision protocols, processes, and supporting infrastructure.
Uses of “Decisions”
Decisions in DAO Governance
In DAO contexts, decision-making encompasses both the technical mechanisms (voting systems, proposal processes) and social practices that enable collective action. Unlike traditional organizations that rely on authority-based decision hierarchies, DAOs experiment with various approaches to distributing decision rights while maintaining coordination.
As described in Building DAOs as scalable networks, effective DAO governance often employs a two-house model separating different types of decisions:
Community Governance decisions focus on long-term direction, purpose alignment, and treasury management at constituency scale
Operational Governance decisions address day-to-day implementation, project management, and tactical choices at coordination scale
This separation allows for appropriate decision processes at different scales and timeframes while preserving overall alignment.
Decisions in Collaboration Teams
At collaboration scale, decision-making becomes more direct and relational. Small autonomous teams (Cells) require efficient decision protocols that balance speed with quality.
The Decider protocol illustrates this approach, providing a structured process for rapid team decisions that maintains space for objections while avoiding unnecessary debate. As the protocol documentation explains:
“The decider protocol is designed to support collaboration scale teams to make decisions in a way that: 1. Is fast and efficient 2. Protects against group anti-patterns that lead to poor decisions”
Such protocols establish clear social agreements about how groups will navigate choices together, creating predictable patterns that reduce coordination costs.
Decisions in Consensus vs. Consent Frameworks
Decision-making approaches vary significantly in how they define agreement. Two prominent approaches in decentralized systems are:
Consensus-based decisions require all participants to actively agree with and support a proposal before moving forward. This approach prioritizes universal acceptance but can be time-intensive and vulnerable to blocking.
Consent-based decisions focus on the absence of reasoned, substantial objections rather than active agreement from all parties. This enables more efficient decision-making while still protecting against harmful changes.
As explained in the consent documentation:
“Consent is a principle where a proposal or action can proceed when no participant raises a reasoned, substantial objection that the proposal would harm the organization’s ability to achieve its purpose or prevent a member from fulfilling their role.”
The choice between these approaches reflects fundamental trade-offs between participation, efficiency, and risk management that organizations must navigate based on their context and goals.
Decisions in Resource Allocation
A critical function of decisions in any organization is determining how resources are deployed. In decentralized systems, this often involves innovative approaches to treasury management and capital allocation.
From community-directed funding through proposals to algorithmic distribution mechanisms like quadratic funding, web3 organizations experiment with decision structures that distribute resource allocation authority while maintaining alignment with collective purpose. These systems often blend human judgment with programmable rules to create more transparent, participatory resource decisions.
Related Concepts
Several key concepts in the knowledge base connect directly to decisions and decision-making:
Governance: The overarching frameworks within which decisions are made, including the distribution of decision rights and accountability mechanisms
Permissions: Systems that determine who can make which types of decisions and under what conditions
Execution: The implementation of decisions, transforming choices into actions and outcomes
Evaluation: The assessment of decision outcomes, informing future decision processes
Agreements: The formal or informal understandings that establish decision parameters and processes
Progress: The tracking and management of advancement toward goals, both informing and resulting from decisions
Distributed refers to systems, resources, or processes that are spread across multiple locations, nodes, or participants, rather than being concentrated in a single place or entity. These components communicate and coordinate through networks to achieve collective outcomes while maintaining operational independence.
Distributed architectures appear across technological, social, and economic systems, representing a fundamental pattern for organizing complex activities across space and participants. Unlike simple geographic spread, distributed systems maintain coherence through coordination mechanisms that allow independent components to work toward shared goals. This arrangement can enhance resilience, efficiency, and accessibility by leveraging diverse resources and reducing dependency on single points of provision.
In social and economic contexts, distributed approaches can democratize access to resources and opportunities by spreading them across communities rather than concentrating them in centralized institutions. The degree and nature of distribution varies significantly across applications—from technical infrastructure that distributes computational load across servers, to economic models that distribute value creation and benefits across network participants.
Distributed vs. Decentralized
While “distributed” and “decentralized” are often used interchangeably, they address fundamentally different aspects of system organization and serve distinct purposes in SuperBenefit’s work.
Distributed primarily concerns the physical or logical arrangement of resources, components, and processes. It addresses questions of location, resource allocation, and operational distribution: Where are things located? How are resources spread across participants? What capabilities exist at different nodes in the network?
Decentralized primarily concerns the control and authority structure within systems. It addresses questions of power, decision-making, and governance: Who has authority to make decisions? How is control distributed or concentrated? What mechanisms exist for collective coordination without central control?
These concepts can be combined in various ways:
Distributed but Centralized: A system where resources are spread across multiple locations but control remains with a central authority. For example, a company with offices worldwide but centralized management decision-making.
Decentralized but Not Distributed: A system where control is shared among participants but operations remain geographically concentrated. For example, a local community cooperative where all members participate in governance but activities happen in one location.
Both Distributed and Decentralized: A system where both resources and control are spread across networks. Blockchain protocols exemplify this combination, spreading both computational resources and governance authority across global networks.
Neither (Centralized and Concentrated): Traditional centralized systems where both resources and control are concentrated in single entities.
In SuperBenefit’s context, understanding this distinction helps in designing systems that intentionally address both resource allocation and power dynamics. For instance, platform cooperatives might implement distributed technical infrastructure while maintaining decentralized governance, ensuring both operational resilience and democratic control.
Uses of “Distributed”
Distributed in Technological Systems
In Web3 and blockchain technologies, distributed architecture refers to spreading computational resources, data storage, and processing across multiple nodes in a network. This technical distribution creates systems that can share workload, improve performance, and maintain operations even when individual components fail. Unlike decentralized systems which focus on eliminating central authority, distributed systems primarily address the physical arrangement and coordination of resources.
Distributed networks enable resource sharing and collective computation while potentially maintaining centralized coordination. For example, a distributed application might spread processing across multiple servers while still having centralized management of user authentication or business logic. This combination allows systems to scale efficiently while maintaining coherent user experiences and operational control where needed.
Distributed in Governance and Decision-Making
In governance contexts, distributed approaches spread decision-making authority, resources, and implementation capacity across multiple participants rather than concentrating them in single institutions. As seen in SuperBenefit’s work with cooperatives and DAOs, distributed governance can involve “mechanisms that distribute both decision-making power and responsibility across networks rather than concentrating them in centralized entities”.
This governance distribution often operates at multiple scales simultaneously—individual participants make autonomous decisions within their domains while coordinating through shared protocols and collective processes. Distributed governance doesn’t necessarily eliminate hierarchy or coordination structures, but rather spreads authority and accountability across networks of participants who maintain operational independence while contributing to collective outcomes.
Distributed in Economic Systems
In economic contexts, distributed approaches focus on spreading value creation, resource allocation, and benefit distribution across multiple participants rather than concentrating them in single entities or locations. Platform cooperatives exemplify this approach by ensuring “that value created on digital platforms flows to the communities that generate it rather than being extracted by external investors”, while “creating value chains that distribute benefits across multiple participants”.
Distributed economic models can operate through various mechanisms: mutual credit systems that distribute currency creation across participants, resource-sharing networks that distribute access to tools and capabilities, and cooperative structures that distribute ownership and control across stakeholders. These approaches often combine distributed resource allocation with coordination mechanisms that maintain system coherence and collective purpose.
Distributed in Social Coordination
In social impact and community organizing, distributed approaches spread capacity, knowledge, and implementation across networks of participants rather than concentrating them in single organizations or institutions. This distribution can increase resilience and local responsiveness while maintaining coordination across broader networks.
Distributed social coordination often involves creating frameworks that enable autonomous local action while facilitating resource sharing, knowledge exchange, and collective decision-making across the network. This approach recognizes that effective social change often requires both local contextual knowledge and broader coordination to achieve systemic impact.
Related Concepts
Decentralization: While decentralization focuses on distributing control and authority, distributed systems focus on spreading resources and components across networks
Networks: Distributed systems typically organize as networks that enable coordination between geographically or organizationally separated components
Coordination: Distributed systems require coordination mechanisms to maintain coherence and shared purpose across independent components
Autonomy: Distributed architectures often preserve autonomy for individual participants while enabling collective action
Cooperative: Cooperatives often implement distributed ownership and benefit-sharing across members
Governance: Distributed governance spreads decision-making authority and implementation capacity across multiple participants
Emergence refers to the phenomenon where properties, behaviors, or capabilities arise from the interactions and relationships between components of a system, rather than from the characteristics of individual parts alone. These collective properties cannot be predicted by analyzing components in isolation and represent outcomes where “the whole becomes more than the sum of its parts.”
Emergence is a fundamental concept in complex systems theory that describes how collective behaviors and system-level properties arise from the interactions between individual components. In the context of decentralized organizations and social coordination, emergent properties help explain how communities, networks, and cooperative systems develop capabilities and characteristics that exceed what individual participants could achieve independently.
Understanding emergence is crucial for designing and supporting decentralized systems because it highlights how local interactions and simple rules can generate sophisticated collective behaviors, adaptive capacity, and system-wide coordination without centralized control. This perspective emphasizes the importance of creating conditions that support productive interactions and relationships rather than trying to directly control outcomes, making emergence particularly relevant to Web3 governance, cooperative organization, and community-led initiatives.
Uses of “Emergence”
Emergence in Decentralized Network Coordination
In Web3 and DAO contexts, emergence in coordination describes how collective decision-making and resource allocation capabilities arise from individual participant interactions within shared governance frameworks. These systems create “mechanisms for resource pooling, risk distribution, and collective governance without requiring centralized control,” where network-level coordination emerges from autonomous individual contributions and interactions.
Blockchain protocols exemplify emergence in coordination where individual validators, users, and developers create system-wide security, consensus, and functionality through their independent actions within shared protocols. The robust operation of decentralized networks emerges from distributed individual choices rather than centralized planning, creating resilient systems that adapt and evolve through participant interactions rather than hierarchical management.
Emergence in Cooperative Organization
In cooperative contexts, emergence appears when individual member participation creates collective capabilities for democratic governance, economic coordination, and shared value creation that exceed what members could achieve independently. Multi-stakeholder cooperatives demonstrate emergence through how “diverse stakeholder interests within their governance structure” create organizational capabilities for addressing complex challenges that individual stakeholders cannot solve alone.
These capabilities often include adaptive governance processes, innovative resource allocation mechanisms, and collective learning systems that arise from member interactions rather than predetermined organizational design. The cooperative’s ability to balance diverse interests while maintaining democratic control emerges from ongoing member participation and relationship-building rather than top-down management structures.
Emergence in Social Movement Organizing
In community organizing and mutual aid contexts, emergence describes how grassroots networks develop collective capacity for social change, resource sharing, and community resilience through distributed local actions and relationships. These capabilities often surprise organizers themselves as local initiatives combine and interact to create movement-level impacts that weren’t explicitly planned or coordinated.
Social movements demonstrate emergence through how local solidarity networks coordinate responses to challenges, share resources across communities, and develop collective power that exceeds the sum of individual group capabilities. The movement’s adaptive capacity and strategic effectiveness emerge from relationship networks and shared practices rather than centralized campaign strategies, creating resilient social coordination that can respond to changing conditions and opportunities.
Emergence in Community Innovation
In community development contexts, emergence in innovation describes how local experimentation and relationship-building create new approaches to challenges that combine existing resources and knowledge in unexpected ways. Community-led solutions often emerge from participant interactions and local knowledge networks rather than external intervention or formal research processes.
These innovations frequently combine traditional community knowledge with new technologies or organizational approaches, creating locally-adapted solutions that address specific community needs while contributing insights that can inform similar efforts elsewhere. The innovation capacity emerges from community relationships and collaborative learning processes rather than individual expertise or institutional resources.
Related Concepts
Complex Systems: Emergence is a fundamental characteristic of complex systems with multiple interacting components
Networks: Network interactions create the conditions where emergence occurs between autonomous participants
Self-Governed: Emergence enables self-governance by creating collective capabilities without external control
Adaptive: Systems displaying emergence often develop adaptive capacity that allows them to respond to changing conditions
Collective: Emergence represents collective capabilities that exceed individual participant contributions
Decentralization: Decentralized systems rely on emergence to achieve collective outcomes without central authority
Cooperative: Cooperatives demonstrate emergence in democratic governance and collective economic capacity
Coordination: Coordination often arises through emergence from participant interactions within shared frameworks and protocols
Frameworks are structured conceptual models that provide organizing principles, components, and relationships to guide understanding, decision-making, and implementation in complex domains, enabling consistent approaches to recurring challenges without rigid prescription.
Frameworks serve as intellectual scaffolding that bridge theory and practice, offering flexible but coherent structures for approaching complex problems. Unlike rigid methodologies that prescribe specific steps, good frameworks establish foundational principles, key components, and important relationships while leaving room for adaptation to context. They provide cognitive leverage by organizing knowledge and experience into patterns that make complexity more manageable and communicable.
In the context of decentralized systems and social impact, frameworks play a crucial role in translating abstract concepts into practical implementation while maintaining values alignment. They help diverse stakeholders develop shared understanding and coordinate action without centralized control. By making implicit knowledge explicit and transferable, frameworks accelerate learning across communities and enable more effective collaboration across cultural, organizational, and disciplinary boundaries.
Uses of “Frameworks”
Frameworks serve distinct yet complementary purposes across different domains: in organizational design, they provide structural models for coordination and development; in web3 governance, they offer systematic approaches to power distribution and decision-making; and in social impact, they create navigational tools for addressing complex societal challenges while maintaining values alignment.
Frameworks in Organization Design
In organizational contexts, frameworks provide structured approaches to governance, coordination, and development. They offer conceptual models for understanding key components and relationships in organizational systems, helping stakeholders visualize complex interactions and design coherent structures.
The DAO Primitives Framework exemplifies this approach, providing foundational concepts and patterns for building decentralized organizations. As noted in the knowledge base, this framework explores how DAOs function as “purpose-aligned networks of small autonomous teams” and offers tools for facilitating group development across different phases and scales. This framework helps practitioners design organizations that balance autonomy with coordination, creating systems that can scale while maintaining alignment with core purpose.
Frameworks in Web3 Governance
In web3 governance, frameworks provide structured approaches to addressing coordination challenges, power dynamics, and decision-making processes. These frameworks often combine technical mechanisms (like voting systems and smart contracts) with social practices and principles that guide their implementation.
The Anticapture Framework represents a significant contribution to this field, offering a systematic approach to designing systems resistant to power concentration and exploitation. It provides a structured analysis of capture risks and corresponding design patterns to create more resilient governance systems. As referenced in governance discussions throughout the knowledge base, Anticapture offers principles for balancing decentralization with effective coordination.
Similarly, Modular Politics provides a framework for understanding how governance components can be designed as interchangeable modules, allowing for flexible adaptation to different contexts and needs. This framework helps communities select and combine governance mechanisms appropriate to their specific requirements rather than imposing one-size-fits-all solutions.
Frameworks for Social Impact
In social impact contexts, frameworks provide structured approaches to understanding and addressing complex societal challenges. They help practitioners navigate the interconnected nature of social, economic, and environmental systems while maintaining focus on equitable outcomes and community empowerment.
The various frameworks discussed in the “Governance for better futures” series offer approaches for reimagining how communities can coordinate action toward social goals. These frameworks emphasize principles like multi-scale governance, participatory decision-making, and distributed leadership to create more inclusive and effective impact initiatives.
Related Concepts
Primitives: Fundamental building blocks that frameworks organize into coherent systems
Patterns: Reusable solutions to common problems that frameworks often incorporate and contextualize
Protocols: Standardized procedures that implement framework principles in specific domains
modules: Self-contained components that can be arranged according to framework principles
Playbooks: Practical guides that apply frameworks to specific implementation contexts
Practices: Regular activities and methods guided by framework principles
Frameworks in the SuperBenefit Knowledge Base
Several key frameworks are documented and developed within the SuperBenefit ecosystem:
DAO Primitives Framework: A conceptual model for understanding and designing decentralized autonomous organizations
Anticapture: A framework for designing governance systems resistant to power concentration and exploitation
[Modular Politics](drafts/trash/Modular Politics.md): An approach to governance that emphasizes composable, interchangeable components
The Blockchain Governance Toolkit: A resource for implementing effective governance in blockchain-based systems
Decentralized governance in the context of Web3 and DAOs refers to the decentralized, blockchain-based system where rules, decisions, and resource allocation are managed collectively by participants through transparent, automated mechanisms like smart contracts. Rather than concentrating decision-making power in a traditional hierarchy, decentralized governance distributes authority across different scales and functions of the organization.
