How to Join Web3 Communities: DAOs and Leading Examples

What Is a DAO in the Web3 Era?

A DAO, or Decentralized Autonomous Organization, is a groundbreaking organizational model that operates without centralized administrators or hierarchical management, utilizing blockchain technology. Its core innovation lies in the use of smart contracts—self-executing programs that transparently and automatically enforce the organization's rules and decision-making processes.

In a DAO, members gain voting rights by holding unique tokens (governance tokens), which allow them to participate in key decisions and shape the organization's direction. The more tokens a member holds, the greater their influence over governance.

These characteristics position DAOs to create new economic ecosystems and communities in the Web3.0 era. As blockchain technology advances, DAOs continue to expand into industries such as finance, art, gaming, and social impact—drawing increasing attention as next-generation alternatives to traditional corporations.

DAO Features and Mechanisms

This section explores the features and mechanisms of DAOs in greater detail.

Decentralized Structure

The defining feature of a DAO is its decentralized decision-making model. While traditional organizations rely on central administrators like CEOs or boards to make critical decisions, DAOs allocate voting rights based on the number of tokens members hold, enabling democratic decision-making across the organization.

This process is enforced transparently and in a decentralized way through codified protocols and smart contracts. All proposals and voting results are recorded on the blockchain, ensuring anyone can verify them and significantly reducing risks of fraud or tampering.

DAOs also eliminate geographic barriers, enabling members worldwide to participate in governance anytime, anywhere—a major advantage over traditional organizations.

Token Economy Utilization

DAO members participate by holding governance tokens, which grant the right to vote and propose initiatives. These tokens serve not only as voting rights but as a medium of value exchange within the DAO’s economic system.

Key decisions—such as project direction, fund allocation, and new member approvals—are made through member consensus. The more tokens a member holds, the greater their influence, rewarding those who contribute most to the organization.

This token economy directly incentivizes members to contribute to organizational growth, aligning overall progress with individual benefits.

Advantages of Web3 Community DAOs

DAOs offer many advantages that traditional organizational structures lack. Below are the key benefits explained in detail.

No Centralized Administrators Required

The most innovative aspect of a DAO is the absence of centralized administrators. In conventional companies, CEOs and management set organizational direction, creating a hierarchy where employees follow orders.

With DAOs, all participants can take an equal role in governance. There are no leaders or rulers; decisions are carried out automatically by smart contracts written on the blockchain.

Governance token holders have the authority to determine major decisions and rule changes, enabling truly user-driven, decentralized management. This framework prevents the concentration of power and ensures more democratic, equitable governance.

Enhanced Transparency via Blockchain Technology

DAOs are built on blockchain technology, delivering exceptional transparency in operations. Every transaction, voting result, and fund movement is recorded on-chain and can be verified by anyone in real time.

Traditional organizations often make decisions and manage funds internally, making oversight by external stakeholders difficult. Management errors or fraud may go undetected, leading to greater losses.

In DAOs, all information is public on the blockchain, enabling real-time monitoring of activities. Governance information is recorded as voting results by token holders, with the entire process fully transparent.

This transparency bolsters organizational credibility and allows participants to confidently engage in governance. It also helps prevent fraudulent or opaque transactions before they occur.

Tamper-Resistance and Fraud Prevention

By leveraging blockchain’s decentralized architecture, DAOs can effectively prevent data tampering and fraud. Blockchain data is managed by a distributed network, making unilateral alterations by any individual or entity virtually impossible.

With operational rules enforced by smart contracts, DAOs eliminate human error and intentional misconduct. Traditional organizations are vulnerable to risks like embezzlement or financial fraud, but DAOs significantly reduce these threats.

Since all transaction histories are permanently recorded, reviewing past decisions or fund flows is straightforward. This improves organizational reliability and security, giving members confidence to participate actively.

DAO Challenges and Disadvantages

Despite their many strengths, DAOs also face significant challenges and drawbacks. Here are the main disadvantages detailed.

Legal Uncertainty

DAOs are new organizational forms operating on blockchain, and often do not fully fit into existing legal systems. Most current laws and regulations are designed for centralized organizations, and may not address the unique attributes of DAOs.

Because participants make decisions independently, the assignment of legal responsibility and authority can be unclear. For example, when a DAO faces legal issues, it is often ambiguous who is liable or which jurisdiction applies.

Other legal uncertainties include whether DAO-issued tokens are classified as securities, and their tax treatment. These issues can slow wider DAO adoption.

However, as DAOs become more widespread, legal frameworks are gradually evolving. Some countries and regions have begun to recognize DAOs legally, and further legal developments are anticipated.

Hacking Risks

DAOs are managed by smart contracts—programs that can contain bugs or vulnerabilities. Smart contracts are human-written, so coding errors and security flaws are not entirely avoidable.

One historic example is “The DAO Incident” in 2016, where a smart contract vulnerability led to the loss of about 3.6 million ETH (then worth roughly 5.2 billion yen). This incident highlighted DAO security risks globally.

Once a smart contract is deployed on-chain, modifying or updating it is difficult. Even if a bug is discovered, immediate fixes are often impossible, which can amplify the impact.

To address such hacking risks, DAOs prioritize rigorous security audits before smart contract deployment, and many offer bug bounty programs to incentivize security researchers to report vulnerabilities.

