The Future of Health is in DAO

DAO is the substrate of wealth, wellness and wellbeing of sustainable one health community.

The decentralized autonomous organization (DAO)is an internet native organization that comes with intrinsic tentacular ability to reach and engage??full-scale diverse members of the global population. The DAO gracefully and elegantly absorbs into itself traditional fringe stakeholders of health, bringing them to the position of saliency. Inclusion of fringe stakeholders of health, to the center of saliency of health production will make global health achievable.

Paradigm Shift in Organization Science

In the DAO Summit of 2022, Joe Monegro AND DAN MARIO of Placeholder Capital explained that the DAO is a fundamental paradigm shift of organization science. ??Until the DAO came along, the organization was a stack of paper contracts. DAO translocate the conceptual framework of the organization from paper contracts to digital contracts. The organization is thus reframed. Now here is the great surprise. While billions of people do not have access to paper contracts, they have access to cell phones. This phenomenon has produced much cognitive dissonance among many elites who wonder how paper-contract illiterate people are able to operate in the digital-sphere.?I encounter this question all the time. How will people in African villages manage to operate in a nonphysical cash economy, also called cashless economy? A late question coming more than a decade and a half of widespread use of MPesa in East Africa.

MPesa

In Kenya for example millions of people traditionally classified as illiterate, that they can not read and write in the traditional economy of paper, have cell phones with which they communicate with one another. Access to cell phones in Kenya, trans mutated the paper economy into a digital economy in mid-2000, with emergence of MPesa, Swahili acronym of mobile money—instead of physical currency in bank notes and coins, Kenya Shilling became digital. I digress, but you get the drift, MPesa is just a sneak preview of what will happen when we replace paper contract with digital contract.

Communication is Spiritual

Unlike paper, the digital contract comes with inherent trigger mechanism for self-directed learning. People spontaneously want to learn how to use the cell phone to communicate with one another, because communication is a basic spiritual need for human beings. Abraham Maslow overlooked spiritual need when he developed the hierarchy of human needs in 1949. We need to communicate with one another as we need oxygen. In this way communication is life. Money is a fundamental mode of communication of value, as it is the base substrate of social contract, that helps to settle even more proximal exchanges of peer-to-peer transactions than the exchanges between the governors and the governed, or the rulers and the ruled.

Substrate of Wealth, Wellness and Wellbeing

While communication of money is the base of the social contract, Susan Nyambura Njuguna, June Wahito Wachira and the research team in Ubrica Research in 2018found that inclusive human participation in the contract creates communities of self-reliant individuals who have wealth, wellness and wellbeing. This revelation indicated The supremacy of a mechanism that??trans mutates entire spectrum of human organization contracts into digital format. This was an idea??whose time had come as it aligns with the concept of the DAOs as the substrate of wealth, wellness and wellbeing.

Cement

The contract is the cement that holds different people in a relationship together to establish and run an organization. Contracts that bind people together are also known as covenants. Spiritual covenants are contracts between a holy people and their divine.

Lifelong Metamorphosis

For thousands of years, human to human and human to society contracts in the physical dimension of life have been in physical format ranging from stone tablets like the Code of Hammurabi written in 1750 BC. Commandments were etched on tablets of stone, even before Hammurabi could etch the lengthy set of rules.?From stone written format, the contract has transformed progressing through contracts on scroll to the paper-based contracts, and now to digital smart contracts. A metamorphosis of the same thing to different medium.

Inaccessible

The stone tablet contracts were only accessible to those who would physically visit the place where the tablets were located. ?A person had to make a trip to the location with the tablets, to read the rules. Needless to say, this system was accessible to only a small group of individuals with mobility privileges.?Similarly, Scroll contracts were only accessible to those who could get into the inner court of the leaders.?Access to the rules came by grapevine so to speak, the word of mouth, with all its inherent complications of altering the original message.

