Carmelo Ippolito on AI and DAOs: The Rise of Decentralized Intelligence

Artificial intelligence (AI) and decentralized autonomous organizations (DAOs) are converging to redefine economic systems. Carmelo Ippolito, a researcher in the decentralized finance (DeFi) space, argues that the future lies not in standalone AI tools but in decentralized intelligence—a system where governance evolves dynamically like algorithms.

Traditional governance models, reliant on centralized boards or rigid bureaucracies, are being challenged by DAOs. These protocols enable modular, transparent, and community-driven decision-making. "AI doesn’t just need more power; it needs better structure," Ippolito notes. "DAOs offer a way to align intelligence with incentive, agency with transparency."

His work, spanning from early contributions to OlympusDAO’s incentive structures to frameworks for AI agents operating within DAOs, suggests a radical shift: governance must learn, adapt, and optimize over time. The intersection of AI and DAOs could herald the next economic revolution—one where decentralized intelligence becomes the backbone of global systems.