Operates at Constituency Scale to safeguard and evolve the network’s overarching purpose. Community governance includes a broad base of stakeholders who may not be directly involved in operations but are aligned with the network’s purpose. It uses slower, more deliberative mechanisms like conviction voting and optimistic governance to make long-term decisions about network direction and treasury allocation.
Functions at Coordination Scale to enable effective day-to-day operations and resource allocation. Built on sociocratic structures where Cells (small autonomous teams) coordinate their activities. Operational governance provides the flexibility and autonomy needed for teams to execute effectively while maintaining coordination across the network.
Focuses on aligning key stakeholder interests and managing relationships between different participants in the network. This includes coordinating between active contributors, token holders, users, and other parties who have a direct stake in the network’s success. Stakeholder governance helps balance competing interests while maintaining alignment with the network’s purpose.
Articles on governance:
Governance for Better Futures series:
Governance for better futures - DAO 2 DAO Co-operation
Governance for better futures - Meta-governance
Governance for better futures - New and Old
DAO Primitives Articles
DAOs aren’t things… they are flows.
Scale and the levers that provide DAOs their power
In Web3 and DAOs, grants are decentralized, community-governed financial distributions from a collective treasury, used to fund public goods, projects, and initiatives that align with the network’s purpose and values.
Grants represent one of the most fundamental actions a DAO can take. They are the primary mechanism through which a DAO translates its collective intent into funded work. Unlike traditional grants, which are often slow and administered by centralized committees, DAO grants are typically proposed, debated, and approved through transparent, on-chain governance processes. This allows for more dynamic, responsive, and permissionless resource allocation, enabling communities to directly fund the contributors and projects they believe will best serve the ecosystem.
This model transforms funding from a top-down directive into a bottom-up, community-driven process. Grants are used to fund everything from core protocol development and security audits to creative content, community-building efforts, and ecosystem research. They are a powerful tool for bootstrapping an ecosystem, incentivizing innovation, and rewarding contributions in a way that is aligned with the collective’s shared goals.
Uses of “Grants”
As a Primary Tool for Treasury Deployment
For any DAO, the treasury is its central economic engine, and grants are the primary vehicle for deploying its capital. The governance process is often centered on evaluating grant proposals to decide how to allocate these shared resources effectively. A DAO’s grants program is a direct reflection of its strategic priorities and its ability to execute on its mission.
As a Foundational Mechanism in DAO Frameworks
As noted in notes/links/to-review/A Pocket Guide to DAO Frameworks, many of the earliest and most successful DAO frameworks were designed specifically for grant-making.
The Moloch framework was conceived as a “minimum viable DAO” for grant distribution, introducing the “Ragequit” feature to protect minority members from funding decisions they strongly oppose.
More modular frameworks like OpenZeppelin Governor provide the general-purpose proposal and voting machinery that DAOs like Uniswap use to pass grant proposals, funding a wide range of ecosystem development.
To Fund Autonomous Teams in Scalable Networks
In the scalable network model described in artifacts/articles/network-evolution 1/Building DAOs as scalable networks, grants are essential for resourcing the small, autonomous teams (Cells) that perform the network’s work. Rather than receiving a salary from a central authority, Cells or individuals can submit proposals to the DAO’s governance bodies to receive grants for specific projects. This model also supports innovative funding mechanisms like retroactive public goods funding, a type of grant that rewards past work that has proven valuable to the network, thereby incentivizing permissionless innovation.
Related Concepts
Treasury: The collective pool of assets from which grants are funded.
Governance: The decision-making process through which grant proposals are reviewed and approved.
DAOs: The organizations that operate grants programs to achieve their goals.
Resources: Grants are the mechanism for allocating a DAO’s financial resources to contributors.
Cells: The autonomous teams and working groups that are often the recipients of grants.
Groups are purposeful collections of individuals or entities that coordinate their actions, share resources, and make decisions together to achieve common objectives, forming the fundamental units of social organization across different scales of complexity.
Groups represent a fundamental structural pattern across all coordination systems, from small collaborative teams to global networks. They form whenever multiple agents establish relationships and shared practices to pursue collective aims, creating boundaries that distinguish members from non-members and developing internal norms that guide interaction. This basic pattern of human organization adapts and scales across contexts, creating nested structures of groups within groups that enable complex coordination.
In decentralized systems, groups function as both autonomous units and interconnected nodes within broader networks. They provide spaces for high-bandwidth collaboration while maintaining connections to larger contexts through agreements, shared purpose, and communication protocols. This dual nature—simultaneously independent and interdependent—enables effective coordination that balances local autonomy with network-wide coherence, creating resilient systems that can adapt to changing conditions while maintaining overall integrity.
Uses of “Groups”
Groups at Different Scales
The index identifies three fundamental scales at which groups operate within decentralized networks, each with distinct coordination mechanisms and dynamics:
Collaboration Scale: Small teams of 3-8 people engaging in high-bandwidth, synchronous interaction to accomplish specific tasks. These intimate groups enable deep trust, rapid iteration, and contextual learning.
Coordination Scale: Networks of 10-150 people coordinating across functions through formalized agreements, shared state documentation, and asynchronous communication. These groups balance structure with flexibility to align diverse activities toward common objectives.
Constituency Scale: Large communities of hundreds to thousands of stakeholders engaging through representative mechanisms, network governance, and shared infrastructure. These groups make fundamental direction-setting decisions and steward collective resources.
As Building DAOs as scalable networks explains, effective decentralized organizations design appropriate governance and coordination mechanisms for each scale, creating harmonious systems that “leverage mechanisms that derive collective intelligence from the three different scales that a DAO network operates across.”
Groups in the Cell Model
The Cell model, described in DAOs - From fractal primitives to network scale, views groups as the fundamental building blocks of network organizations. Each cell represents an autonomous group that maintains its internal coherence while connecting to others through transparent agreements and shared purpose.
This model enables what the framework calls “DAOs as fractal networks of connected cells” where small autonomous teams self-organize around opportunities while remaining aligned with network-wide direction. The relationship between cells is neither hierarchical nor completely independent, but rather based on mutual agreements that establish how groups will coordinate while preserving their autonomy.
Groups in Developmental Phases
Groups evolve through distinct developmental phases as they mature, each characterized by different priorities, activities, and coordination mechanisms. The DAO Primitives Framework identifies four key phases:
Conversation Phase: Exploratory dialogue focused on building relationships, establishing shared context, and identifying potential areas for collaboration.
Collaboration Phase: Active cooperation around specific initiatives, with emphasis on creating initial structure and demonstrating value.
Commitment Phase: Development of formal agreements and governance mechanisms to sustain long-term engagement and resource allocation.
Coordination Phase: Integration within broader networks through established protocols, enabling efficient coordination across multiple groups and contexts.
These phases represent a maturity model for group development rather than a strictly linear progression, with groups often cycling through different phases as they take on new challenges or integrate new members.
Groups in Governance Structures
In decentralized governance contexts, groups often form around specific functions, domains, or decision types, creating a networked governance structure rather than a centralized hierarchy. As described in Building DAOs as scalable networks, this approach enables specialized expertise and contextual decision-making while maintaining overall coherence.
The two-house governance model exemplifies this approach, with Community Governance groups safeguarding purpose and long-term direction while Operational Governance groups focus on implementation and day-to-day coordination. This separation creates appropriate forums for different types of decisions while establishing clear relationships between governance functions.
Related Concepts
Cells: Autonomous teams that serve as the basic organizational units in DAO networks
Teams: Collaborative groups focused on specific functions or objectives
Community: The broader social fabric within which groups operate
Scale: The different levels at which groups function, from small teams to large networks
Coordination: The processes through which groups align their activities
Agreements: The formal or informal understandings that define group relationships
References and Resources
Building DAOs as scalable networks: Explores group structures in decentralized organizations
DAOs - From fractal primitives to network scale.: Discusses cells as the basic group unit in DAO networks
DAO Primitives Framework: Provides comprehensive model of group scales and phases
Impact refers to the measurable, positive change created through intentional interventions in social, environmental, and economic systems, with a focus on sustainable, equitable outcomes that address systemic challenges.
In the context of Web3 and decentralized systems, impact represents a fundamental shift from traditional approaches to social and environmental change. Rather than relying solely on centralized institutions or market mechanisms, Web3 enables new models for coordinating resources, verifying outcomes, and aligning incentives toward positive-sum goals. These approaches leverage transparency, decentralized governance, and programmable incentives to address complex challenges that have proven resistant to conventional solutions.
Impact in this context moves beyond isolated interventions to focus on systemic transformation, seeking to address root causes rather than symptoms. This systemic approach recognizes the interconnected nature of social, environmental, and economic challenges, and aims to create regenerative solutions that build resilience, equity, and sustainability into the fabric of our systems and institutions.
Uses of “Impact”
Impact in Web3 and DAOs
In Web3 ecosystems, impact refers to the measurable positive outcomes or changes facilitated by decentralized technologies and coordination systems. This includes improving access, transparency, and equity across social, environmental, and economic dimensions through novel mechanisms enabled by blockchain and related technologies.
Web3 approaches to impact often include:
Transparent resource allocation through community-directed funding
Verifiable outcome reporting using attestations and on-chain data
Incentive alignment through token engineering and mechanism design
Public goods funding through quadratic mechanisms and retroactive rewards
Coordination of decentralized contributions toward shared goals
These mechanisms enable more participatory, transparent, and equitable approaches to creating change, allowing communities to self-organize around shared challenges without requiring centralized intermediaries to coordinate or validate their efforts.
Impact Measurement and Verification
A critical dimension of impact involves the processes and systems for measuring, verifying, and communicating outcomes. Web3 technologies enable new approaches to impact measurement that address longstanding challenges in the social impact sector.
As explored in the attestations lexicon entry, “Impact attestations represent a specialized application of attestation technology focused on documenting, verifying, and communicating social and environmental outcomes.” These systems enable more transparent, verifiable reporting while creating new mechanisms for directing resources toward effective interventions.
Impact verification typically involves multiple stakeholders and perspectives:
Self-reporting by project implementers
Community verification by affected stakeholders
Third-party validation by independent evaluators
Resource provider confirmation by funders or investors
These verification layers work together to create more robust, context-sensitive assessments of impact that balance rigor with flexibility and local relevance.
Impact in Philanthropy and Social Finance
In philanthropic and social finance contexts, impact represents a shift from traditional funding models toward more transparent, participatory approaches to resource allocation and outcome verification. This shift acknowledges the power imbalances inherent in conventional philanthropy and seeks to create more equitable relationships between funders and communities.
The Reimagining Power project specifically examines how Web3 can transform impact by addressing fundamental power dynamics in philanthropy. As the project documentation notes, achieving transformational change “requires bold shifts in how we understand and exercise power, mobilize resources, and distribute value.” This includes creating mechanisms for communities to directly participate in decision-making about resource allocation and impact assessment.
In this context, impact is closely tied to principles of:
Community self-determination and autonomy
Transparent and accountable resource flows
Equitable distribution of decision-making power
Recognition of diverse forms of knowledge and expertise
Related Concepts
Attestations: Verified digital statements that provide cryptographic proof of impact claims
Resources: Assets deployed toward creating impact, including financial and non-financial capital
Governance: Systems for making decisions about resource allocation and impact priorities
Evaluation: Processes for assessing the effectiveness and outcomes of interventions
Transformation: Fundamental shifts in systems and structures to address root causes
Sustainability: The capacity for interventions to maintain positive outcomes over time
A pattern for creating transparent, verifiable documentation of social and environmental impact using blockchain technology
Context
Impact attestations provide a framework for documenting and verifying social, environmental, and community outcomes through blockchain-based systems. This pattern serves organizations seeking to create transparent records of their impact that can be independently verified, transferred, and aggregated across multiple initiatives and time periods.
The pattern applies particularly to contexts where traditional impact measurement faces challenges of credibility, accessibility, or coordination. Social impact organizations struggle to demonstrate outcomes to diverse stakeholders. Environmental initiatives need verifiable proof of carbon reduction or ecosystem restoration. Community programs require transparent documentation of benefits delivered. International development projects must coordinate impact reporting across multiple implementers and funders.
Organizations implementing this pattern typically operate in environments characterized by multiple stakeholders with different reporting requirements, need for long-term impact tracking beyond individual grant cycles, desire for transparent and tamper-proof documentation, and requirements for aggregating impact across distributed activities. The pattern has emerged as blockchain technology matured from speculative applications toward practical tools for social benefit.
Challenges
Traditional impact measurement systems create significant barriers to effective documentation and use of social outcomes data. Organizations spend disproportionate time creating custom reports for each funder, with different metrics, formats, and timelines. This reporting burden diverts resources from actual impact creation while producing documentation that rarely serves communities or enables systematic learning.
The credibility of self-reported impact data remains perpetually questionable. Without independent verification mechanisms, organizations face skepticism about their claimed outcomes. Even when third-party evaluations occur, they typically happen at single points in time rather than providing continuous verification. The resulting documentation often sits in filing cabinets or cloud folders, inaccessible to communities who contributed to the impact or researchers seeking to understand what works.
Coordination challenges multiply when multiple organizations work toward related goals. Each maintains separate impact tracking systems with incompatible data structures. Funders cannot easily aggregate impact across their portfolios. Communities cannot see the cumulative effect of various initiatives in their area. Researchers struggle to identify patterns across interventions. The lack of interoperable impact data prevents systematic learning and improvement.
Perhaps most critically, current systems fail to recognize impact creation as an ongoing process worthy of sustained support. Funding typically flows for activities rather than outcomes. Organizations that achieve significant impact may struggle to maintain operations because markets don’t value social or environmental benefits. Communities that host interventions rarely benefit from the value their participation creates. The absence of mechanisms to capture and share impact value perpetuates chronic under-resourcing of effective initiatives.
Solution
Impact attestations create a new infrastructure for documenting, verifying, and valuing social and environmental outcomes through blockchain-based certificates. This approach transforms impact from retrospective reports into living assets that can accumulate value, enable funding, and coordinate action across organizational boundaries.
The pattern begins with defining clear impact claims that specify what change occurred, who benefited, when it happened, and how it can be verified. Unlike traditional reporting that emphasizes activities, impact attestations focus on outcomes—the actual changes in people’s lives or environmental conditions. These claims are structured using standardized schemas that enable comparison and aggregation while allowing for context-specific details.
Verification mechanisms ensure credibility without requiring expensive third-party evaluations for every claim. The pattern employs multiple verification approaches including cryptographic proofs for quantitative data, community attestation for qualitative outcomes, sensor data for environmental metrics, and periodic audits for systemic validation. This layered approach balances rigorous verification with practical implementation costs.
Once verified, impact data is recorded on blockchain infrastructure, creating permanent, tamper-proof records. Various implementations use different technical approaches. Hypercerts, one prominent implementation, creates semi-fungible tokens representing impact claims that can be fractionally owned and traded. Other systems like Gitcoin’s impact attestations focus on simpler proofs of contribution. Environmental projects might use IoT sensors feeding directly to blockchain records. The choice of implementation depends on specific use cases and technical requirements.
The blockchain infrastructure enables novel coordination and funding mechanisms. Impact attestations can be aggregated to show cumulative effects across multiple initiatives. Funders can purchase or retroactively fund verified impact, creating market mechanisms for social benefit. Communities can maintain ownership stakes in the impact they help create. Researchers can analyze patterns across transparent, interoperable datasets.
Critically, the pattern separates impact documentation from specific organizational boundaries. Impact created through collaborative efforts can be attributed proportionally. Long-term outcomes can be tracked beyond individual grant cycles. Value can flow retroactively to effective initiatives. This creates possibilities for sustained support of interventions that demonstrate real outcomes rather than just promising future impact.
Implementation Considerations
Successful implementation of impact attestations requires careful attention to both technical and social dimensions. Organizations must balance the desire for comprehensive documentation with practical constraints of data collection and verification costs. Starting with simple, clearly measurable impacts allows organizations to build experience before attempting complex social change documentation.
