Introduction to the DAO - Revision history

Pazza: /* Earn and distribute revenue */

2024-08-25T16:11:28Z

Earn and distribute revenue

Plebeian9000: /* Learn more */

2021-04-29T00:04:38Z

Learn more

Plebeian9000 at 20:16, 27 April 2021

2021-04-27T20:16:01Z

Plebeian9000: transclude bsq token intro

2021-04-06T20:42:00Z

transclude bsq token intro

Bayer: /* BSQ Token */

2020-09-18T15:46:45Z

BSQ Token

Bayer: /* Earn and distribute revenue */

2020-09-18T15:46:13Z

Earn and distribute revenue

Bayer: /* Earn and distribute revenue */

2020-09-18T15:45:49Z

Earn and distribute revenue

Bayer: /* The Bisq DAO */

2020-09-12T20:15:42Z

The Bisq DAO

Bayer at 20:04, 12 September 2020

2020-09-12T20:04:04Z

Bayer: /* Learn more */

2020-09-12T16:50:34Z

Learn more

@@ Line 62: / Line 62: @@
 In the past, before the Bisq DAO launch and before the integration of Bisq’s new trade protocol, trading fees were only collected in BTC and only went to arbitrators. There was no mechanism to distribute them to other contributors. The DAO solves this distribution problem with BSQ through the process outlined above.</br></br>
 But since traders can still pay trading fees with BTC, where do those BTC fees go?</br></br>
-BTC fees go to a [https://github.com/bisq-network/roles/issues/80 bitcoin "donation" address] held by a bonded contributor, who uses the BTC to buy BSQ on a regular basis to distribute the BTC fees to stakeholders, and the BSQ obtained is [https://github.com/bisq-network/proposals/issues/55 burned].}}
+BTC fees go to the [[Burning Men]], contributors that burn BSQ to get the chance to receive platform fees.
 === Determine strategy ===

← Older revision		Revision as of 00:04, 29 April 2021
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	== Learn more ==		== Learn more ==

−	For more information on how you can use the DAO to trade/contributor, how it works, ~~it's~~ technical foundations, etc. please see the [[Decentralized_autonomous_organization\|~~Decentralized Autonomous Organization~~]] ~~page~~.	+	For more information on how you can use the DAO to trade/contributor, how it works, its technical foundations, etc. please see the [[Decentralized_autonomous_organization\|this page]].

← Older revision		Revision as of 20:16, 27 April 2021
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		+	The Bisq network is governed by a '''decentralized autonomous organization (DAO)''' built on the Bitcoin blockchain.
		+
	== Introduction ==		== Introduction ==

@@ Line 21: / Line 21: @@
 === BSQ token ===
-A BSQ token is a '''[https://en.bitcoin.it/wiki/Colored_Coins colored coin]''' on the Bitcoin blockchain. More plainly, a BSQ token is merely a few satoshis with some additional properties that identify it as BSQ in Bisq software. Outside Bisq, a BSQ token just looks like a few satoshis. But on Bisq, the additional properties have the following results:</br></br>
+{{BSQ_Token_Intro}}
 === Overview ===

@@ Line 19: / Line 19: @@
 [https://www.youtube.com/watch?v=pNvOZlIDYEQ&feature=emb_logo Click here for a quick introductory video on the what & why of the Bisq DAO]
-=== BSQ Token ===
+=== BSQ token ===
 A BSQ token is a '''[https://en.bitcoin.it/wiki/Colored_Coins colored coin]''' on the Bitcoin blockchain. More plainly, a BSQ token is merely a few satoshis with some additional properties that identify it as BSQ in Bisq software. Outside Bisq, a BSQ token just looks like a few satoshis. But on Bisq, the additional properties have the following results:</br></br>

