Decentralized autonomous organizations (DAOs) are envisaged as autonomous entities that operate on the blockchain in a completely automated, transparent, and publicly-managed way.
These entities can also be referred to as DACs. The relationships among investors, owners, employees, and other stakeholders, as well as the assets and resources of such enterprises, are managed by smart contracts on the blockchain, rather than by legal contracts and organizational bylaws.
Imagine a set of smart contracts that cooperate to manage an organization according to its mission statement and a set of logical rules. They can autonomously execute a business strategy according to plan. They can buy resources or services, hire people or machines for jobs, pay suppliers, partners, and employees, run marketing activities, logistics, distribution, sales, and so...
