Just like you need different apps on your phone for performing different functions efficiently, similarly DAOs require certain tools for enhancing the performance of their tasks, and helping them to grow.
βDecentralized Autonomous Organization Tools (DAO)β defined
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A set of algorithmic tools in the form of software, apps, and smart contracts that aid in the functioning and management of DAOs.
Types of DAO Tools π
If you are reading this article, you must already be familiar with the concept of βDecentralized Autonomous Organization (DAO)β. DAOs are characterized by the lack of a traditional company-like hierarchy and its members participate in all its processes together.
However, just as any company or organization may require certain aid and tools for its efficient functioning, so does DAO. It is in this context that a number of DAO tools come into play, that have been designed keeping in mind the kind of processes and functions performed by these organizations and to improve and smoothen the same. π
In other words, the DAO tooling ecosystem comes with a set of products, applications, software, etc. that ensure their level working. π¨πΌβπ» These tools can be broadly divided into two major categories and sub-divided further. β¬
Off-chain DAO tools
Off chain DAO tools refer to those based outside a blockchain. Many DAOs in their nascent stage use tools like Discord, Twitter, Telegram, etc. π±
Discord is one of the go-to spaces for DAOs, mostly in their early stages. One of the features that makes Discord a preferable space for DAOs is token gating, and its bots and plug-ins attract the tech-savvys out there. π€
Twitter too is one of the spaces used as a DAO tool. It focuses mostly on community-building and making DAO-related announcements. One can get access to a lot of information regarding web3, NFTs, DAOs, etc.
Telegram is another off-chain DAO tool. It is used by DAO members for communication and for polls.
On-chain DAO tools
These are just the opposite of off-chain DAO tools in the sense that they are based on and function on different blockchains, be it Solana, Ethereum, etc. There are several categories of on-chain DAO tools as explained below. β¬
Governance tools π¨πΌβπ»
DAOs are characterized by transparency with regard to its governance that involves participation of all its members (subject to the work culture of respective DAOs). Here, members get access to voting on different issues and give their opinions regarding certain actions. π
These things cannot be done through secret ballot or something, right? This brings into action the governance tools like Squads, which facilitates the management of assets in a democratic manner. With this, users can securely manage their treasury, program upgrades, and tokens. ππΌββοΈ An interesting feature of this tool is its requirement for authorization of all members for any transaction. πΈ It also weighs votes of members as per their role and responsibilities within that DAO.

Another governance tool is Tribeca that enables the creation, management, and interaction with DAOs on Solana. It is an open-source governance tool built and run by leading members of Solana protocol.

Treasury management tools π°
Management and disbursement of funds is very significant for any company or organization, including DAOs. π©π»βπ« Members handling different levels of responsibilities or working for different communities within a DAO may be getting differing pay or disbursements.
It is also important for a DAO to pay attention to the transparency associated with fiscal transactions. To make this process easier, there are some βtreasury-management toolsβ for DAOs.
One such example is Gnosis Safe, a tool that allows the creation of multi-signature wallets because of which more than one member can take up the responsibility of confirming any transaction. π€πΌThis tool is mainly associated with the Ethereum blockchain.


Another good example is Liquifi that aids in managing token distributions, compliance, and tracking vesting schedules.

Crowdfunding tools π¨πΏβπ€βπ¨πΏ
DAOs have become the new favorite spaces for crowdfunding with the help of both fungible and Non-fungible tokens (NFTs). One of the most popular examples of this practice is an attempt (a failed one) by ConstitutionDAO to raise ETH funds in order to acquire an original copy of the US Constitution. π
Mirror DAO is one such aid that lets users create publications on a blockchain and use it for various purposes, including crowdfunding. This facility has turned Mirror into a primary platform for crowdfunding. π΄

Onboarding tools π©πΌβπΌ
Onboarding effective contributors to any DAO is a crucial task because it contributes significantly to the way that a DAO develops and takes shape. Recruiters need to be on the lookout for some reliable and βhigh-qualityβ talent for success. Guess what? We got some tools for this task too. π
DaoLens is one such tool that might make this process easier for existing members of any organization. After helping you in laying down all the information required about your DAO- to help aspiring members learn about the DAO and its functioning, it helps in assigning different available roles to users, configuring interviews, etc. π©π»βπ«
It also helps in keeping a record of every memberβs contribution, creating automatic introductions, easy verifications, and so on. π
DAO tooling on Ethereum vs. Solana
Both Ethereum and Solana are some of the leading names in the web3 world. For instance, many of the tokens used are built on Ethereum itself. So why not familiarize yourselves with some of the DAO tools used within the realm of Ethereum and Solana? π§
Ethereum
Tally
One of the well-known governance tools for Ethereum DAOs includes βTallyβ. It is characterized by a customizable payout system, facilitation of voting, ability to recognize usernames. These features enable the growth of DAOs through establishment of better connections amongst members. π₯

Snapshot
Snapshot is a tool used by DAOs to improve the quality of their voting and proposal processes. π An interesting feature is that the votes are cast off-blockchain but the verification is done on blockchains.
Crew3
Crew3 is an onboarding tool used to recruit members in a DAO and also helps in tracking the contributions and activities of members in order for them to be rewarded according to their work and performance. π¨πΌβπ»

Solana
Realms
Realms is a tool that allows the creation and management of DAOs. π It also facilitates the members in keeping an eye on protocol changes, management of funds and programs, ,to vote on various proposals, and lets the public watch all of this unfold.
Streamflow
Streamflow is designed for making payments to members in a hassle-free manner. It makes batch payments, maintaining financial records, etc. easier and efficient.

Why DAO tooling? π
DAO tooling is, in simple words, required to run the DAOs. π With the increasing popularity and number of participants of DAOs, they may be a chance of their considerable success in the near future. π
But DAOs as a concept are still taking baby (ish) steps and for their smooth functioning at this point which will contribute to their growth, they might require aiding tools for the performance of their functions. Whatever be their goal- building products, investing, dealing with NFTs- all DAOs face their own challenges.
As DAOs go on expanding both their size and functions, these tools help in efficiently organizing and performing the related jobs for the members.
For ensuring their cohesion, efficiency, and achievement of their goals, DAO tools have been built to take care of different aspects of management and resilience of communities within DAOs. π¨πΏβπ€βπ¨πΏ
Almost there!
Just like any traditional company requires various departments, specialists, software, banks, etc. to ensure its proper functioning, similarly DAOs require various kinds of tools and protocol for the same purpose.
With this we can now move on to our next topic- Starting your own DAO!