Choosing Implementation Approaches
Multiple technical implementations of impact attestations exist, each with distinct characteristics. Hypercerts provide sophisticated frameworks for fractional ownership and impact funding but require significant technical knowledge. Gitcoin Passport and similar systems offer simpler attestation mechanisms suitable for contribution tracking. Custom implementations can be tailored to specific contexts but require development resources. Organizations should evaluate options based on technical capacity, funding mechanisms desired, stakeholder technical readiness, and long-term sustainability requirements.
Data Schema Development
Creating effective impact attestations requires well-designed data schemas that balance standardization with contextual relevance. Schemas must capture essential impact information while remaining simple enough for practical implementation. Key considerations include defining minimum viable impact claims, creating extensible structures for additional context, ensuring interoperability with related systems, and planning for schema evolution as understanding improves.
Verification Design
The credibility of impact attestations depends on appropriate verification mechanisms. Different types of impact require different verification approaches. Quantitative environmental data might use IoT sensors and automated recording. Social outcomes often require community validation or periodic professional evaluation. Organizations must design verification processes that provide sufficient credibility without creating prohibitive costs or barriers to participation.
Privacy and Consent
Impact attestations must carefully balance transparency with privacy protection. While blockchain creates permanent public records, many impact contexts involve sensitive information about individuals or communities. Implementation must address obtaining informed consent from all participants, anonymizing data while maintaining verifiability, creating appropriate access controls for sensitive information, and ensuring compliance with data protection regulations.
Stakeholder Engagement
Successful implementation requires bringing diverse stakeholders into the process. Communities must understand and consent to impact documentation. Funders need education about new verification and funding models. Technical partners require clear specifications and ongoing collaboration. Staff need training on new documentation processes. Early engagement prevents later resistance and ensures systems serve all participants.
Examples & Case Studies
Institute for Community Sustainability Hypercerts (2025): ICS implemented hypercerts to document environmental impact from their repair café and tool library programs. Initial plans to create custom hypercerts evolved into using Karma GAP for compatibility with the Gitcoin ecosystem. This adaptation enabled participation in Gitcoin Grants Round 23, achieving top 10% ranking and validating their impact claims to a global audience. Key learnings included the importance of ecosystem compatibility over custom solutions and the value of external validation for building internal confidence.
Environmental Sensor Networks: Multiple projects have implemented automated impact attestations using IoT sensors. Forestry projects record tree growth and carbon sequestration through satellite imagery and ground sensors. Water quality initiatives create continuous attestations of contamination reduction. These implementations demonstrate how technology can reduce verification costs while increasing data granularity and credibility.
Community Development Attestations: Grassroots organizations have adapted impact attestations for social outcomes that resist easy quantification. Rather than focusing on numerical metrics, these implementations use community validation processes where beneficiaries attest to changes in their lives. Photo documentation, story collection, and peer verification create rich impact records that preserve human elements often lost in traditional reporting.
References
Impact attestations represent an emerging pattern with multiple theoretical foundations and practical implementations. The concept builds on work in impact measurement, blockchain technology, and commons governance to create new possibilities for documenting and valuing social benefit.
Key implementations and frameworks include:
Hypercerts: Developed by Protocol Labs, providing sophisticated impact funding mechanisms
Gitcoin Impact Attestations: Simpler proof-of-impact systems integrated with grants infrastructure
Karma GAP: Impact verification integrated with DAO reputation systems
Environmental Data Protocols: Various IoT-blockchain integrations for automated impact recording
Related patterns that support or complement impact attestations:
Peer to peer payments: Enabling direct funding flows based on verified impact
Token based governance: Creating decision rights based on impact contribution
Community governance: Ensuring communities control their impact data
Coordi-nations: Aggregating impact across network boundaries
Practitioners should engage with evolving standards bodies working on impact data interoperability, including the Impact Management Project and emerging Web3 impact measurement frameworks. As the pattern matures, standardization efforts will be critical for achieving the full potential of interoperable, verifiable impact documentation.
Examples & Case Studies
Institute for Community Sustainability Hypercerts Journey (2025): ICS’s implementation of impact attestations evolved significantly through their experiment, providing valuable lessons about practical adoption in community organizations. Initially planning to create custom hypercerts for documenting environmental impact from their Repair Café, Thing Library, and Community Workshops programs, they discovered important implementation realities.
The team’s participation in ETHDenver and Consensus Toronto conferences revealed that ecosystem compatibility mattered more than custom features. Rather than building unique hypercerts as originally planned, they pivoted to Karma GAP (Gitcoin Attestation Protocol) for better integration with existing Web3 funding infrastructure. This strategic adaptation enabled immediate practical benefits—participation in Gitcoin Grants Round 23, where they achieved top 10% ranking among projects.
The external validation from the Gitcoin community proved more valuable than anticipated, building internal confidence and demonstrating to stakeholders that blockchain-based impact documentation could attract real support. However, the experiment also revealed adoption challenges: only 4 core team members engaged with the technical systems, highlighting the 6-18 month timeline needed for meaningful Web3 adoption in community organizations.
Key insights included the importance of choosing tools based on ecosystem standards rather than organizational preferences, the value of external validation for building internal momentum, and the need for patient capacity building before expecting broad adoption. ICS plans to use their Karma GAP implementation as foundation for future hypercerts as the technology matures and their community develops readiness.
All In For Sport’s Evolving Impact Framework: While AIFS didn’t implement formal impact attestations during the RPP experiment, their transformation to a coordi-nation model created foundations for future adoption. The organization’s focus on bridging Web3 innovation with grassroots sports development positions them to document impact across multiple dimensions: technology adoption in community settings, network effects from cross-sector connections, and capacity building in underserved communities.
Their governance transformation (AIFSIP-04) established autonomous cells that could generate distinct impact claims while contributing to network-wide outcomes. The Tech365 collaboration with 25 organizations across 16 countries particularly demonstrates the type of network impact that attestations could capture—coordination infrastructure enabling others to create value. Future implementation could document both direct impacts (organizations connected, resources shared) and indirect effects (innovations spreading through the network).
Equality Fund’s Impact Documentation Challenges: Equality Fund’s exploration revealed critical prerequisites for implementing impact attestations in international grantmaking contexts. Operating across 85 countries with politically sensitive women’s rights work, they discovered that standard blockchain transparency could endanger grant recipients. Privacy-preserving impact attestations would be essential, using zero-knowledge proofs or similar technologies to verify impact without revealing identifying information.
Their discovery that transaction costs weren’t the primary barrier—rather, last-mile delivery challenges dominated—suggests impact attestations might be most valuable for documenting these implementation challenges. Creating verifiable records of barriers faced and solutions developed could build collective knowledge about operating in restricted contexts. However, their experiment highlighted that innovation work cannot succeed as add-on responsibilities; implementing impact attestations would require dedicated resources and technical expertise.
Environmental Sensor Networks: Multiple projects have implemented automated impact attestations using IoT sensors. Forestry projects record tree growth and carbon sequestration through satellite imagery and ground sensors. Water quality initiatives create continuous attestations of contamination reduction. These implementations demonstrate how technology can reduce verification costs while increasing data granularity and credibility.
Community Development Attestations: Grassroots organizations have adapted impact attestations for social outcomes that resist easy quantification. Rather than focusing on numerical metrics, these implementations use community validation processes where beneficiaries attest to changes in their lives. Photo documentation, story collection, and peer verification create rich impact records that preserve human elements often lost in traditional reporting.
Local-first is a software development approach that prioritizes storing and processing user data locally on their devices rather than in centralized cloud servers, while maintaining the ability to collaborate and synchronize across devices when desired. This approach gives users full ownership and control over their data while enabling the collaborative benefits of cloud computing.
Local-first software represents a paradigm shift away from the dominant cloud-centric model toward applications that treat user devices as the primary repository and processing center for personal data. Unlike traditional cloud applications that require constant internet connectivity and store data on corporate servers, local-first applications store data locally while using the cloud only for synchronization and backup when users choose. This approach addresses growing concerns about data privacy, corporate surveillance, vendor lock-in, and digital dependency while maintaining the collaborative capabilities that make modern software valuable.
The local-first approach aligns with principles of digital sovereignty and user autonomy by ensuring that people retain control over their information regardless of corporate policies, service availability, or internet connectivity. This creates resilient systems that continue functioning during network outages while preserving long-term access to data even if service providers change their terms or discontinue services. Local-first represents both a technical architecture and a values framework that prioritizes user agency over corporate convenience.
Uses of “Local-first”
Local-first in Application Architecture
Local-first applications store data primarily on user devices using local databases, with cloud services functioning as optional synchronization layers rather than primary data repositories. This architecture uses technologies like Conflict-free Replicated Data Types (CRDTs) and advanced synchronization algorithms to enable seamless collaboration between devices without requiring centralized coordination.
Examples include note-taking applications that work fully offline, collaborative documents that sync changes automatically when connectivity is available, and productivity tools that maintain all functionality regardless of internet status. These applications provide “instant access” to user work, “device independence” through automatic synchronization, and “network independence” for core functionality, creating user experiences that exceed cloud-only alternatives in responsiveness and reliability.
Local-first and Data Sovereignty
Local-first software embodies principles of data sovereignty by ensuring users maintain primary control over their information rather than surrendering it to corporate platforms. This approach addresses concerns about surveillance capitalism, data mining, and the loss of digital autonomy that characterize cloud-centric computing models.
By keeping data on user devices, local-first applications enable “user control” over privacy settings, data portability, and long-term access without depending on corporate policies or service continuity. This creates “future-proof data” that remains accessible regardless of changes in business models, company ownership, or service availability, aligning with digital rights principles that treat data ownership as fundamental to user autonomy.
Local-first in Web3 and Decentralized Systems
Local-first principles complement Web3 technologies by creating client-side applications that interact with decentralized networks without surrendering user data to centralized platforms. This combination enables truly peer-to-peer applications where users maintain both custody of their data and sovereignty over their interactions.
Blockchain technologies can provide consensus mechanisms for global coordination while local-first applications handle data storage and processing at the user level. This creates systems where “collaborative features” emerge from direct peer-to-peer interaction rather than platform mediation, enabling new forms of cooperation that preserve individual autonomy while supporting collective action.
Local-first and Community Technology
Local-first approaches can support community technology initiatives by reducing dependence on corporate infrastructure while maintaining the benefits of digital coordination. Community networks can implement local-first applications that serve local needs without requiring external service providers or ongoing subscription costs.
This enables communities to develop digital infrastructure that supports local organizing, resource sharing, and collaborative work while maintaining community control over both technology and data. Local-first community applications can function independently during internet outages or when communities choose to operate autonomously, creating resilient technological foundations for community self-determination.
Local-first and Cosmolocal Coordination
Local-first principles align closely with cosmolocal approaches that combine local autonomy with global knowledge sharing. Just as cosmolocalism advocates for “what is heavy is local, what is light is global,” local-first software keeps data and processing local while enabling global coordination through open protocols and knowledge commons.
This creates technological infrastructure that supports the localist principle of maintaining “sovereignty over local resources and decision-making” while “sharing knowledge and protocols globally through open systems.” Local-first applications can enable communities to “access global capital while preserving local control” by providing technological tools that support both local autonomy and broader network participation.
Related Concepts
Decentralization: Local-first architectures distribute data control away from centralized platforms toward individual users
Autonomy: Local-first software preserves user autonomy over data and digital interactions
Localism: Local-first computing supports localist values of community self-determination and reduced dependence on external systems
Cosmolocalism: Local-first enables the cosmolocal principle of local data sovereignty with global knowledge sharing
Peer-to-peer: Local-first applications often implement peer-to-peer networking for direct device-to-device collaboration
Data Sovereignty: Local-first software embodies data sovereignty principles by maintaining user control over personal information
Distributed community anchors that bridge global protocols with local communities
Context
Local Nodes serve as vital connection points between global digital protocols and specific geographical communities. They embody the cosmo-local principle of “what is heavy should be local, and what is light should be global and shared.” These nodes act as physical and social anchors that translate, adapt, and implement globally designed protocols into locally relevant applications while feeding local knowledge back into the global commons.
The pattern bridges web3 technologies with localized human activities, creating resilient economic and social systems that respond directly to community needs while maintaining connections to broader networks of resources and knowledge.
This pattern applies when:
Global protocols or technologies need local implementation and adaptation
Communities seek to maintain sovereignty while accessing global resources and networks
There’s a need to bridge technical innovation with community-centered practice
Local knowledge and context must inform global protocol development
Physical presence and trusted relationships are essential for adoption
Challenges
Global technological protocols and coordination systems often struggle to gain meaningful adoption in local contexts due to several key challenges:
Cultural and Contextual Misalignment: Global solutions frequently lack sensitivity to local cultural norms, economic conditions, and social structures. What works in one context may be inappropriate or ineffective in another, yet global protocols often assume universal applicability.
Trust Deficit: Communities may resist adopting technologies they don’t understand or that come from unfamiliar sources without trusted local advocates. The gap between Silicon Valley innovation culture and local community needs creates skepticism about whose interests are being served.
Knowledge Barriers: Technical complexity creates high barriers to entry that exclude many potential community participants. Documentation written for developers fails to reach community organizers, while community knowledge lacks pathways into technical development.
Disconnection from Physical Reality: Digital-only approaches miss the vital importance of physical presence and face-to-face relationships in building genuine community engagement. Pure online coordination often fails to create the trust and commitment necessary for sustained collaboration.
Resource Distribution Inequities: Benefits of technological innovation often accrue to already-resourced areas while under-resourced communities fall further behind. Without local nodes to facilitate access, the digital divide becomes a chasm.
Solution Framework
The Local Nodes pattern creates context-specific bridges between global protocols and local communities through a synthesis of physical space, trusted local relationships, technical capacity, and connection to global networks. Unlike purely digital approaches or traditional community centers, Local Nodes combine elements that enable true glocal (global-local) coordination.
Core Components
Physical Presence: A designated space where community members can gather—whether a dedicated building, shared community space, or rotating locations. This physical anchor provides the “heavy” infrastructure that roots digital protocols in local reality.
Local Stewards: Trusted community members who understand both local context and technological protocols serve as translators and facilitators. These bridge-builders possess the rare combination of technical knowledge, cultural competence, and community trust.
Technical Infrastructure: Resources necessary for community members to access and participate in digital networks, including hardware, software, connectivity, and ongoing technical support adapted to local capacity.
Knowledge Commons: Educational resources, documentation, and learning pathways adapted to local needs and accessible to community members at different levels of technical proficiency. This includes both consuming global knowledge and producing local insights.
Governance Structure: Community-driven decision-making processes determine how the node functions, what protocols to adopt, and how resources are allocated. This ensures local sovereignty within global coordination.
Global Connections: Established relationships with other nodes, protocol developers, and broader networks facilitate knowledge exchange and resource sharing while maintaining local autonomy.
Operating Principles
Regular community gatherings for education, collaboration, and decision-making
Ongoing adaptation of global protocols to address specific local needs
Documentation and sharing of local knowledge and innovations
Maintenance of technical infrastructure for community access
Representation of local perspectives in broader protocol governance
Distribution of resources (grants, knowledge, opportunities) from global networks to local participants
The pattern creates specific affordances:
Contextual Translation: Adapting abstract protocols into locally meaningful implementations
Trust Bridging: Creating trusted pathways for community engagement with unfamiliar technologies
Knowledge Accessibility: Making complex concepts approachable through locally relevant examples
Resource Circulation: Facilitating flows between global and local contexts
Sovereignty Preservation: Engaging with global systems while maintaining local autonomy
Implementation Considerations
Establishment Phase
Community Mapping: Begin by identifying existing community assets, needs, knowledge holders, and potential participants. Understanding the local landscape prevents duplicating efforts or competing with existing initiatives.
Relationship Building: Develop trust with diverse community stakeholders before introducing technological solutions. This patient approach may take months but creates the foundation for sustained engagement.
Minimal Viable Presence: Start with simple, accessible activities in available spaces before investing in dedicated infrastructure. Early wins build momentum and demonstrate value to skeptical community members.
Educational Foundation: Create basic learning resources adapted to local context and knowledge levels. Generic blockchain education fails; locally relevant use cases succeed.
