DAO Platform Development | An Exhaustive Explainer

Published : Jan 21, 2023

DAO Platform development

  • Decentralized Autonomous Organizations (DAOs) have been gaining a lot of attention in recent years as a new way to manage and govern decentralized communities and projects. A DAO platform is a digital organization that is run by code, rather than by traditional management structures. This makes them highly efficient, transparent, and resistant to censorship or manipulation.

    Creating a DAO platform using blockchain development services can be a challenging task, but it can also be a highly rewarding one. In this blog post, we will walk through the key steps and considerations that go into developing a DAO platform.

    Why Venture into a Decentralized Autonomous Organization (DAO) Platform Development

    Decentralized Control

    One of the main advantages of DAO platform development is that it enables a project or a business to operate through a set of rules encoded on a blockchain, rather than being controlled by a central authority. This allows for a more democratic decision-making process and reduces the risk of corruption or manipulation.


    DAOs are built on a blockchain, which is an immutable and transparent ledger. This means that all transactions and activities within a DAO are recorded and can be viewed by anyone. This increases transparency and accountability, which can foster trust among members and stakeholders.


    DAOs use smart contracts, which are self-executing contracts with the terms of the agreement written directly into code. This allows for the automation of certain processes and the removal of intermediaries, making the organization more efficient.


    DAOs can be customized to suit the specific needs of the organization. This includes the ability to create custom tokens and set different levels of access for different members.


    DAOs can operate without the need for intermediaries or middlemen, which can help to reduce costs. Additionally, since they operate on a blockchain, they can also benefit from the security and immutability provided by the blockchain network.

    Continuous improvement

    With the help of governance tokens, holders of the tokens have the power to vote on decisions and proposals to improve the DAO, this allows for continuous improvement and adaptability.

    Also, Read | Deciphering DAOs | Benefits, Elements, and a Pre-Built Solution

    Components of a Decentralized Autonomous Organization (DAO) platform

    Smart Contracts

    The backbone of a DAO, smart contracts are self-executing contracts stored on the blockchain. They contain the rules and logic that govern the operations of the DAO.


    DAOs use tokens as a means of representation of membership, voting rights, and value exchange.


    The blockchain is the decentralized ledger that records all of the transactions and decisions made within the DAO. It ensures the transparency and immutability of the organization's operations.

    Governance Model

    The governance model defines how members of the DAO can propose, vote on, and implement changes to the organization.

    User Interface

    A user interface (UI) allows members to interact with the DAO, such as proposing and voting on proposals, managing their tokens, and viewing the organization's history.

    Also, Read | Developing DAO-enabled NFT Marketplace


    Oracles are external data feeds that provide external information to smart contracts, such as the price of an asset or the outcome of an event.


    Proposals suggested changes to the DAO, such as changes to the governance model, the allocation of funds, or the addition of new members.


    Members of the DAO use their tokens to vote on proposals, which determine the outcome of the proposal.

    Token Distribution

    It refers to the initial token distribution mechanism of the DAO, whether through ICO, mining, or other means.

    Token Economics

    It is the economic model of the token, including the total supply, inflation rate, and token burn mechanisms.

    Also, Read | Exploring the Combination of DAO and the Metaverse

    Steps to Develop a DAO platform 

    Define the Purpose and Functionality of the DAO

    The first step in developing a DAO platform is to define the purpose and functionality of the organization. This includes determining the goals and objectives of the DAO, as well as the specific features and functionality needed to achieve those goals. For example, will the DAO focus on decentralized decision-making, or will it have a specific use case such as decentralized finance (DeFi)?

    Choose a Blockchain Platform

    Once you have defined the purpose and functionality of the DAO, the next step is to choose a platform on which to build the organization. There are several popular platforms for developing DAOs, including Ethereum, EOS, and TRON. Each platform has its own strengths and weaknesses, so it's important to choose the one that best suits the needs of the DAO.

    Design the Smart Contracts

    The heart of a DAO is its smart contract, which is a piece of code that runs on the blockchain and defines the rules and functionality of the organization. You will need to use smart contract development services for the DAO and ensure that it is secure and reliable. This includes defining the rules for how the DAO operates, such as the process for decision-making and fund management.

    Test and Deploy the DAO

    Once developers have designed the smart contract, it's important to thoroughly test it before deploying it to the blockchain. This includes running various test scenarios to ensure that the contract is functioning as expected and that there are no bugs or vulnerabilities. Once developers have thoroughly tested the DAO, they can deploy it to the chosen blockchain platform.

    Maintain and Monitor the DAO

    A DAO is an ongoing project and it will require maintenance and monitoring to ensure it is running smoothly. This includes keeping the smart contract up to date with the latest security patches, monitoring the performance of the DAO, and addressing any issues that arise.

    Also, Read | DAO (Decentralized Autonomous Organization) Development


    In conclusion, creating a DAO platform can be a challenging task, but it can also be a highly rewarding one. By following these key steps and considerations, developers can create a reliable, secure, and efficient DAO platform, which can manage and govern decentralized communities and projects. Also, at Oodles, we have built a prefabricated architecture of smart contract solutions, including a DAO platform (Governance token). It can be launched within a few weeks in the market with minimal customization. It's an exciting time for the development of DAOs, and the future potential of these organizations is limitless. If you have an interesting business idea and want to get started with DAO development, connect with our skilled blockchain developers for more information. 

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