Built on the blockchain

The Internet is going through a transformation, a true revolution enabled by a single piece of technology — blockchain. Blockchain means distributed ownership. Its records are immutable, irrevocable, and cryptographically signed. By nature, it eliminates the potential for any single entity to curate, moderate, prioritize, or filter the data in a blockchain.

Through transparent interactions and verifiable data, blockchain technology creates a system of trustless coordination eliminating the need for a central authority.

What is a DAO

A decentralized autonomous organization (DAO) is an organizational structure that is egalatarian and has no central authority figure. Its members share a common goal and strives to achieve it as a group. This is similar to how some creative collectives and companies work, known as "flat" organizations. DAOs are enabled by blockchain technology, which provides immutable, transparent decision-making mechanisms for its members.

One thing people love about cryptocurrencies is that they are decentralized. What this means is that no single entity can control them, and instead they are divided among nodes across the network. Most of the time, this decentralized aspect produces better control over one's own data, security, and a level of transparency that far outweights that of the conventional financial system.

Y-Foundry

As a true DAO, YFD relies heavily on smart contracts. What this means is that these logically coded agreements dictate the decision-making process according to the blockchain technology. An example would be: implementing certain changes through code, based on the outcome of a collective decision.

The entire voting process and history of YFD is posted on the blockchain. This creates an immutable archive of all past voting decisions and outcomes, allowing it to be fully auditable and transparent. Voters can choose to approve or disapprove proposals, and whether to punish the proposer for malicious actions. The amount of votes each voter gets is based on a points system, determined by the amount of tokens and a block-based lock multiplier.

An oversimplified way of looking at it is:

# of tokens * blocks locked = your approximate voting power.

YFD chose this practice based on the principle that users who are more invested in the DAO are more incentivized to act in good faith. The block-based lock multiplier acts as both a tool to incentivize long term engagement of community members, while dissuading malicious actors.

The core blockchain tenets of transparency, immutability, and decentralization are all fundamental to the operation of Y-Foundry DAO.

YFD Model

Using this approach, the following benefits arise:

• Decentralization

Decisions impacting the DAO are made by a group of individuals and not by a central authority. Instead having one individual, or small group of people, in charge, YFD can decentralize authority across a large range of users.

• Participation

YFD believes in having community members feel empowered and connected to what YFD stands for and having a direct say and voting power on all decisions that matter. While a single user may not have strong voting power, but the entire community can influence decisions like token burns and development direction based on thorough discussions.

• Transparency

Having votes cast on the blockchain means they are viewable by the entire public. Not only does this help grow user trust, users are incentivized to act towards the best interest of the community, as their decisions become publicly viewable. This also helps voters build a reputation and lowers mischievous actions.

• Community

YFD encourages users from all over the world to unite and build a single vision. Requirements are simple: an Internet connection and some tokens. The road is clear to interact with other like-minded people.