Growth Phase
Infrastructure Development: As engagement grows, establish reliable technical infrastructure and physical spaces. This might include dedicated internet connectivity, hardware for community use, and regular meeting spaces.
Capacity Building: Train local community members to take on increasing responsibility for node operations and governance. Sustainable nodes develop local leadership rather than depending on external expertise.
Use Case Development: Identify and implement specific applications of global protocols that address immediate local needs. Success with concrete problems builds credibility for broader transformation.
Network Expansion: Build connections with other nodes and global protocol communities. These relationships bring resources, knowledge, and opportunities to the local community.
Maturation Phase
Economic Integration: Develop sustainable economic models that create value for both the local community and broader networks. This might include local currencies, marketplace development, or service provision.
Knowledge Production: Contribute original innovations and adaptations back to the global commons. Local nodes become sites of innovation, not just implementation.
Governance Evolution: Establish sophisticated governance structures that balance local sovereignty with global coordination. This often involves formal incorporation or partnership structures.
Replication Support: Help seed and support new nodes in neighboring communities, spreading the pattern through direct relationships rather than top-down expansion.
Examples & Case Studies
ICS Green Pill London Chapter
The Institute for Community Sustainability established London, Ontario’s first Green Pill Network chapter as part of their Web3 governance experiment (2025). This Local Node demonstrates how existing community organizations can evolve to bridge global regenerative finance movements with local sustainability initiatives.
Implementation Details:
Built on ICS’s existing programs (Repair Café, Thing Library, Community Workshops)
Four Green Pill meetings held over 6 months with consistent small group attendance
Preference for practical application over theoretical education
Connected local sustainability work to global regenerative finance ecosystem
Key Learnings:
6-18 month timeline for meaningful Web3 adoption at community level
Infrastructure can be built quickly, but social adoption requires patience
Outcomes: While only 4 core team members actively engaged with Web3 tools, the node successfully established infrastructure for future growth and achieved top 10% ranking in Gitcoin Grants Round 23, validating the local-global bridge function.
Variations in Practice
ReFi Nodes: Focus specifically on regenerative finance, often organizing around local currencies or ecosystem service markets. These nodes emphasize economic transformation within ecological boundaries.
Bioregional Hubs: Expand beyond single communities to coordinate across watersheds or ecosystems. These larger-scale nodes often coordinate multiple local nodes within a bioregion.
Local DAO Chapters: Maintain stronger connection to parent DAOs while adapting governance for local contexts. These nodes balance global DAO governance with local decision-making authority.
References
Related Patterns
Coordi-nations: Local Nodes often serve as the distributed components of coordi-nations, providing local presence for network sovereignty
Gatherings: Local Nodes use Gatherings as key mechanisms for building relationships and facilitating knowledge exchange
Cells: Local Nodes may organize internally using Cell structures for different functions or projects
Fractal Networks: Networks of Local Nodes often exhibit fractal properties, with similar patterns at different scales
Theoretical Foundations
Cosmolocalism: Design global, manufacture local
Bioregionalism and place-based organizing
Glocalization theory and practice
Commons-based peer production
Transition Towns movement
Implementation Resources
Green Pill Network’s Local Node toolkit
ReFi DAO’s bioregional organizing guide
Platform Cooperativism Consortium resources
Community Wealth Building frameworks
Participatory Action Research methodologies
Further Reading
“Ethereum Localism” - Collection of essays on local blockchain applications
“Design Global, Manufacture Local” - Vasilis Kostakis & Andreas Bauwens
“Regenerative Urban Development” - Pamela Mang & Ben Haggard
An organizational philosophy and practice that emphasizes local autonomy, community self-determination, and place-based solutions while maintaining beneficial connections to broader networks and resources.
Localism represents a response to excessive centralization and globalization, seeking to rebuild community resilience and autonomy while preserving valuable external connections. It focuses on organizing human activity around natural boundaries (like watersheds and bioregions) rather than arbitrary political divisions, while developing local capacity for governance, production, and cultural expression.
Uses of “Localism”
Localism in Economics
In economic contexts, localism promotes local production and consumption cycles, community-owned infrastructure, and economic systems that serve local needs. This includes developing local currencies, mutual credit systems, and community-based financial institutions that keep resources circulating within the community.
Localism in Governance
In governance, localism emphasizes democratic self-determination at the local level, with communities making decisions about issues that directly affect them. This often involves participatory democracy, commons management, and collective stewardship of shared resources.
Localism in Ecology
In ecological contexts, localism focuses on organizing human activity in harmony with local ecosystems and bioregions. This includes sustainable resource management, regenerative agriculture, and ecological restoration guided by local knowledge and conditions.
Localism in web3
In web3 contexts, localism has evolved beyond traditional emphasis on self-sufficiency to embrace what’s known as cosmolocalism - a hybrid approach that maintains local autonomy while leveraging global networks. This evolution represents an important adaptation to modern technological capabilities:
Traditional localism focuses on local self-sufficiency and independence from external systems
Web3 tools enable a more nuanced approach where communities can:
Maintain sovereignty over local resources and decision-making
Share knowledge and protocols globally through open systems
Connect local initiatives through decentralized networks
Access global capital while preserving local control
Coordinate between autonomous groups without centralization
Support place-based governance with digital tools
The key innovation is the ability to choose the optimal scale for different activities - keeping production and governance local while participating in global knowledge and resource networks. This follows the cosmo-local principle of “heavy is local, light is global,” enabling communities to benefit from broader connections without sacrificing autonomy.
Mutualism is an economic and social philosophy that advocates for voluntary cooperation, reciprocal exchange, and mutual aid as the foundations for organizing economic relationships, emphasizing worker ownership of production means, fair exchange based on labor value, and decentralized coordination without exploitation or centralized authority.
Mutualism emerged in the 19th century through the work of Pierre-Joseph Proudhon, who sought to create economic systems based on reciprocity rather than exploitation. Unlike both capitalism and state socialism, mutualism proposes that individuals and communities can organize economic activity through voluntary cooperation, mutual credit systems, and cooperative ownership structures that ensure workers receive the full value of their labor. This approach creates economic relationships where participants engage as equals, with shared stakes in outcomes and democratic control over productive resources.
In practice, mutualism operates through institutions like mutual credit banks, worker cooperatives, and mutual aid networks that distribute both economic benefits and decision-making power across participants rather than concentrating them in external owners or centralized authorities. These structures create economies oriented toward meeting participant needs and building community wealth rather than maximizing returns for external investors. Mutualist principles emphasize that economic relationships should be based on voluntary association, fair exchange reflecting actual labor contributions, and mutual support systems that create resilience without dependence on hierarchical institutions.
Uses of “Mutualism”
Mutualism in Economic Theory
Mutualism proposes an alternative to both capitalist and state socialist economic models by organizing production and exchange around principles of reciprocity and cooperative ownership. The core economic insight is that exploitation occurs when some participants extract value from others’ labor without contributing equivalent labor themselves—whether through rent, interest, or profit from ownership alone.
Mutualist economic theory advocates for systems where people own the tools and resources they use productively, where credit and banking operate as mutual services rather than profit-generating enterprises, and where exchange reflects the actual labor time invested in production. This creates what Proudhon called “equal exchange”—economic relationships where participants receive value equivalent to what they contribute, eliminating the extraction of surplus value that characterizes both capitalist employment and state-controlled production.
Mutualism in Web3 and DAO Contexts
Contemporary Web3 technologies create new possibilities for implementing mutualist principles through decentralized coordination systems that enable cooperative ownership and democratic governance without traditional institutional intermediaries. DAOs and blockchain-based cooperatives can embody mutualist values by distributing both ownership and control across participant communities, creating transparent systems for resource allocation and collective decision-making.
Platform cooperatives represent a direct application of mutualist principles to digital economics, where the users, workers, and contributors who create value on digital platforms also own and govern those platforms collectively. Web3 technologies enable global implementation of mutual credit systems, cooperative governance mechanisms, and transparent value distribution that align with mutualist emphasis on democratic ownership and fair exchange. These systems can coordinate economic activity across geographic boundaries while maintaining decentralized control and equitable participation.
Mutualism and Community Resilience
Mutualism creates economic resilience by building networks of mutual support that can function independently of centralized systems. Rather than depending on external authorities or market mechanisms controlled by others, mutualist communities develop their own systems for credit, resource sharing, and collective problem-solving that strengthen local capacity and community wealth.
This approach to resilience operates through institutions like credit unions, mutual insurance cooperatives, community land trusts, and local exchange networks that keep resources circulating within communities while building collective assets. Mutualist resilience strategies focus on developing community-controlled alternatives to corporate and state services, creating economic relationships based on mutual aid rather than market dependency or bureaucratic allocation.
Mutualism and Social Coordination
Mutualism addresses coordination challenges by creating structures where individual autonomy and collective action can coexist without hierarchical control. Unlike systems that require either individual competition or centralized direction, mutualism enables voluntary cooperation through shared ownership and democratic governance mechanisms.
This approach to coordination relies on developing shared understanding of mutual benefit, transparent systems for collective decision-making, and economic structures that align individual and community interests. Mutualist coordination emphasizes that people can work together effectively when they have equal stakes in outcomes and democratic control over processes, creating sustainable collective action without coercion or manipulation.
Mutualism and Contemporary Social Impact
Mutualist principles offer frameworks for addressing contemporary economic challenges including wealth concentration, workplace exploitation, and community disinvestment. By creating alternatives to both market-based and state-centered solutions, mutualism provides pathways for communities to develop economic self-determination while maintaining democratic values and cooperative relationships.
Contemporary applications include cooperative enterprise networks, community-controlled financial services, participatory budgeting systems, and decentralized governance structures that implement mutualist values through modern institutional forms. These approaches demonstrate how historical mutualist insights can address current challenges while adapting to technological capabilities and global connectivity.
Related Concepts
Cooperative: Mutualism provides the theoretical foundation for cooperative enterprise models and democratic ownership structures
Mutual Aid: Mutual aid practices embody mutualist principles of reciprocity and community solidarity in direct action
Solidarity: Mutualism creates economic structures that operationalize solidarity through shared ownership and democratic control
Decentralization: Mutualism distributes economic power across communities rather than concentrating it in centralized institutions
Autonomy: Mutualism balances individual autonomy with collective action through voluntary cooperation and democratic governance
Coordination: Mutualism provides mechanisms for effective coordination without hierarchical control or market coercion
Complementary Currencies: Mutual credit systems represent practical applications of mutualist economic principles
References and Resources
Proudhon, Pierre-Joseph (1846). “System of Economic Contradictions: or The Philosophy of Poverty” - Foundational text outlining mutualist economic theory
Carson, Kevin (2004). “Studies in Mutualist Political Economy” - Contemporary synthesis of mutualist principles with modern economic insights
Schneider, Nathan (2021). “Everything for Everyone: The Radical Tradition That Is Shaping the Next Economy” - Exploration of mutualist principles in contemporary cooperative movements
Tucker, Benjamin (1893). “State Socialism and Anarchism” - Classic American mutualist perspective on economic organization
P2P Foundation. “Mutualism” - Comprehensive resource on mutualist theory and practice in digital contexts
Networks are interconnected systems of agents, resources, and relationships that enable coordination, collaboration, and value exchange without requiring centralized control, creating adaptive structures capable of scaling both efficiency and innovation simultaneously.
Networks represent a fundamental organizational paradigm distinct from hierarchical, entity-based structures. They consist of nodes (individuals, teams, organizations) connected through relationships, protocols, and shared agreements that facilitate the flow of information, resources, and decision-making across the system. Unlike traditional organizational models that centralize control and coordination, networks distribute agency and authority across participants while maintaining coherence through shared purpose and protocols.
In the context of decentralized systems, networks provide the underlying infrastructure for emergent collective intelligence. When properly designed, they can achieve both the efficiency benefits of scale (through fractal scaling hierarchies) and the innovation benefits of diverse collaboration (through social connectivity). This dual capacity allows networks to evolve organically in response to changing conditions, directing resources toward the most promising opportunities without requiring top-down direction or rigid structures.
Uses of “Networks”
Networks in DAO Ecosystems
In the DAO context, networks represent a fundamental shift in how we conceptualize organizations. Rather than viewing DAOs as discrete entities similar to companies, they can be understood as “centerless networks with coordinated flows of resources” that enable more dynamic, adaptive coordination. As described in DAOs aren’t things… they are flows, DAOs function as “network economies” rather than traditional business models.
These DAO networks consist of interconnected cells (small autonomous teams) that self-organize around shared purpose while maintaining their independence. The network provides infrastructure for these cells to discover each other, share resources, and align activities through transparent protocols rather than management hierarchies. This fractal structure allows DAOs to scale both operational efficiency and creative innovation simultaneously.
Networks as Scaling Systems
Networks enable distinctive scaling properties that differ significantly from traditional organizational models. As explored in Scale and the levers that provide DAOs their power, networks can exhibit both:
Sub-linear scaling through fractal hierarchies that create increasing efficiency as the network grows (similar to biological systems and infrastructure networks)
Super-linear scaling through social connectivity that generates increasing innovation, creativity, and adaptation as the network expands (similar to cities and other social systems)
This dual scaling capacity allows networks to become more efficient while simultaneously becoming more innovative and adaptive - a combination that traditional hierarchical organizations struggle to achieve. As Building DAOs as scalable networks describes, this enables DAOs to “leverage both Dynamic-One and Dynamic-Two” scaling systems simultaneously.
Networks as Coordination Mechanisms
Networks function as coordination mechanisms that align autonomous actions without requiring centralized control. Through transparent state documentation, shared agreements, and real-time information flows, networks enable participants to make contextually appropriate decisions while maintaining overall coherence.
The concept of Minimum Viable Permissionless-ness illustrates how networks coordinate through access rights rather than management hierarchies. By enabling permissionless access to work, collaboration, and proposal mechanisms, networks create the conditions for distributed decision-making where “strategy emerges autonomously” from the collective intelligence of participants rather than being dictated from the top.
Networks in Social Impact
In social impact contexts, networks enable more distributed, contextually-responsive approaches to complex challenges. Rather than centralizing resources and decision-making in large institutions, network approaches distribute agency to those closest to problems while providing infrastructure for knowledge sharing, resource allocation, and collective action.
The cosmolocalism framework demonstrates how networks can balance local autonomy with global connectivity, following the principle that “what is heavy is local, what is light is global.” This approach enables communities to maintain sovereignty while benefiting from broader network resources and knowledge commons.
Related Concepts
Systems: Networks are composed of interconnected systems that work together through coordinated processes
Agents: The autonomous individuals or entities that form the nodes of networks
Flows: The movement of resources, information, and value through networks
Governance: The frameworks and processes for collective decision-making in networks
Primitives: Network structures can be built from foundational building blocks
Cells: Autonomous teams that form the nodes of DAO networks
Coordination: The processes through which network participants align their actions
Community: The social fabric that enables trust and collaboration in networks
References and Resources
DAOs aren’t things… they are flows
Scale and the levers that provide DAOs their power
A pattern for enabling direct financial transfers between parties using blockchain infrastructure to reduce costs and increase accessibility
Context
Peer to peer payments represent a fundamental reimagining of how value moves between individuals and organizations, particularly across geographic and institutional boundaries. This pattern serves contexts where traditional financial infrastructure creates barriers through high costs, slow settlement times, restricted access, or censorship risks.
The pattern applies most powerfully in situations involving international transfers where multiple intermediaries typically extract fees and add delays. Organizations supporting communities in politically restricted contexts find traditional banking systems may block or scrutinize legitimate transfers. Grassroots initiatives in regions with limited banking infrastructure struggle to receive support from global funders. Emergency response situations require rapid fund deployment that traditional systems cannot accommodate.
Implementation contexts share characteristics including need for transparency in fund flows to build stakeholder trust, requirements for lower transaction costs to maximize beneficiary value, time-sensitive delivery where days matter, and operations across multiple currencies and jurisdictions. As blockchain infrastructure has matured, peer to peer payments have evolved from experimental technology to practical tools for specific use cases where traditional systems fail to serve community needs.
Challenges
Traditional international payment systems create compounding barriers that particularly impact social benefit organizations and the communities they serve. Transaction fees accumulate at each step—sender bank fees, intermediary bank charges, currency conversion costs, and recipient bank fees can consume 10-15% of transferred value. For small grants that communities need most, these fees become proportionally devastating, sometimes exceeding 25% of the transfer amount.