Accessibility Sprout

Paper changed all that. Gutenberg changed who could access contracts when he invented the printing press in 1420 AD. Printed works became available on paper format, and could be distributed to wider sets of users, somewhat democratizing accessibility to contracts. Such contracts however were not accessible to everyone, but only to the?elite who could read and write, inadvertently creating a plutocratic world, where a few made choices for the many. A small group of elites could create and enforce contracts on everyone else. Democracy of contracts was not achieved. We have relied on paper to distribute contracts ever since that time. Organizations built on paper contracts have a handful of salient elite stakeholders, governing over masses of fringe stakeholders, to use Stuart Hart’s terms in Capitalism at the Crossroads, published in 2005. ?

Lethal Resistance

Digital contract, invented by Nick Zambo in 1994 is the smart contract of the age.?The paper contract is in the throes of a metamorphosis to smart contract. Similar to the metamorphosis of the scroll to distributable paper made possible by Gutenberg’s invention in 1400s, which faced lethal resistance. Transformation to smart contract ??is not without severe opposition by the incumbent world of paper contracts.?The Severity of resistance to smart contract, however, pales in comparison to severity of resistance to Gutenberg’s printing press which caused to people being burned alive if found distributing their printed works. Resistance to smart contract is nothing of that order. Nobody is being burned alive today for distributing smart contracts. However, a full-blooded resistance against the smart contract by incumbent paper contract entrenched world is afoot. What is very difficult for certain people to comprehend, evoking deep anxiety is the question of what will happen when digital contract replaces paper contract.

Great Transition

The organizations that we are used to are built on paper contracts. DAOs do away with paper contracts written in human legible sentences and executed by lawyers. ?DAOs are built on digital smart contracts written in code and executed by algorithm. Traditional companies are a stuck of different contracts, ranging from the formation contract, through suppliers and vendors contracts, human relations contracts for employees, contracts, buyers contracts, and many more contracts as needed by the structure of the organization.?Nation states are entities organized by paper contracts, in a similar manner.

New Architecture

Blockchain smart contract enable us to create agreements written in code. It is then natural to expect new organizations to be built on smart contracts. That is what DAOS ARE. This new architecture tremendously lowers the const of creation of organization. It opens design space for a new type of organization That is impossible to create with paper contracts.

With this technology. Creating an organization with ability to engage millions of stakeholders who were traditionally in the fringes of organizations to enter into the position of saliency has become possible.?Getting fringe stakeholders to the?position of saliency in global health organization structure is the solution to the global health Metacrisis, as I explained in Emergencing: Discovering the Tacit Dimension of Global Health, published in 2010. which was not possible to do with paper Contract.

DAO Infrastructure

The good news is that software engineers are hard at work developing Tools that are making it easier and easier to create and run DAOs. The emergence of new tools is inexorable. New tools are sprouting almost every day in the cyberspace. ?The emerging tools for DAO management are now easily and freely available for anyone striving to create a DAO, thanks to the Open-Source spirit, under an open license, the General Public License.

Nifty Tools

At the operation level in an organization, departmentation becomes important. People are creating tools to manage department functions such as accounting, legal, human resources, marketing and so on.??Controllers in the DAO have tools that deal with voting. Treasury has tools that help manage DAO funds. human capital managing tools help manage work processes among diversely dispersed people living in many different countries in the world, but working together in close collaboration, to manage whatever the DAO does for work. Aggregator tools are platforms and user interfaces that aggregates activities from various DAOs making it possible for diverse people living in different places in the world to participate in many different DAOs ??creating a webbed network of partner DAOs.

Phenomenal Market Representation

Representation in the market is the mechanism for converting De Soto’s citadels of dead capital to citadels of fortune, as I explained in Soul Bound Tokens Permit Sustainable One Health, published in Wyathi.?DAOs either hold their own tokens which they represent in the market, or together with other tokens such as Ethereum, Bitcoin, Ubricoin, or any other token. Such tokens are distributed widely in airdrops to reach anyone who has a cell phone. Billions of unbanked people, traditionally excluded from the market gain direct access to the market with their tokens. In this respect, DAOs manage stakeholders that are far greater in number than any traditional company would ever manage. DAOs power to reach the traditionally unreached by the paper contract organization is phenomenal. A DAO scales to tens of thousands, and even to millions of members located in many countries in the world. ?DAO is borderless.?In the history of mankind, no company ever secured this many salient stakeholders living in very many different parts of the world., so DAOs are very easy to scale at very low cost. ?Interestingly, the cost to manage all those stakeholders does not increase??in tandem with the scale of stakeholder engagement.