@@ Line 61: / Line 61: @@
 In the Bisq DAO, trading fees are collected from traders and distributed to contributors, but there is no central authority to do this. Here’s how it works: after a Bisq contributor does work, they file a '''compensation request''' in the DAO with a description of what they did and how much BSQ they want in return. Then, stakeholders (who are other contributors, traders, and anyone else with BSQ) vote for/against the request. If the request is approved, the contributor is issued new BSQ in the amount they requested and '''BSQ supply is increased'''.
-{{Admonition_Note|<big>Where does new BSQ actually come from?</big>'''Bold text'''</br> Recall that a BSQ token is merely colored bitcoin. When a contributor makes their compensation request in the DAO, they must also include the tiny amount of bitcoin to be '''colored''' as BSQ (the [[DAO_technical_overview|spec]] requires 100 satoshis). So if a contributor requests 1,000 BSQ, they will need to include (100 * 1,000 equals 100,000 satoshis) with their compensation request, just about 10 USD at a rate of (10,000 USD/BTC).</br></br>If their request is approved, those satoshis are '''colored''' and recognized as 1,000 valid BSQ tokens on Bisq. Assuming a BSQ market value of 1 USD (exact value will fluctuate), the contributor will have been granted 1,000 USD worth of BSQ for a negligible cost of 10 USD.}}
+{{Admonition_Note|'''<big>Where does new BSQ actually come from?</big>'''</br> Recall that a BSQ token is merely colored bitcoin. When a contributor makes their compensation request in the DAO, they must also include the tiny amount of bitcoin to be '''colored''' as BSQ (the [[DAO_technical_overview|spec]] requires 100 satoshis). So if a contributor requests 1,000 BSQ, they will need to include (100 * 1,000 equals 100,000 satoshis) with their compensation request, just about 10 USD at a rate of (10,000 USD/BTC).</br></br>If their request is approved, those satoshis are '''colored''' and recognized as 1,000 valid BSQ tokens on Bisq. Assuming a BSQ market value of 1 USD (exact value will fluctuate), the contributor will have been granted 1,000 USD worth of BSQ for a negligible cost of 10 USD.}}
 '''Traders consume, burning BSQ'''

← Older revision		Revision as of 20:15, 12 September 2020
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	It achieves this by introducing a unit of value called the '''BSQ token''' that enables Bisq stakeholders—contributors, traders, or anyone who owns BSQ—to make subjective value judgments. This token underlies all actions in the DAO.		It achieves this by introducing a unit of value called the '''BSQ token''' that enables Bisq stakeholders—contributors, traders, or anyone who owns BSQ—to make subjective value judgments. This token underlies all actions in the DAO.
		+
		+	[https://www.youtube.com/watch?v=pNvOZlIDYEQ&feature=emb_logo Click here for a quick introductory video on the what & why of the Bisq DAO]

	=== BSQ Token ===		=== BSQ Token ===

← Older revision		Revision as of 20:04, 12 September 2020
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−	The Bisq exchange network is organized as a '''decentralized autonomous organization''' (DAO). The Bisq DAO's purpose is to make the Bisq's governance model as decentralized and censorship-resistant as the Bisq network itself.	+	== Introduction ==
−
−	The Bisq founders realized that decentralized software—no matter how technically robust—is no good if it’s still controlled by a single entity. All the software’s technical strength would be worthless if the whole project could be ruined by attacking the single entity that runs it.
−
−	Thus the need for decentralizing the resources in charge of running Bisq itself. These resources cannot be organized in the form of a company, a nonprofit, or any other traditional organization because a single entity would be a single point of failure. But what to do? How can a project do anything useful without becoming an organization with some kind of structure? How can strategy be determined? How can resources be allocated? How can work get done? How can revenue be earned, and how can it be distributed?
−
−	~~The Bisq project needed infrastructure to provide these functions, and the Bisq DAO is its solution.~~
−
−	~~You can see a video version of this introductory article in [https://www.youtube.com/playlist?list~~=~~PLFH5SztL5cYPAXWFz-IMB4dBZ0MEZEG_e this YouTube playlist].~~

	=== What is a DAO? ===		=== What is a DAO? ===

← Older revision		Revision as of 16:50, 12 September 2020
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	== Learn more ==		== Learn more ==

−	For more information on how you can use the DAO to trade/contributor, how it works, it's technical foundations, etc. please see the [[Decentralized_autonomous_organization\|Decentralized Autonomous ~~Organizetion~~]] page.	+	For more information on how you can use the DAO to trade/contributor, how it works, it's technical foundations, etc. please see the [[Decentralized_autonomous_organization\|Decentralized Autonomous Organization]] page.