Settlement times in traditional systems range from days to weeks, creating cash flow challenges for recipient organizations. A grant approved on the first of the month might not reach its destination until the twentieth, forcing organizations to bridge gaps through expensive local credit or delay critical activities. These delays compound in emergency situations where rapid response determines intervention effectiveness.
Access restrictions present perhaps the most fundamental challenge. Many communities globally lack basic banking infrastructure. Even when banks exist, documentation requirements exclude individuals without formal identification or fixed addresses. Political restrictions add another layer—legitimate human rights organizations may find their accounts frozen or transfers blocked by financial institutions avoiding regulatory risk. These systemic exclusions perpetuate inequalities by preventing resources from reaching communities that need them most.
The opacity of traditional systems creates additional trust and coordination challenges. Senders cannot verify when funds arrive or what fees were extracted. Recipients have limited recourse when transfers disappear into banking bureaucracy. Multi-stakeholder initiatives struggle to maintain transparency when each participant uses different banking systems with incompatible reporting. The lack of transparent, accessible financial infrastructure undermines collaborative efforts and reduces stakeholder trust.
Solution
Peer to peer payments leverage blockchain infrastructure to enable direct value transfer between parties without traditional intermediaries. This approach transforms international transfers from opaque, multi-step processes into transparent, direct transactions that can be verified by all stakeholders.
The pattern implementation begins with establishing blockchain wallets for participating parties. Unlike bank accounts requiring extensive documentation and approval processes, basic blockchain wallets can be created by anyone with internet access. This immediate accessibility opens participation to previously excluded communities, though it also requires careful attention to security and user education.
Value transfer occurs through blockchain networks using stablecoins—cryptocurrencies designed to maintain steady value relative to traditional currencies. Stablecoins eliminate the volatility concerns that make other cryptocurrencies unsuitable for grant-making. Transactions process in minutes rather than days, with fees typically under $1 regardless of transfer size. All participants can verify transaction completion and exact amounts received through public blockchain records.
The critical innovation lies not in the technology itself but in how it restructures power relationships in financial transfers. Recipients gain direct access to global funding networks without requiring approval from local financial institutions. Funders can verify their support reaches intended destinations without fee extraction. Communities can demonstrate transparent fund usage to build trust with supporters. Multi-stakeholder initiatives can coordinate resources through shared visible infrastructure.
However, successful implementation requires addressing the “last mile” challenge—converting blockchain assets into locally usable resources. This pattern therefore includes developing local exchange relationships where recipients can convert stablecoins to local currency, identifying merchants who accept direct blockchain payments, creating community funds that manage conversion for multiple recipients, and building networks of blockchain-literate community members who can assist others.
The solution acknowledges that technology alone cannot solve systemic financial exclusion. Rather, peer to peer payments provide tools that communities can adapt to their specific contexts, creating new pathways for resource flow that complement or bypass traditional systems as needed.
Implementation Considerations
Implementing peer to peer payments requires careful attention to technical, regulatory, and social dimensions. Organizations must navigate complex considerations while maintaining focus on community benefit rather than technological sophistication.
Regulatory Compliance
The regulatory landscape for blockchain-based transfers varies dramatically across jurisdictions and evolves rapidly. Organizations must understand requirements in both sending and receiving countries. Key considerations include Know Your Customer (KYC) obligations for different transaction amounts, tax implications of cryptocurrency transfers, licensing requirements for money transmission, and reporting obligations for international transfers. Many organizations find that partnering with compliant service providers reduces regulatory complexity while maintaining benefit access.
Technology Selection
Multiple blockchain networks support peer to peer payments, each with distinct characteristics. Ethereum provides extensive infrastructure but higher fees. Alternative networks like Polygon or Optimism offer lower costs with good stablecoin support. The choice depends on recipient location infrastructure, stablecoin availability, integration with other blockchain services, and long-term sustainability. Organizations should prioritize networks with strong adoption in recipient communities over technical sophistication.
User Experience Design
The gap between blockchain capability and user readiness represents the primary implementation challenge. Successful implementations invest heavily in user experience, creating simple interfaces that hide technical complexity, developing training materials in local languages, providing hands-on support during initial transactions, and establishing help networks for ongoing assistance. The goal is making blockchain transfers as straightforward as possible while maintaining security.
Last Mile Infrastructure
Converting blockchain assets to locally useful resources requires extensive ground-level coordination. Organizations must map local exchange options including cryptocurrency exchanges, peer-to-peer trading networks, merchant acceptance, and banking integration where available. Building redundant options increases resilience. Some implementations create community funds that handle conversion centrally, reducing individual complexity while maintaining transparency.
Risk Management
Peer to peer payments introduce new risks requiring active management. Security risks include wallet compromise, phishing attacks, and user error in transactions. Volatility risks exist even with stablecoins during conversion periods. Regulatory risks may emerge as governments adjust to blockchain adoption. Implementations must include security training for all participants, multi-signature wallets for large amounts, clear procedures for handling errors, and contingency plans for regulatory changes.
Examples & Case Studies
Equality Fund Web3 Exploration (2024-2025): Equality Fund partnered with Women Win and SuperBenefit to explore blockchain for feminist grant-making. Initial assumptions about high transaction costs between major organizations proved incorrect—established banking relationships already minimized fees. The real challenges emerged at last-mile delivery where local banking restrictions and infrastructure limitations created barriers. Key insights included the need for hyper-local context understanding beyond country-level analysis and recognition that innovation requires dedicated resources rather than additional duties for operational staff.
Ukraine Humanitarian Response: During the 2022 crisis, blockchain payments enabled rapid humanitarian support when traditional banking systems were disrupted. Some Ukrainian cities had sophisticated cryptocurrency infrastructure enabling direct aid delivery. Other regions lacked basic exchange services, requiring creative solutions through merchant networks. This demonstrated both the potential and limitations of peer to peer payments in crisis contexts.
Global Grassroots Support Networks: Various informal networks have emerged using blockchain for direct community support. Environmental defenders in restricted contexts receive sustaining funds through cryptocurrency. Artist communities transfer value across borders for collaborative projects. These implementations often operate below regulatory radar while demonstrating practical utility for excluded communities.
References
Peer to peer payments represent a rapidly evolving pattern with extensive technical documentation but limited systematic analysis of social benefit applications. Practitioners must navigate between cryptocurrency enthusiasm and skeptical dismissal to find practical applications serving real community needs.
Technical foundations include various blockchain networks (Ethereum, Polygon, Optimism), stablecoin protocols (USDC, DAI, USDT), and wallet infrastructure (MetaMask, Rainbow, Argent). Each component requires evaluation for specific implementation contexts.
Related patterns that complement peer to peer payments:
Privacy payments: Enhanced privacy for sensitive transfers
Impact attestations: Documenting outcomes from funded activities
Token based governance: Creating stakeholder participation in fund allocation
Participatory governance: Enabling community control over received resources
Organizations implementing peer to peer payments should engage with emerging practice communities including the Open Money Initiative documenting cryptocurrency use in restricted contexts, GiveDirectly’s cryptocurrency programs providing direct implementation experience, and various Web3 social impact networks sharing practical knowledge. As regulatory frameworks evolve and infrastructure matures, peer to peer payments will likely become standard tools for specific use cases while traditional systems continue serving other needs.
Examples & Case Studies
Equality Fund Web3 Exploration (2024-2025): Equality Fund’s experiment with peer to peer payments revealed critical insights about assumptions versus reality in blockchain-based grantmaking. Partnering with Women Win (their fiscal sponsor managing $30 million annually) and SuperBenefit, they designed an A/B testing framework to compare traditional banking with blockchain solutions for their international feminist grantmaking across 85 countries.
The discovery phase examined five potential Web3 applications before focusing on grant disbursement infrastructure. Initial hypothesis centered on reducing transaction costs—widely cited as a primary blockchain benefit. However, systematic analysis revealed surprising findings: transaction costs between Equality Fund and Women Win were already minimal due to established banking relationships. The assumed problem didn’t exist at the institutional transfer level.
The real friction emerged at the last mile of delivery. Women Win’s seven-person finance team regularly dealt with bounced payments, varying bank requirements, and complex documentation needs. Local banking systems in recipient countries created the actual barriers—political restrictions on women’s rights organizations, lack of rural banking infrastructure, and scrutiny of human rights funding. These challenges suggested peer to peer payments might be valuable for direct transfers to grant recipients rather than between major organizations.
Critical insights emerged about implementation prerequisites. The team discovered that “country-level analysis was insufficient” with infrastructure varying dramatically between cities and communities within the same country. Some Ukrainian cities had sophisticated crypto infrastructure while nearby regions lacked basic banking. This hyper-local variation was invisible in their initial planning.
Organizational constraints proved decisive in preventing full implementation. All participating staff balanced experimental work with full operational duties, leading to work that “kept starting and stopping.” Without dedicated innovation resources, operational priorities consistently superseded experimentation. The team reflected they “would have done this as a Design Sprint… in one week” with concentrated effort rather than distributed partial attention over nine months.
Despite not completing blockchain transactions, the experiment generated valuable learning about prerequisites for peer to peer payment adoption: need for hyper-local infrastructure mapping, requirement for dedicated innovation resources, importance of direct recipient engagement (limited by safety constraints), and recognition that solving last-mile delivery challenges matters more than institutional transfer optimization.
All In For Sport Funding Evolution: While AIFS didn’t implement peer to peer payments during the RPP experiment, their transformation journey highlighted similar challenges around resource flows. Moving from an NFT-funding model to coordination infrastructure, they faced the fundamental question of how to sustainably fund coordination work that enables others to create value. Their partnership developments (Women Win, Tech365) suggested future potential for blockchain-based resource flows between network participants, particularly for rapid deployment of resources for emergent opportunities.
Ukraine Humanitarian Response (2022-ongoing): During the 2022 crisis, blockchain payments enabled rapid humanitarian support when traditional banking systems were disrupted. Some Ukrainian cities had sophisticated cryptocurrency infrastructure enabling direct aid delivery. Other regions lacked basic exchange services, requiring creative solutions through merchant networks. This demonstrated both the potential and limitations of peer to peer payments in crisis contexts.
Global Grassroots Support Networks: Various informal networks have emerged using blockchain for direct community support. Environmental defenders in restricted contexts receive sustaining funds through cryptocurrency. Artist communities transfer value across borders for collaborative projects. These implementations often operate below regulatory radar while demonstrating practical utility for excluded communities.
Permissions are formalized rights and access controls that determine which agents can perform specific actions within a system, enabling secure coordination by balancing autonomy with accountability across decentralized networks.
Permissions serve as the foundational infrastructure for coordination in decentralized systems, establishing boundaries that both enable and constrain participant actions. Unlike traditional permissions that enforce rigid hierarchies, web3 permission systems create dynamic, contextual access patterns that can evolve with the needs of the organization. When thoughtfully designed, permissions create the conditions for appropriate decentralization - distributing authority without sacrificing coherence or security.
In complex coordination systems, permissions operate at multiple levels simultaneously: technical permissions enforce rules through code and cryptography, while social permissions establish norms and expectations through governance processes and agreements. The interplay between these layers determines how power flows throughout a system and shapes both its operational effectiveness and its resilience against capture or misuse.
Uses of “Permissions”
Permissions in DAO Primitives
In the DAO Primitives framework, permissions function as a core mechanism for coordinating autonomous teams (Cells) within a larger network. The framework treats permissions not as static assignments but as relational agreements between network participants that determine how resources, decisions, and responsibilities are distributed across the system.
As DAOs scale through fractal structures of interconnected Cells, permissions enable what Minimum Viable Permissionless-ness describes as “permissionless access to the network” while still providing necessary constraints on resource allocation. This distinction is crucial - while anyone can see opportunities and start working, permissions govern who can access treasuries, make binding decisions, or modify shared infrastructure.
This approach creates what might be called “calibrated permissioning” - deliberately designing where authority lies to achieve appropriate decentralization without sacrificing coordination capacity or security.
Permissions in Technical Infrastructure
At the technical level, permissions are encoded directly into blockchain protocols, smart contracts, and governance mechanisms. These programmatic permissions establish cryptographically secured rights that determine who can interact with contracts, trigger governance processes, or access protected resources.
Unlike traditional database access controls, on-chain permissions are publicly verifiable, immutable unless explicitly designed to be modified, and enforced without the need for trusted intermediaries. This creates strong guarantees around permission execution that can serve as the foundation for complex coordination systems.
Technical implementations include:
Multi-signature wallets requiring approval from multiple keyholders
Role-based access control in smart contracts
Token-gated permissions where ownership of specific tokens grants access rights
Time-locked or condition-based permissions that activate under specific circumstances
Permissions in Governance Systems
In governance contexts, permissions define who can participate in different aspects of decision-making and under what conditions. This includes rights to create proposals, vote on decisions, delegate authority, or implement approved changes.
Permissions in governance typically operate across multiple scales, with different decision types requiring different permission structures. As described in Building DAOs as scalable networks, a two-house governance structure might separate permission systems:
Community Governance permissions focus on long-term, high-stakes decisions about purpose and treasury management, often requiring broader stakeholder participation
Operational Governance permissions address day-to-day implementation and tactical decisions, distributed across autonomous teams in a sociocratic structure
This multi-scale approach allows permissions to be calibrated to the specific nature and impact of different decision types.
Permissions and Permissionless-ness
A key tension in web3 systems exists between permissioned access and “permissionless-ness” - the ability to participate without requiring approval from gatekeepers. As explored in Minimum Viable Permissionless-ness, effective DAOs must balance open participation with structured coordination.
The solution proposed involves distinguishing between “access to the network” (which should be permissionless) and “access to resources” (which requires appropriate permissions). This approach enables three essential freedoms:
The freedom to work on something without requiring permission
The ability to attract others to work on a project
The right to put up proposals to the broader network
By structuring permissions this way, networks can harness collective intelligence through permissionless exploration while maintaining appropriate controls around resource allocation and implementation.
Related Concepts
Autonomy: Permissions define the boundaries within which autonomous agents can operate
Delegation: The process of transferring permissions from one agent to another
Decisions: Permission systems determine who can make which types of decisions
Agents: The individuals or entities that receive and exercise permissions
Governance: Systems that establish and modify permissions across organizations
Resources: Assets and capabilities that permission systems regulate access to
Protocols: Standardized rules that often encode permission structures
Policies: Formalized rules that establish parameters for permissions
References and Resources
Minimum Viable Permissionless-ness: Explores the balance between permissions and permissionless access
Building DAOs as scalable networks: Discusses permission structures across governance scales
DAO Primitives Project: Framework for understanding permissions in decentralized organizations
Polycentric refers to governance systems characterized by multiple autonomous decision-making centers that operate at different scales and domains with overlapping areas of responsibility. These centers both compete and cooperate within shared institutional frameworks, creating adaptive governance that balances local autonomy with coordinated collective action.
Polycentric governance, developed by Nobel laureate Elinor Ostrom and Vincent Ostrom, describes complex governance arrangements where “many centers of decision-making authority are needed to cover the full range of governance tasks.” Unlike purely centralized systems (with single decision-making centers) or fully decentralized systems (with completely autonomous units), polycentric systems create nested, overlapping arrangements that can operate effectively at multiple scales simultaneously.
This approach enables communities to address collective action challenges—from managing shared resources to coordinating social movements—by creating institutional arrangements that preserve local knowledge and autonomy while enabling coordination across larger scales. Polycentric systems are particularly effective for managing commons and addressing complex social challenges that span multiple jurisdictions, stakeholder groups, and scales of operation, making them highly relevant to decentralized organizations, cooperative networks, and Web3 governance systems.
Uses of “Polycentric”
Polycentric Governance in Multi-Stakeholder Cooperatives
Multi-stakeholder cooperatives exemplify polycentric governance by creating multiple decision-making centers that represent different stakeholder groups—workers, consumers, producers, and community members—while maintaining overall democratic coordination. These cooperatives implement “governance structures that give voice to different stakeholder classes while maintaining overall democratic control,” creating overlapping spheres of autonomous decision-making within shared institutional frameworks.