DAOs are organization innovation centered on four pillars:

1.?????Improved access to digital services. In a way that is censorship resistant that is related to cryptography and decentralization. In Kenya for example, Statistica Reported that 114.20 of every 100 persons in 2000 had a registered mobile phone, meaning that each family has access to at least one cell phone, some have more than one.

2.?????Programmability as it relates to software development and software-based automation. Software engineers in developing countries in Africa are now deeply engaged in reprogramming the available open-source DAO software available on GitHub.

3.?????Composability as it relates to interoperability making it possible for a network to collaborate with other networks.

4.?????Governance as it relates to the concept of DAOs

governance.

Governance is a process of applying design features or control mechanisms, in a relatively permanent way, to maintain and steer a system. These forms of automatic mechanisms do not require active human interventions to complete a task. ?In addition to software-based automated tasks, other tasks of governance needing active human interventions in DAOs include:

1.?????Documents development and resource fetching, in the prelaunch phase spear headed by the founders of the DAO or the core team who provide leadership of the DAO. Depending on the organization, there is a formal or informal way of submitting proposals. If there is a token, token holders vote for these proposals. digital signature from each individual in the initial small group of people is required before a proposal is executed. Technical councils may be elected by token holders, or appointed by the core team to provide ideas that others replicate or follow.

2.?????A process for handling proposals is useful. For example, people can use their token to vote for proposals.

3.?????A technical committee or ad hoc council is voted in by token holders, or appointed by the core team.

Challenges

Challenges that are usual whenever humans get together to do anything arise in DAOs just as well. The greatest challenge, like in all human organizations is that of balancing interest among a diverse set of stakeholders. Delegation helps in certain ways to redress stakeholders representation imbalance. ?and the vision of the organization.

Sustainability of the DAO

Not only has the DAO is to be able to solicit funding in the long term, it has to have a revenue model around the service that it is providing to the society to ensure financial stability and sustainability. DAOs lend themselves to a high degree of specialization, more strict division of labor, as Adam Smith recommended in his seminal work on the Inquiry of Wealth of Nations, published in 1776. ?Specialization, with different teams of participants dealing with treasury, management, grant allocation, and the like, streamlines collective decision making, minding the vision of the DAO. Collaborating teamwork ushers accountability in different roles,

DAO Treasury Management

Kinjo Cha, Derek Xu, Matthew Gram, Explained why treasury management is important. The size of the treasury of the Dao is a testimony to the tenacity of the DAO founders in fetching capital. Treasury size is a good indicator of how much capital is available for allocation. Now that you have created a DAO with product fit, and generating revenue, it is important??use judiciously the DAO balance sheet to fund the core ecosystem.

To manage treasury well is to make sure of enough operating capital to invest in products development., and the road map. ?Be sure of the alignment with all token holders, and create a way to elongate the life of the DAO. Only govern over things that are worthwhile governing over. No need to govern over things that are not valuable. This means governing over assets. Is the fundamental question. Treasury is a tool that helps you to allocate capital to worthy projects.

Retain the Best People

The best practice for managing treasury is to always remember the goals of the Dao at all times. This starts by finding the best people, and incentivizing them to deliver great work. Make sure that the protocol has the capability to do that. ?Do whatever possible to retain the best people working regardless of the market condition. ?A DAO with great people will most certainly achieve its goals. As Jim Collins wrote in Good to Great: Why Some Companies Make the Leap and Others Don’t, published in 2001 get the right people on the bus, put them on the right seats, get wrong people off the bus, and let them work on how to take the bus to great places.

To conclude, DAO is a magnificent mechanism for engaging fringe stakeholders to work together to produce wealth, wellness and wellbeing, essential to global health.

I invite you to join me in this revolutionary march to the frontier of health production by creating sustainable one health communities. Thank you!