The Parachute DAO launch

Getting started..

To begin, we’ve formed a template and initial proposals for the DAO on Parachutes new snapshot.org profile. This initial group of proposals is only that. As a holder of PAR, every member is able to vote on every proposal they choose to.

Moving forward…

The long term organizational structure of the Parachute DAO will be open to proposals. It has been mentioned in early discussions that a token-only voting system has limitations. Proposals by the DAO with experience from our initial proposals will hopefully address this issue and guide the Parachute DAO to shape long term org structure and tools, such as utilizing Gnosis safes and votes, the Gardens structure from 1hive, or DxDAOs reputation hybrid approach.

PAR as a token

The PAR token at DAO inception exists for governing the Parachute DAO with no economic rights. There can exist additional utility of PAR beyond governance, with future votes on utility and applications of PAR coming through DAO proposals.

Products in the Parachute DAO and under governance

  • While ParJar wallet will be in the Parachute DAO, its current state needs to evolve for DAO proposals around its functionality, implementation, feature sets, and application. The current proposal to implement a modification to on-chain, non custodial functionality is the first step in transitioning the product.
  • Current proposals around PAR farms and PAR product partnerships are subject to governance under the Parachute DAO. These approaches are targeting extended utilization and new revenue for Parachute DAO treasury. The DAO may collectively decide to propose further revenue streams to fund the DAO.
  • New products such as PAR/Token farms to generate NFTs and any future DAO created products fall under the DAO governance along with any proposed utility of PAR in those products after sufficient decentralization through the DAO. While these are exploratory concepts and will only move forward with DAO approval, any product idea that the Parachute DAO explores will also have subsequent funding proposals.
  • While not a product, the PAR governance token may be used by eventually elected committees to fund and operate events, prizes, hire developers, or create stable coin treasuries, as decided by the DAO collective.

Products not in the Parachute DAO

While most products are able to become part of the Parachute DAO, Hedgey cannot. New regulations emerging in DeFi, as well as consultation from outside council, show that restrictions around tokenization of derivative products and fee collection mechanisms are due to face heavy scrutiny. As Hedgey exists in that space and requires centralized effort of a few to be successful, Hedgey has been separated as an entity and will continue to be developed in a centralized manner without a token or economic rights and will not be a part of the DAO now or in the future.

Closing thoughts + Why a DAO?

As we are at the beginning of a new frontier for Parachute, the possibilities for how we grow are endless. With 6,500 PAR holders, our ecosystem has an incredible resource of skilled DAO members that now have the power to participate in shaping the products, funding, and direction of Parachute going forward. Every voice can be heard, every idea can be discussed, every skilled member can participate and be rewarded for their contributions. DAOs exist to move away from a small few who control , towards a group of many who work together.

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Parachute

The community for exploring ideas in crypto