A Bitcoin developer unveiled the world’s first fully anonymous decentralized autonomous organization (DAO), whose operations can’t be traced on-chain.
Amir Taaki, a renowned Bitcoin Developer, revealed the-first-of-its-kind fully anonymous decentralized autonomous organization, built in collaboration with DarkFi, a provider of anonymous tools for online organizations. He emphasized that the DAO’s functionality aims to help its members maintain complete privacy – cryptocoinbox.com.
Taaki said that the DAO’s mechanisms make it possible to hide:
- payment amounts by linking them to each other;
- information about members and the amount of tokens they own;
- initiators of proposals;
- the number of votes for a proposal;
- any information about the treasury.
The developer emphasized that all DAO operations on the network look like random data, so identifying and linking them to any organization won’t work. According to Taaki, the DAO’s completely anonymous governance structure will avoid the uneven distribution of governance tokens, which often leads to the concentration of power of a few large holders.
The high level of anonymity, he argued, is necessary to protect the freedom of Web3 users and to combat repressive regimes. Taaki also noted that DAOs were originally conceived as the future of online organizations, but their development stalled.
The crypto community responded to the developer’s initiative differently. Some crypto enthusiasts called the idea of creating completely anonymous DAOs one of the classic cypherpunk theories, emphasizing its impracticality. However, even they agreed that this approach would allow decentralized autonomous organizations to reach a new level of development.
Read about what DAOs are in CP Media’s piece. To learn more about the role of such organizations in the financial world, read this op-ed.