Each stakeholder group operates as a semi-autonomous decision-making center with its own internal governance processes, specialized knowledge, and particular interests, while participating in broader cooperative governance that coordinates collective action. This polycentric arrangement enables cooperatives to balance diverse stakeholder perspectives with coherent organizational direction, creating more resilient and responsive governance than either purely centralized management or completely fragmented stakeholder autonomy.
Polycentric Networks in Decentralized Organizations
In Web3 and DAO contexts, polycentric governance appears in network structures where multiple autonomous organizations coordinate through shared protocols and collective decision-making processes. These networks enable “decentralized coordination systems that align individual participation with collective outcomes” while preserving organizational autonomy and local decision-making capacity within each participating entity.
Platform cooperatives and DAO federations often implement polycentric structures where individual cooperative or DAO entities maintain autonomous governance over their internal affairs while participating in network-level coordination for shared infrastructure, resource allocation, and collective purpose. This creates resilient networks that can adapt to local conditions while maintaining coordination across geographic and organizational boundaries.
Polycentric Resource Management and Mutual Aid
In community resilience and mutual aid contexts, polycentric systems enable coordination across multiple scales of social organization—from household networks to neighborhood groups to regional coordination bodies—each operating with appropriate autonomy while participating in broader resource sharing and collective action. This creates adaptive capacity for addressing complex social and environmental challenges that require both local knowledge and broader coordination.
These polycentric arrangements appear in solidarity networks where local mutual aid groups maintain autonomy over their internal operations while coordinating through regional networks for resource sharing, knowledge exchange, and collective action. The overlapping decision-making centers enable both responsive local action and coordinated collective response to larger-scale challenges.
Polycentric Systems for Commons Governance
In environmental and social commons contexts, polycentric governance enables multiple user groups, management organizations, and regulatory bodies to coordinate resource management across different scales and domains. This approach addresses the challenges of managing shared resources that cross organizational and jurisdictional boundaries while preserving the local knowledge and autonomy necessary for effective stewardship.
Polycentric commons governance often involves nested institutions where local resource user groups coordinate with regional management bodies and interact with broader regulatory frameworks, creating multi-level governance that can adapt to changing conditions while maintaining sustainable resource use. This model is particularly relevant for Web3 approaches to managing digital commons and shared infrastructure.
Related Concepts
Decentralization: Polycentric systems balance decentralized autonomy with coordinated collective action, creating structured alternatives to both centralization and pure decentralization
Distributed: Polycentric governance distributes decision-making authority across multiple centers while maintaining institutional coordination
Networks: Polycentric systems organize as networks of autonomous decision-making centers with overlapping responsibilities and coordination mechanisms
Governance: Polycentric governance creates multi-level, multi-stakeholder approaches to collective decision-making and coordination
Practices are established methods, routines, and processes that guide individual and collective behavior, providing structured approaches to action, decision-making, and coordination that enable consistent and effective pursuit of shared goals.
Practices bridge the gap between abstract principles and concrete actions, translating values and purpose into reliable patterns of behavior. They encode accumulated knowledge and wisdom into repeatable processes that can be shared, taught, and refined over time. Unlike rigid procedures, effective practices maintain a balance between structure and adaptability, providing enough guidance to ensure consistency while allowing for contextual application and continuous improvement.
In decentralized systems, practices take on particular importance as they replace traditional command-and-control mechanisms with shared protocols for collaboration. Well-designed practices create alignment without requiring centralized authority, enabling autonomous individuals and teams to coordinate effectively by following common approaches to communication, decision-making, and resource allocation. These shared methods become part of an organization’s culture and identity, reinforcing values while building collective capacity.
Uses of “Practices”
Practices in the DAO Primitives Framework
Within the DAO Primitives Framework, “Practice” is one of three core dimensions of Group State (alongside purpose and progress). It represents the agreed-upon methods and approaches that guide how a team works together and coordinates its activities.
As part of Group State, practices include:
Decision Protocols: Methods for making collective choices, such as consent-based or consensus-based processes
Meeting Formats: Structured approaches to gathering, sharing information, and collaborative work
Communication Channels: Established patterns for how information flows within and between teams
Role Allocation: Processes for assigning responsibilities and authority
Conflict Resolution: Methods for addressing tensions and disagreements
Practices in this framework are explicitly documented and continually refined based on the team’s experience and evolving needs. They create a shared operating system that allows teams to work together effectively without centralized control, balancing autonomy with coordination.
Practices in Governance Systems
In governance contexts, practices refer to the established methods through which decisions are made, resources are allocated, and accountability is maintained. These include formal procedures like proposal processes and voting mechanisms, as well as informal norms around deliberation, inclusion, and transparency.
Enabling broad participation while maintaining efficiency
Providing clarity and predictability while allowing for adaptation
Protecting against capture while minimizing bureaucracy
Supporting both operational decisions and long-term strategic direction
As explored in the “Governance for better futures” series, governance practices must evolve to address complex challenges while fostering decentralization and pluralism. Practices like community voting, delegation, and multi-stakeholder coordination create the infrastructure through which groups navigate complexity and manage shared resources.
Practices in Community Coordination
At the community level, practices establish shared norms and approaches that enable coherent collective action. These social technologies include:
Onboarding processes: How new members are welcomed and integrated
Knowledge sharing: Methods for documenting and transferring information
Contribution recognition: Systems for acknowledging and valuing participation
Resource allocation: Approaches to distributing collective resources
Cultural rituals: Regular activities that reinforce community identity and values
Community practices create the conditions for trust, reciprocity, and collective intelligence to emerge. They help translate values into consistent behaviors while establishing clear expectations that guide participation. In decentralized communities, these practices often evolve organically through experimentation and adaptation rather than being imposed from above.
Related Concepts
Agreements: Formal commitments that establish shared expectations, with practices often emerging from agreements
Protocols: Standardized rules that govern interactions, which practices often implement
Purpose: The guiding goal that practices help realize
Progress: Systems for tracking and demonstrating advancement, which practices support
Roles: Defined responsibilities that practices help coordinate
Tasks: Specific actions guided by established practices
Governance: Systems for collective decision-making that incorporate various practices
patterns: Reusable solutions to recurring problems, which often codify effective practices
Primitives are the most basic, foundational elements or operations in any system or domain, serving as the essential building blocks from which more complex structures, processes, or concepts are created.
Uses of “Primitives”
Primitives can be seen across various domains, such as programming (e.g., data types, basic operations like addition), hardware (e.g., logic gates, transistors), and software architecture (e.g., messaging protocols, database queries). Their simplicity and generality make them highly reusable, flexible, and reliable, allowing systems to scale and evolve while maintaining clarity and modularity.
In both web3 tooling and systems design, “primitives” refer to basic, foundational components or operations that are simple, reusable, and interoperable, serving as essential building blocks for creating more complex applications, services, or systems by combining or extending them.
Primitives in Systems Design
In systems design and organization, primitives refer to the most basic, foundational components or operations that cannot be simplified further but are used to build more complex systems. These building blocks provide standardized functionality or abstractions, allowing for the creation of larger, more sophisticated systems by combining or extending them.
Primitives in web3
In web3 tooling, primitives refer to basic building blocks or fundamental components that developers use to create decentralized applications (dApps) and blockchain-based systems. These include elements like tokens, wallets, smart contracts, consensus mechanisms, and decentralized identities, which serve as reusable, interoperable pieces of code or protocols. By combining and extending these primitives, developers can efficiently build more complex applications and services within the decentralized ecosystem.
Primitives in Practice
Organizations can benefit from primitives by leveraging these basic building blocks to streamline processes, improve efficiency, and enhance flexibility. By breaking down complex tasks or systems into simpler, reusable components, they can standardize operations, reduce redundancy, and adapt quickly to changes.
These elements are simple, repeatable, and can be applied across different departments or projects, allowing the organization to maintain consistency while adapting to various challenges. By utilizing these foundational building blocks, organizations can ensure that their operations are efficient, flexible, and aligned with their strategic goals.
At SuperBenefit, we’re exploring the potential and practical uses of web3 primitives in the DAO Primitives Project. For help choosing the patterns, practices and primitives for your project, check out the group facilitation framework. You can learn more about our approach in the conceptual framework.
Primitives in this repository
Some notes in this knowledge garden represent primitives, and include metadata to help you navigate and discover them.
Notes which representprimitives are indicated using the tools/types/primitive file class (type: primitive). This file class (a subclass of tools/types/resource/resource and link ) contains several metadata fields which are either inherited or unique.
The safeguarding of personal, transactional, and organizational data to ensure individual and collective autonomy, security, and ethical stewardship in digital ecosystems.
Privacy encompasses the protection and responsible management of information across digital and physical domains. It forms a foundational pillar for trust, self-determination, and freedom in networked systems. Beyond simple data protection, privacy represents a core value that enables authentic participation, safe collaboration, and equitable power dynamics in decentralized communities.
In purpose-driven networks, privacy serves both protective and generative functions: shielding vulnerable participants from harm while creating spaces where genuine innovation, trust, and community-building can flourish without surveillance or coercion.
Uses of “Privacy”
Privacy in Web3
In the web3 context, privacy refers to the protection of users’ identities, transactions, and activities in decentralized systems. It ensures that individuals maintain control over their data while benefiting from transparency and trustless interactions.
Privacy in web3 often involves technologies such as:
Zero-knowledge proofs: Allowing verification without revealing underlying information
Decentralized identifiers (DIDs): Enabling selective disclosure of identity attributes
Encryption protocols: Securing communications and stored data
These technologies balance anonymity with accountability, creating systems where users can participate safely without surrendering their personal information to centralized authorities or exposing themselves to surveillance.
Privacy in Social Impact
For social impact initiatives, privacy is often a critical requirement rather than a luxury. When working with marginalized communities, whistleblowers, or in politically sensitive contexts, privacy becomes essential for:
Safety: Protecting individuals from reprisal or targeting
Agency: Allowing communities to control their own narratives and data
Equity: Preventing exploitation of vulnerable populations
Trust: Creating safe spaces for authentic participation
The Privacy-Preserving Crypto Payments pattern exemplifies how privacy technologies can support humanitarian work in challenging environments, enabling resource distribution while protecting participant identities.
Privacy as Collective Responsibility
Privacy is increasingly understood as both an individual right and a collective responsibility. In networked systems:
Individual privacy choices affect the privacy of others in the network
Community governance must establish shared norms around data practices
Privacy design requires consideration of power dynamics and potential harms
Technical solutions must be complemented by social agreements and practices
This perspective shifts privacy from a purely individual concern to an essential component of governance and coordination-scale in decentralized systems.
Related Concepts
Privacy intersects with numerous other concepts in the lexicon:
Autonomy: Privacy enables genuine self-determination and agency
Decentralization: Distributing data and control reduces centralized surveillance
Consent: Privacy requires meaningful permission for data usage
Trust: Privacy protections foster confidence in systems and communities
Security: Privacy and security are complementary but distinct requirements
Understanding these relationships helps create more holistic approaches to privacy in system design and governance.
Protocols are standardized sets of rules, procedures, and agreements that define how participants in a system interact, communicate, and exchange value, enabling consistent and predictable coordination without requiring central authority.
Protocols serve as foundational infrastructure for coordination in complex systems, establishing shared languages and behaviors that allow diverse agents to interact reliably. Unlike centralized systems that depend on hierarchical control, protocol-based coordination distributes authority across networks, allowing participants to engage directly without intermediaries while maintaining system coherence. This approach creates resilient, adaptable systems that can scale organically while preserving transparency and participant autonomy.
In both technological and social contexts, protocols transform unpredictable interactions into structured, repeatable patterns. They reduce coordination costs by establishing clear expectations and procedures, enabling complex collaboration among parties who may have no prior relationship or trust. While technical protocols operate through cryptographic verification and algorithmic enforcement, social protocols function through shared understanding, cultural norms, and governance agreements that guide collective behavior.
Uses of “Protocols”
Technical Protocols in Web3
In blockchain and web3 contexts, protocols are the formalized rule sets that govern how distributed networks operate, communicate, and maintain consensus. These protocols are typically implemented through code that defines transaction validation, data structures, consensus mechanisms, and network behaviors.
Technical protocols in web3 include:
Consensus protocols that establish agreement on the state of distributed systems
Transfer protocols for securely moving digital assets between parties
Messaging protocols for communication between different blockchain systems
Identity protocols for verifying and managing digital identities
Financial protocols (DeFi) for lending, trading, and other financial interactions
Unlike traditional software systems, the open and permissionless nature of blockchain protocols enables global networks of participants to coordinate without central authorities. As noted in the Minimum Viable Permissionless-ness article, these systems create “the ability for anyone anywhere to contribute creatively to a system” by establishing clear rules that maintain network integrity while enabling permissionless participation.
Social Protocols in DAOs
In decentralized autonomous organizations, social protocols establish governance processes, decision-making frameworks, and coordination mechanisms that enable collective action. These protocols bridge the gap between technical systems and human behavior, creating structured but flexible ways for communities to collaborate.
Social protocols in DAOs include:
Governance protocols for proposal creation, deliberation, and voting
Resource allocation protocols for managing shared treasuries
Contribution protocols that define how work is assigned, evaluated, and rewarded
Dispute resolution protocols for addressing conflicts and disagreements
Permission protocols that define access rights and responsibilities
The DAO Primitives Framework describes these social protocols as essential components for scaling coordination across different organizational levels. By establishing clear patterns for interaction, DAO protocols enable both small team autonomy and network-scale collaboration, creating systems that can “evolve organically” while maintaining purpose alignment.
Open Protocols
Open protocols are publicly accessible, non-proprietary standards that anyone can use, modify, and build upon without permission or payment. They represent a fundamental shift from closed, proprietary systems toward shared infrastructure that prioritizes interoperability, transparency, and collective governance.
Public Accessibility: Documentation and specifications are freely available to all
Permissionless Implementation: Anyone can build applications or services using the protocol
Community Governance: Development and evolution is guided by multi-stakeholder processes
Interoperability: Designed to work with other systems and services
Open Standards: Based on publicly documented specifications rather than proprietary technologies
Organizations like OpenCivics emphasize that open protocols create “digital public infrastructure” that enables more equitable, democratic participation in digital systems. Unlike proprietary platforms that extract value and control data, open protocols distribute value and authority across networks of participants, creating more resilient and equitable digital ecosystems.
Protocols in Civic Systems
In civic contexts, protocols establish frameworks for public participation, deliberation, and decision-making. These civic protocols bridge traditional governance structures with digital tools, creating hybrid systems for community coordination.
Civic protocols include:
Participatory budgeting protocols for community resource allocation
Deliberative democracy protocols for structured public discussion
Data commons protocols for managing shared information resources
Mutual aid protocols for community support and resource sharing
Public goods funding protocols for sustaining critical shared infrastructure
These systems enable communities to self-organize around shared needs and resources without requiring centralized management. As described in Governance for better futures, these protocols can help “shepherd emergence and serve more relational and systemic approaches to cooperation” by creating infrastructure for distributed decision-making and resource governance.
Related Concepts
Governance: Protocols establish the rules and procedures for collective decision-making
Agreements: Protocols formalize shared understandings about how systems operate
Networks: Protocols enable coordination across distributed networks of participants
Decisions: Protocols structure how collective choices are made and implemented
Primitives: Protocols are fundamental building blocks for constructing complex systems
Purpose is the shared vision, mission, or fundamental reason for existence that provides direction, meaning, and coherence to collective endeavors, serving as the orienting force that guides decision-making and action without requiring centralized control.
Purpose sits at the heart of effective coordination in decentralized systems, providing the gravitational center around which autonomous activities can align. Unlike traditional command structures that rely on hierarchical direction, purpose-driven systems enable coherent action through shared understanding of fundamental goals and values. This approach creates the conditions for distributed decision-making while maintaining overall alignment across diverse participants and contexts.
In complex environments, purpose functions as both a strategic compass and an integrative force. It establishes the boundaries within which experimentation and adaptation can flourish while ensuring that diverse activities contribute to a coherent whole. When clearly articulated and genuinely shared, purpose enables communities to navigate uncertainty, resolve conflicts, and evolve while preserving their essential character and direction.
Uses of “Purpose”
Purpose in DAO Primitives Framework
In the DAO Primitives Framework, purpose serves as one of three foundational dimensions of Group State, alongside Practice and Progress. It represents the “why” that animates an organization’s existence and activities. As the framework explains, purpose encompasses the shared vision that “creates alignment in a self-organizing network,” establishing the boundaries within which autonomous teams can operate effectively.
