A recent study by Complexity Science Hub found that insiders and developers of many Decentralized Autonomous Organizations, or DAOs, have the power to pull the strings and influence major decisions. While the crypto revolution originally aimed to democratize finance, this international study discovered that those on the inside could be using their influence for their own gain. In 8% of DAOs studied, insiders held enough voting power to control all decisions. In 15% of proposals observed, changes in voting power occurred days before an important vote. “In our study, we found signs of ‘inner circles’ forming in many DAOs,” Stegan Kitzler said. “As contributors tend to be centrally positioned within the DAO governance ecosystem and often hold disproportionately high influence.” (Study Finds)
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