Cryptocurrency Q&A What are the disadvantages of a DAO?

What are the disadvantages of a DAO?

KatanaGlory KatanaGlory Tue Jul 02 2024 | 6 answers 1636
As a keen observer of the cryptocurrency and finance landscape, I'm curious to understand the flipside of the DAO (Decentralized Autonomous Organization) concept. Could you elaborate on some of the key disadvantages that DAOs pose? My understanding is that while they offer unprecedented transparency and autonomy, there are certain pitfalls that potential investors and stakeholders should be aware of. Could you highlight some of these issues, such as potential governance challenges, security vulnerabilities, or scalability limitations? I'd appreciate a concise yet comprehensive overview of the downsides of this emerging decentralized governance model. What are the disadvantages of a DAO?

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