This framework treats purpose as a dynamic navigational tool rather than a static statement. Purpose evolves through collective sense-making and ongoing refinement, creating what Building DAOs as scalable networks describes as “coordination in much more complex and useful ways than can companies.” By orienting around shared purpose rather than rigid structures, decentralized networks can maintain coherence while adapting to changing conditions.
Purpose in Web3 Governance
In Web3 governance systems, purpose functions as the cornerstone for legitimate decision-making. As described in Governance for better futures, effective governance frameworks are designed to “safeguard the purpose of the network” while enabling flexibility in implementation. This approach creates a two-house governance structure where Community Governance focuses on long-term purpose alignment, while Operational Governance enables adaptive execution.
The emphasis on purpose-based governance represents a fundamental shift from traditional approaches that prioritize compliance with predetermined rules. Instead, as noted in Minimum Viable Permissionless-ness, Web3 systems evaluate decisions based on whether they advance the network’s purpose, with governance serving as a mechanism to “avoid capture and remain alive and relevant.”
Purpose in Coordination Systems
In decentralized coordination contexts, purpose serves as the primary mechanism for aligning autonomous actions without requiring central direction. It enables what DAOs aren’t things… they are flows describes as “centerless networks with coordinated flows of resources” - systems where alignment emerges from shared understanding rather than hierarchical control.
This coordination function is particularly valuable in complex environments where no single entity can possess complete information or context. By establishing shared purpose as the orientation point, systems can harness distributed intelligence while maintaining overall coherence. As described in Scale and the levers that provide DAOs their power, this approach allows networks to “contain multitudes” of autonomous groups working toward an “overarching purpose inside a vastly more flexible structure.”
Purpose in Social Impact
In social impact contexts, purpose often extends beyond organizational boundaries to address broader societal challenges and transformations. Purpose-driven impact initiatives seek to create lasting change in complex systems rather than simply delivering short-term outputs or services.
As explored in Governance for better futures - New and Old, purpose in social impact work involves “reframing governance as the stewardship of holistic interests rather than just specific ones.” This expanded scope requires governance arrangements and capacities that can “hold the inevitable tensions in commoning and maintaining a strong sense of mutual responsibility.”
Related Concepts
Agreements: Purpose agreements provide the foundation for coordination in decentralized systems
Vision: The aspirational future state that purpose aims to realize
Values: The principles and beliefs that shape how purpose is pursued
Decisions: Purpose provides the framework for evaluating options and determining direction
Governance: Systems that safeguard purpose and ensure alignment across activities
Groups: Purpose provides the orientation for collective action across different scales
References and Resources
Building DAOs as scalable networks: Explores purpose as the orienting force in network governance
DAOs aren’t things… they are flows: Discusses purpose-aligned networks
DAO Primitives Framework: Details purpose as a foundational dimension of Group State
Regenerative Finance (ReFi) refers to blockchain-based financial systems and applications designed to align economic incentives with environmental and social regeneration, creating mechanisms that reward positive impact while enabling communities to directly fund, measure, and govern ecological restoration and social wellbeing.
ReFi represents an evolution of decentralized finance (DeFi) that redirects the capabilities of blockchain technology toward addressing urgent ecological and social challenges. It moves beyond sustainability—which aims to minimize harm—toward regeneration, actively restoring and enhancing natural and social systems. By embedding regenerative principles into financial mechanisms, ReFi creates economic systems where healing ecological damage and addressing social inequities becomes profitable, scalable, and self-reinforcing.
Unlike traditional Environmental, Social, and Governance (ESG) approaches that often function as add-ons to extractive financial systems, ReFi reimagines the fundamental relationship between finance, nature, and society. It leverages Web3 tools like tokens, smart contracts, and decentralized governance to create transparent, inclusive financial infrastructures that enable communities to participate directly in funding, measuring, and governing regenerative activities. This approach aims to transform finance from an extractive force into a regenerative one that generates value for all stakeholders—including non-human life and future generations.
Uses of “ReFi”
ReFi in Environmental Markets
In environmental contexts, ReFi creates mechanisms to value and trade previously unrecognized ecological assets and services. These markets enable direct funding of environmental regeneration while creating financial incentives for conservation and restoration.
Key applications include tokenized carbon credits that create more transparent, accessible markets for verified emissions reductions; biodiversity credits that reward protection of ecosystems and species; and tokenized natural assets that enable fractional ownership and stewardship of land, forests, and watersheds. By bringing environmental assets onto blockchain systems, ReFi increases transparency, reduces intermediaries, and enables broader participation in environmental markets that were previously accessible only to large institutions.
ReFi in Community Economics
ReFi enables communities to design and implement their own economic systems aligned with local needs and values. These applications create more equitable distribution of resources while strengthening community resilience and autonomy.
Local implementations include community currencies that keep value circulating within regional economies; mutual credit systems that enable exchange without requiring scarce national currency; and solidarity funding mechanisms like shared savings pools or risk-sharing arrangements. ReFi provides technological infrastructure for these community-based economics, helping them scale while maintaining local governance and purpose alignment.
ReFi in Decentralized Governance
ReFi governance systems distribute decision-making power about resource allocation to stakeholders directly affected by those decisions. This approach balances traditional financial returns with environmental and social impact metrics when determining how capital flows.
Impact DAOs (Decentralized Autonomous Organizations) exemplify this approach, creating transparent governance frameworks where communities can collectively allocate resources toward regenerative projects. These structures enable participatory budgeting, quadratic funding, and other decision-making mechanisms that value diverse perspectives and long-term outcomes rather than concentrating power with the largest capital holders.
Related Concepts
DeFi: The technical foundation upon which ReFi builds, adding regenerative principles to decentralized financial applications
Protocols: ReFi develops standardized rule sets that enable regenerative activities to scale across networks
Community: ReFi emphasizes community governance and participation in economic systems
Impact: ReFi creates measurable, verifiable mechanisms for tracking positive environmental and social outcomes
DAOs: Governance structures that enable collective management of regenerative resources and projects
References and Resources
Fullerton, John. “Regenerative Capitalism: How Universal Principles and Patterns Will Shape Our New Economy” - Theoretical foundation for regenerative economics
KlimaDAO, Toucan Protocol, and Celo Foundation - Leading organizations implementing ReFi principles in Web3
Climate Collective - Community of projects working at the intersection of Web3 and climate action
ReFi Spring - Educational resources and community for regenerative finance practitioners
Regeneration refers to the active restoration and enhancement of ecological and social systems beyond mere sustainability, creating net-positive outcomes that build resilience, vitality, and the capacity for self-renewal while addressing root causes of degradation and inequity.
While sustainability focuses on minimizing harm and maintaining the status quo, regeneration aims to heal damaged systems and create the conditions for ongoing improvement and flourishing. This approach recognizes that many ecological and social systems have been so degraded that simply sustaining current conditions is insufficient; instead, we must actively rebuild health, diversity, and resilience. Regenerative practices work with the inherent potential of living systems to evolve toward greater complexity, interdependence, and abundance when provided with appropriate conditions and relationships.
In the context of decentralized systems and social impact, regeneration represents both a guiding value and a practical framework for designing interventions that create virtuous cycles of improvement rather than extractive or degenerative ones. This perspective shifts focus from isolated problems to whole systems, from linear processes to circular ones, and from zero-sum competition to positive-sum collaboration.
Uses of “Regeneration”
Ecological Regeneration
Ecological regeneration focuses on restoring the earth and reversing the impact of many decades of human harm. Rather than simply protecting what remains of natural systems, this approach actively rebuilds soil health, biodiversity, watershed function, and carbon sequestration through interventions that work with natural processes.
Practices like regenerative agriculture improve soil fertility and biodiversity while producing food, while regenerative forestry, grassland management, and marine restoration enhance ecosystem function while providing for human needs. These approaches recognize humans as potential positive participants in ecological systems, creating regenerative human-natural relationships that benefit both people and the broader web of life.
Regenerative Finance (ReFi)
Regenerative finance encompasses new economic protocols and systems that emphasize human flourishing over extraction and accumulation. This approach aligns economic incentives with ecological and social wellbeing, ensuring that prosperity includes—rather than undermines—the health of communities and ecosystems.
ReFi represents a key implementation in the Web3 space, using blockchain and decentralized technologies to create transparent financial systems that directly reward regenerative outcomes. This includes tokenized environmental assets, community currencies, mutual credit systems, and investment models that build social, cultural, and natural capital alongside financial returns.
Technological Regeneration
Technological regeneration involves building collaborative digital infrastructures—including DAOs, open-source toolkits, and data commons—that serve as the backbone of regenerative initiatives. These technologies enable coordination without centralized control, transparent verification of impacts, and equitable distribution of benefits.
Web3 technologies support regenerative aims through decentralized governance systems, verifiable impact measurement, transparent resource flows, and mechanisms that reward long-term stewardship rather than short-term extraction. By designing technology with regenerative principles, these systems can amplify rather than undermine community and ecological wellbeing.
Sociocultural Regeneration
Sociocultural regeneration focuses on developing new “operating systems” for humankind that support collaborative, life-affirming ways of living. This dimension addresses the cultural narratives, social norms, and relationship patterns that shape how we interact with each other and the living world.
This includes evolving governance models that distribute power equitably; educational approaches that foster ecological understanding and systems thinking; economic frameworks that value care work and ecological stewardship; and cultural practices that celebrate interdependence rather than hyper-individualism. These social innovations create the cultural context necessary for technological and ecological regeneration to flourish.
Personal and Spiritual Regeneration
Personal and spiritual regeneration emphasizes the “inner work” that allows individuals and communities to adopt truly regenerative mindsets and behaviors. This approach recognizes that outer transformation must be accompanied by inner development to create lasting change.
This dimension includes practices that foster ecological consciousness, systems awareness, and connection to place; healing modalities that address trauma and build capacity for empathy and collaboration; contemplative practices that deepen relationship with the living world; and community rituals that strengthen social bonds and shared purpose. These inner dimensions create the foundation for effective action in the other domains of regeneration.
Related Concepts
Sustainability: The foundation upon which regeneration builds, focusing on maintaining rather than enhancing systems
ReFi: The application of regenerative principles to financial systems using Web3 technologies
Systems: The holistic perspective necessary for effective regenerative design and practice
Community: A primary scale and context for regenerative development
Purpose: The guiding direction that informs regenerative interventions
Localism: The emphasis on place-based solutions central to many regenerative approaches
Cosmolocalism: The balancing of local regeneration with global knowledge sharing
References and Resources
Reed, Bill. “The Integrative Design Guide to Green Building” - Introduces the concept of regenerative design
Wahl, Daniel Christian. “Designing Regenerative Cultures” - Explores the principles of regenerative cultural design
Lyle, John T. “Regenerative Design for Sustainable Development” - Foundational text on regenerative approaches
Brown, Lorna. “Braiding Sweetgrass” - Indigenous wisdom on regenerative relationships with the living world
Climate Collective and Regen Network - Leading Web3 organizations applying regenerative principles
Resources are assets, materials, or capabilities that enable action, including tangible elements like funds and equipment as well as intangible elements like knowledge, time, and attention, all of which can be allocated toward achieving specific goals and outcomes.
Resources form the foundation of all organizational systems, determining what actions are possible and how effectively goals can be pursued. In decentralized systems, resources take on particular importance as their distribution, governance, and flow directly shape power dynamics and operational capabilities. The way resources are managed—whether centralized under hierarchical control or distributed through networked governance—fundamentally influences what outcomes are possible and who benefits from them.
Web3 systems introduce new paradigms for resource management through mechanisms like programmable treasuries, tokenization of previously non-financialized assets, and transparent on-chain tracking of resource flows. These innovations enable more participatory approaches to resource allocation while creating new challenges around coordination, security, and alignment between individual and collective interests.
Uses of “Resources”
DAO Primitives Framework
In the DAO Primitives Framework, resources are fundamental building blocks that enable coordinated action. They include financial assets (like treasury funds), technical infrastructure, community attention, and knowledge capabilities that DAOs can leverage to achieve their purpose. The framework emphasizes that effective resource allocation through transparent and participatory processes is essential for decentralized organizations to coordinate efficiently across different scales.
In Anticapture, resources are defined as anything that can be used to achieve desired outcomes, including tangible assets like food, money, and energy, as well as intangible ones like attention and social reputation. The term distinguishes between private resources, controlled by a single agents, and shared resources, governed by a network of agents. Shared resources are particularly vulnerable to capture, making decentralized governance essential to protect them from misuse or control by bad actors
In Web3 Governance
In governance systems, resources provide both the means and often the focus of collective decision-making. The allocation of treasuries, deployment of technical infrastructure, and cultivation of community attention all require governance mechanisms that can effectively direct resources toward purpose-aligned activities. Effective resource management in DAOs requires balancing flexibility for rapid action with appropriate controls to prevent misuse or exploitation.
In Social Impact DAOs
For organizations focused on social impact, resources extend beyond financial capital to include relationships, environmental assets, and social capital. Impact-oriented DAOs often develop innovative resource management systems that blend traditional approaches with web3 mechanisms like quadratic funding, impact certificates, and regenerative economics to more effectively direct resources toward sustainable outcomes that transcend financial returns.
Related Concepts
Permissions: Controls determining who can access or direct specific resources
Decision-making: Processes through which resource allocation choices are made
Platforms: Infrastructure that serves as a resource for coordination
Roles: Defined responsibilities that include authority over specific resources
Agreements: Formal or informal understandings about resource access and use
Roles are defined sets of responsibilities, permissions, and accountabilities assigned to individuals or entities within a system, enabling specialized contributions while creating clear interfaces for coordination across decentralized networks.
Roles serve as fundamental coordination mechanisms in decentralized systems, creating clarity about expected contributions without requiring hierarchical management. Unlike traditional job descriptions that often focus on compliance with predetermined processes, roles in DAOs and web3 organizations typically emphasize outcomes and boundaries while leaving space for autonomy in implementation. This balance between clarity and flexibility allows for specialized contributions while maintaining coherence across distributed networks.
In the context of decentralized coordination, well-designed roles create “minimum viable structure” - providing enough definition to enable effective collaboration without imposing unnecessary rigidity. They establish clear interfaces between contributors, clarifying who is responsible for what without prescribing exactly how those responsibilities must be fulfilled. This approach supports both individual agency and system-wide alignment, allowing complex organizations to function without centralized control.
Uses of “Roles”
Roles in DAO Governance
In DAO governance systems, roles provide specialized functions that distribute decision-making authority and operational responsibilities across the network. Rather than concentrating power in management hierarchies, DAOs typically implement constellations of roles with specific domains of authority and accountability.
These governance roles might include treasury signers who manage collective resources, facilitators who guide decision processes, delegates who represent stakeholder interests, or specialized domain experts who provide input on technical decisions. As described in various governance artifacts, these roles often operate within multi-scale systems where different responsibilities are handled at the appropriate level of the organization.
Roles in Cell-Based Organizations
Within cell-based organizational models like those described in the DAO Primitives Framework, roles “contain and manage specific responsibilities and sets of permissions.” In these systems, cells (small autonomous teams) define internal roles that handle specialized functions while maintaining clear interfaces with other cells in the network.
As noted in papers like “Building DAOs as scalable networks,” these roles enable autonomous teams to coordinate effectively by creating transparent agreements about who is responsible for what. Cell documentation typically includes explicit role definitions as part of their state, making these agreements visible to both team members and external stakeholders.
Roles in Technical Systems
In technical implementations, roles often manifest as permission systems that control access to various functions and resources. Smart contracts, multi-signature wallets, and other web3 infrastructure frequently implement role-based access control (RBAC) to manage who can perform specific actions within the system.
These technical roles establish cryptographically secured boundaries that determine who can modify parameters, execute transactions, or access protected resources. Unlike traditional access control that relies on central authorities, web3 role implementations often distribute control across multiple stakeholders while maintaining transparent, verifiable permission structures.
Related Concepts
Agents: The individuals or entities that fulfill roles within a system
Agreements: Formal or informal understandings that define roles and their relationships
Responsibilities: The specific duties and obligations assigned to a role
Authorities: The authorized capabilities that enable role-holders to fulfill their responsibilities
Eligibility: The criteria and qualifications that determine who can fulfill specific roles
Accountability: The obligation to account for activities, accept responsibility, and disclose results
References and Resources
DAO Primitives Framework - Provides context for roles as fundamental organizational primitives
Building DAOs as scalable networks - Discusses role distribution across governance scales
Cell Working Group pattern - Explores roles within autonomous team structures
Self-governance refers to the capacity for groups, communities, or organizations to organize themselves, make collective decisions, and manage their affairs autonomously without relying on external authorities or centralized control structures. This involves establishing internal mechanisms for decision-making, resource allocation, and conflict resolution that enable collective action while preserving individual autonomy.
Self-governance represents a fundamental aspiration of decentralized systems, where participants develop the capabilities and institutions necessary to coordinate collective action without external oversight or hierarchical management. In Web3 and cooperative contexts, self-governance manifests through technological and social mechanisms that enable democratic participation, transparent decision-making, and accountable resource management.
The effectiveness of self-governance depends on creating appropriate institutional frameworks, shared protocols, and cultural practices that balance individual autonomy with collective coordination. This makes self-governance particularly relevant to DAOs, cooperatives, and community-led initiatives that seek to maintain democratic control while achieving meaningful collective outcomes.
Uses of “Self-governance”
Self-governance in Decentralized Autonomous Organizations
DAOs exemplify self-governance through blockchain-based systems where “members decide the direction of the organization and govern how it is run” without traditional hierarchical management. These organizations use smart contracts and token-based voting to enable “bottom-up management” where “decision-making abilities” are distributed among participants rather than concentrated in centralized leadership.
DAO self-governance typically involves proposal submission, community deliberation, and token-weighted voting that automatically executes decisions through smart contracts. This creates transparent, participatory governance systems where community members can “vote on initiatives for the entity” while maintaining accountability through blockchain-recorded decisions and programmable resource allocation.
Self-governance in Cooperative Organization
Cooperatives demonstrate self-governance through democratic member control where participants collectively own and manage enterprises according to cooperative principles. These organizations create “democratic governance models that distribute decision-making authority” among members while maintaining operational effectiveness and economic sustainability.
Cooperative self-governance operates through member assemblies, elected boards, and participatory decision-making processes that enable collective ownership and democratic control. This creates organizational structures where members can “govern how it is run” while balancing diverse stakeholder interests and maintaining accountability to the cooperative’s social and economic purposes.
Self-governance in Community Networks
Community organizing and mutual aid networks demonstrate self-governance through grassroots coordination systems that enable collective response to local challenges without external intervention. These networks develop autonomous capacity for resource sharing, decision-making, and collective action that emerges from participant relationships and shared practices.
Community self-governance often involves consensus-building processes, distributed leadership roles, and flexible coordination mechanisms that adapt to changing conditions while maintaining community autonomy. This creates resilient networks capable of self-organization and collective response that operates independently of formal institutions or external funding dependencies.
Related Concepts
Autonomy: Self-governance preserves individual and group autonomy while enabling collective coordination
Decentralization: Self-governance distributes authority away from centralized control toward participant communities
Governance: Self-governance represents participatory approaches to collective decision-making and coordination
Cooperative: Cooperatives implement self-governance through democratic member control and collective ownership
Networks: Self-governing networks enable coordination without hierarchical control structures
Consensus: Self-governance often relies on consensus-building processes for collective decision-making
Democratic: Self-governance emphasizes democratic participation and shared decision-making authority
Sustainability refers to the design and implementation of systems that balance environmental integrity, social equity, and economic viability to meet present needs without compromising future generations’ ability to meet their own needs, particularly through decentralized coordination mechanisms that enable regenerative rather than extractive relationships.
In the context of Web3 and decentralized systems, sustainability extends beyond traditional environmental concerns to encompass the resilience, longevity, and regenerative capacity of sociotechnical networks. These systems aim to create positive-sum outcomes by aligning incentives toward long-term value creation rather than short-term extraction. Sustainable approaches in this domain recognize the interdependence between ecological health, social wellbeing, and economic prosperity, seeking to design coordination mechanisms that naturally regenerate rather than deplete the resources upon which they depend.
The shift toward sustainability in decentralized networks involves reimagining fundamental structures and incentives to prioritize long-term resilience over immediate efficiency. This includes developing governance models, economic systems, and technological infrastructures that internalize externalities, distribute benefits equitably, and remain adaptable to changing conditions. By making sustainability a core design principle rather than an afterthought, these systems can help address urgent global challenges while creating more viable paths for human cooperation and flourishing.
Uses of “Sustainability”
Sustainability in Web3 and Blockchain
In Web3 contexts, sustainability addresses both the environmental impacts of blockchain technologies and the long-term viability of decentralized networks. This includes developing energy-efficient consensus mechanisms to reduce carbon footprints, creating tokenomics models that support ongoing maintenance and development, and ensuring that protocols can evolve without compromising core values or security.
The sustainability challenges of early proof-of-work blockchains have driven innovation toward more energy-efficient alternatives like proof-of-stake, as well as layer-2 solutions that reduce computational overhead. Beyond environmental concerns, sustainable Web3 systems also focus on governance mechanisms that prevent capture by short-term interests, enabling networks to make decisions that preserve their long-term viability and purpose alignment.
Sustainability in DAO Design
For Decentralized Autonomous Organizations, sustainability involves creating structures and processes that can endure and evolve while maintaining alignment with core purpose. As described in Building DAOs as scalable networks, sustainable DAOs leverage both sub-linear scaling dynamics (for efficiency) and super-linear social network effects (for innovation), creating positive feedback loops similar to those that allow cities to thrive over centuries.
Unlike traditional organizations that often decay and die as their infrastructure becomes rigid, sustainable DAOs design for adaptability, incorporating mechanisms for renewal and regeneration. As noted in Scale and the levers that provide DAOs their power: “Like cities, leveraging Dynamics One & Two, DAO networks can benefit from the same positive feedback loops as they grow. Increasing economies of scale make them powerful, while constant creativity, innovation and responsiveness keep them alive and relevant to a changing world.”
Sustainability in Community Governance
In community and network governance, sustainability focuses on creating decision-making processes that can balance immediate needs with long-term stewardship. This involves developing governance models that distribute power appropriately, create accountability for outcomes, and enable communities to adapt to changing circumstances while maintaining core values.
As explored in Governance for better futures - New and Old, sustainable governance approaches often draw from traditional wisdom and indigenous perspectives that emphasize intergenerational responsibility: “We descend from the earth and that’s who we have to give back to because it will sustain us for the rest of our lives and future generations.” These approaches prioritize relationships with place and community, seeing sustainability not as an abstract goal but as a lived practice of reciprocity and care.
Sustainability in Social Impact
In social impact contexts, sustainability focuses on creating lasting positive change through interventions that address root causes rather than symptoms. This includes developing resource models that support ongoing work, building local capacity rather than creating dependency, and ensuring that impacts endure beyond initial funding or attention cycles.
Sustainable approaches to social impact often emphasize cosmolocalism, combining “resilient localized production with access to global knowledge commons and coordination protocols.” This approach builds self-sufficiency at the local level while connecting communities to broader networks of resources and knowledge, creating systems that can endure and evolve over time.
Related Concepts
cosmolocalism: An approach combining local resilience with global knowledge sharing
localism: Organizational philosophy emphasizing local autonomy and place-based solutions
progress: Tracking and demonstrating advancement toward sustainable outcomes
purpose: The guiding reason behind actions or decisions that often includes sustainability dimensions
systems: Organized sets of interconnected elements that must balance various sustainability factors
References and Resources
Building DAOs as scalable networks - Discusses sustainability from an organizational resilience perspective
Scale and the levers that provide DAOs their power - Explores dynamics that enable long-term sustainability
Governance for better futures - New and Old - Connects indigenous wisdom with modern sustainability approaches
Systems are interconnected networks of components that work together through dynamic processes and relationships to achieve specific purposes, creating emergent behaviors and capabilities that transcend the sum of their individual parts.
Systems thinking recognizes that complex challenges cannot be understood or addressed by focusing on isolated elements, but rather require examining the relationships, flows, and feedback loops that connect components within larger wholes. This perspective is particularly valuable in decentralized contexts, where coordination emerges from interactions between autonomous agents rather than top-down control. Understanding systems dynamics helps us design more resilient, adaptive organizations and governance structures that can respond effectively to complexity.
In the web3 and DAO ecosystem, systems design focuses on creating coordination infrastructure that enables self-organization while maintaining alignment with collective purpose. This involves careful attention to incentives, feedback mechanisms, information flows, and governance structures that allow systems to evolve and adapt while preserving core values and functions. The evolution from traditional organizational forms to network-based systems represents a fundamental shift in how we approach coordination at scale.
Uses of “Systems”
Systems in Organizational Design
In organizational contexts, systems represent the formal and informal structures, processes, and relationships that enable coordination toward shared goals. Traditional organizational systems often rely on hierarchical control mechanisms, while decentralized approaches emphasize self-organization through transparent protocols and aligned incentives.
As explored in Building DAOs as scalable networks, effective organizational systems in the web3 context function as “purpose-driven network economies” rather than rigid entities. These systems combine scaling infrastructure (for efficiency) with creative networks (for innovation), creating what the article describes as “DAOs as systems that can influence systems” - capable of addressing complex social and environmental challenges through multi-scale coordination.
Systems in Web3 and DAOs
In the web3 context, systems often take the form of decentralized protocols and governance frameworks that enable coordination without centralized control. DAOs aren’t things… they are flows reframes DAOs as “centerless networks with coordinated flows of resources” rather than traditional organizations, emphasizing their nature as complex adaptive systems.
These decentralized systems harness both technical infrastructure (blockchains, smart contracts, token systems) and social coordination mechanisms to achieve both efficiency and innovation. As described in Scale and the levers that provide DAOs their power, this enables them to function more like cities than companies - capable of simultaneously becoming more efficient through scaling infrastructure while generating increasing innovation through social network effects.
Systems in Social Transformation
In social impact contexts, systems approaches recognize the interconnected nature of complex challenges and seek to address root causes rather than symptoms. This perspective emphasizes understanding and transforming the underlying structures, relationships, and feedback loops that maintain status quo conditions.
As discussed in Governance for better futures - New and Old, addressing challenges like climate change or inequality requires “multi-modal, multi-disciplinary, multi-scale, multi-national approaches that are intelligent, coordinated and responsive to the emergent nature of the systems they are working in.” Web3 technologies offer new possibilities for designing systems that can coordinate this complexity through distributed intelligence and aligned incentives.
Systems Thinking Methodologies
Systems thinking encompasses various methodologies and frameworks for understanding and intervening in complex systems:
Causal loop diagrams: Mapping relationships and feedback loops between system elements
Stock and flow models: Analyzing accumulations and rates of change within systems
Network analysis: Examining patterns of connection and influence between system nodes
Scenario planning: Exploring possible system trajectories under different conditions
Leverage point identification: Finding places where small changes can produce large system effects
These approaches help practitioners identify emergent properties, anticipate unintended consequences, and design more effective interventions that address root causes rather than symptoms.
Related Concepts
networks: Systems often take the form of interconnected networks of agents and resources
governance: The frameworks and processes through which systems are directed and managed
protocols: Standardized rules that enable coordination within decentralized systems
primitives: Fundamental building blocks from which more complex systems are constructed
coordination: The processes through which diverse agents align their actions within systems
emergence: The way complex behaviors and properties arise from simpler system interactions
transformation: Fundamental shifts in how societal systems and structures operate
tags/complexity: The property of systems with many interdependent parts and non-linear behaviors
References and Resources
DAOs - From fractal primitives to network scale.
Scale and the levers that provide DAOs their power
Tasks are specific, coordinated actions or duties assigned to roles or agents within decentralized systems, driving the execution of processes and the achievement of collective goals in both social and technological coordination frameworks.
Teams, especially in the context of Web3 and decentralized work, are self-managing, autonomous groups of individuals who collaborate through distributed networks, making decisions collectively to achieve shared goals.
Systems transformation refers to the fundamental shift in how societal structures and processes operate, driven by decentralized technologies that enable more transparent, equitable, and inclusive solutions for addressing complex social challenges.
Values are core principles and desired characteristics that guide decision-making, system design, and operations, embodying the aspirations and ethical commitments that shape how organizations and networks function and evolve.
Values serve as both normative guidance and practical design considerations in decentralized systems. They represent the fundamental principles that communities commit to upholding while also describing the desired qualities that systems should embody. Unlike rigid rules, values provide flexible orientation points that help navigate trade-offs and resolve conflicts when concrete decisions must be made in complex or ambiguous situations.
In decentralized contexts, values take on particular importance as they often replace traditional command structures by creating alignment around shared priorities and commitments. When explicitly articulated and collectively endorsed, values enable autonomous agents to make consistent decisions without requiring constant oversight or detailed instructions. This makes values essential coordination mechanisms for networks where centralized control is neither possible nor desirable.
Uses of “Values”
Values in DAO Formation and Governance
During the formation phase of DAOs and decentralized organizations, establishing shared values creates a foundation for effective collaboration and decision-making. These values help diverse stakeholders align around common priorities and provide guidance for navigating trade-offs in organizational design, tool selection, and governance processes.
Values in DAO governance often include principles like transparency, decentralization, inclusivity, and accountability. These serve as both aspirational goals and practical design considerations. For example, the value of decentralization might guide decisions about permission structures, while transparency values shape information sharing protocols and documentation practices.
As described in the DAO Primitives Framework, values influence how qualities like autonomy, privacy, and sustainability are operationalized in specific contexts. They help bridge between abstract principles and concrete implementation choices, allowing teams to maintain coherence while adapting to their unique circumstances.
Values in Systems Transformation
In the context of social impact and systems transformation initiatives like Reimagining Power, values play a crucial role in reshaping existing structures and creating more equitable alternatives. Values-driven approaches recognize that technological systems are not neutral but embody specific priorities and power dynamics.
Web3 technologies offer unique opportunities to encode values like equity, privacy, and autonomy directly into system architecture through smart contracts and decentralized governance. This “values-by-design” approach creates more resilient implementation of principles that might otherwise be compromised by market pressures or power imbalances.
For example, privacy values can be encoded through zero-knowledge proof mechanisms, while equity values might be implemented through transparent resource allocation protocols or quadratic funding mechanisms. This technical implementation of values creates systems that structurally reinforce desired characteristics rather than merely aspiring to them.
Values at Different Scales and Scopes
Values operate at multiple scales within decentralized systems, from individual contributors to working groups to entire networks. Different contexts may prioritize different values based on their specific needs and challenges:
Individual level: Personal values guide contributor actions and decisions
Team level: Shared values enable coordination within working groups or cells
Network level: Core values create coherence across the broader ecosystem
Inter-network level: Aligned values facilitate cooperation between different DAOs and communities
This multi-scale approach recognizes that while certain foundational values may be universal, their practical application and relative priority can vary based on context. Teams working on privacy-sensitive applications may emphasize confidentiality values, while public-facing initiatives might prioritize transparency and accessibility.
Common Values in Decentralized Systems
While each community develops its own unique value set, several core values frequently appear in decentralized systems:
Autonomy: Enabling self-determination at individual and group levels
Transparency: Making processes, decisions, and information openly accessible
Decentralization: Distributing power, control, and resources rather than concentrating them
Privacy: Protecting sensitive information and enabling confidential participation
Sustainability: Creating systems that can maintain themselves over time without extraction
Inclusivity: Enabling diverse participation regardless of background or resources
Adaptability: Building systems that can evolve in response to changing conditions
These values often manifest as qualities that systems embody to varying degrees. For example, the value of privacy might be expressed through technical qualities like data minimization, selective disclosure, or zero-knowledge mechanisms.
Related Concepts
Purpose: Values align with and support the broader purpose of an organization or network
Culture: The lived expression of values through behaviors, norms, and practices
Agreements: Formal or informal understandings about how values will be upheld
Governance: Systems and processes for making decisions aligned with collective values
References and Resources
DAO Primitives Framework: Explores how values inform the design of decentralized organizations
Reimagining Power: Examines how values can be encoded into technical systems for social transformation
Building DAOs as scalable networks: Discusses values alignment across different governance scales