How to Join a Web3 Community DAO

Most DAOs are free to join. Some require NFT purchases for membership, but the majority allow free participation through platforms like Discord.

Below is a guide to joining a DAO and engaging after joining.

Joining a DAO (Discord)

Most DAOs use chat tools like Discord to facilitate member communication. Start by joining the Discord server of a DAO you’re interested in.

To join a DAO Discord, find an invite link on the DAO’s official website, Twitter, or other social channels. Click the link and follow the prompts to create or log in to your Discord account.

Once inside the server, you’ll typically find “welcome” or “rules” channels with basic information and guidelines. Many DAOs include self-introduction channels for participants—take advantage of these to get involved in the community.

Joining via NFT Purchase Within the DAO

Some DAOs require specific NFT purchases for membership. Even after joining for free, you can get more involved by participating in internal NFT projects.

To buy a DAO NFT, check sales details on the DAO’s website. Most NFTs are available on marketplaces like OpenSea, so prepare a wallet (e.g., MetaMask) and obtain the necessary crypto (typically ETH).

Purchasing NFTs may offer extra privileges, such as special voting rights, access to exclusive channels, or priority for airdrops. However, NFT purchases are investments—always understand the project thoroughly and make decisions at your own risk.

Contributing and Sharing Within a DAO

Active contributions within a DAO can lead to job opportunities. These may include blog writing, social media promotion, DAO discussions, translation, design, and more.

Valuable contributions help grow and operate the DAO. Many DAOs reward such activities with governance tokens, NFTs, or monetary incentives.

Building relationships and trust through contributions can also open new business opportunities. Networking with like-minded members can lead to collaborative projects or new career paths, making network building a major benefit of DAO participation.

Notable DAO Examples in Japan

Japan hosts a variety of distinctive DAOs operating actively. Here are some leading domestic examples.

Ninja DAO

Ninja DAO is one of Japan’s largest DAOs, uniting holders and fans of the popular NFT project “CryptoNinja.” Established in December 2021 by leading web marketer Ikehaya, it stands out for allowing NFT holders to freely use CryptoNinja characters for commercial purposes. These ninja-themed characters appear in NFTs, manga, games, anime, merchandise, music, stage productions, and more.

Community members can freely create derivative works and products, sharing a portion of proceeds with the DAO. This innovative business model enables the entire community to grow and all participants to benefit from its ecosystem.

A notable achievement is the launch of the world’s first TV anime series starring an NFT character, “Shinobanai! CryptoNinja Sakuya,” which began airing in October 2023—a pioneering case of NFT projects merging with mainstream entertainment.

Kunikatsu DAO

Kunikatsu DAO was established by Hirokatsu Kunimitsu, CEO of blockchain-based crowdfunding platform FiNANCiE, in May 2022 with a vision of creating Japan’s leading Web3 startups.

Specializing in nurturing Web3 startups, Kunikatsu DAO provides funding, talent, expertise, and networks. Experienced entrepreneurs, investors, engineers, and marketers participate, fostering active knowledge-sharing and cooperation.

The DAO’s mission is to explore new community models for the Web3 era and promote them globally, aiming to launch Japanese Web3 projects onto the world stage. Regular events and workshops disseminate Web3 knowledge and strengthen community ties.

Wagumi DAO

Wagumi DAO promotes Japanese traditional culture and aesthetics worldwide, operating the “WAGMI” NFT project featuring traditional patterns and designs. Founded in December 2022, it provides a platform for global enthusiasts of Japanese culture to collaborate and create new value.

Wagumi DAO incorporates elements like ukiyo-e, kimono patterns, and family crests into NFT art, delivering the essence of Japanese culture through digital art on a global scale.

Participants contribute to NFT sales, art creation, and event planning to spread Japanese culture internationally. The DAO community also fosters cultural knowledge-sharing among members.

With significant participation from international collectors and artists, Wagumi DAO serves as a hub for cultural exchange and showcases new ways of preserving and expanding Japanese culture through Web3 technology.

Summary: DAOs Are Gaining Momentum as Web3 Organizations

This article examined DAOs (Decentralized Autonomous Organizations) as emerging community models in the Web3 era—covering their concepts, advantages and disadvantages, participation methods, and notable examples in Japan.

DAOs are innovative, blockchain-based organizations operating without central managers or hierarchical structures, governed democratically and autonomously by participants. They offer unmatched transparency, resistance to tampering, and global accessibility—features absent from traditional organizations.

Although legal uncertainty and security risks remain, these challenges are expected to be addressed as the technology evolves.

DAOs are driving innovation in finance, art, gaming, social impact, and beyond. As new Web3 community models, DAOs are expected to multiply and deliver new value to society.

If you want to join a Web3 community DAO, start by joining the Discord of a project that interests you to experience the community firsthand. By engaging and contributing, you may find new connections and opportunities. Use this article as a starting point and take your first step into the DAO ecosystem.

FAQ

What Is a DAO? What Are Its Features as a Web3 Community?

A DAO is a decentralized autonomous organization operated transparently by smart contracts without central administrators. In Web3 communities, all members participate in decision-making, jointly manage funds, and focus on achieving their mission without requiring mutual trust.

How Can I Join a DAO? What Preparation and Steps Are Needed?

To join a DAO, first set up a wallet and acquire the required tokens. Then, connect to the DAO platform and stake governance tokens to obtain voting rights. Afterward, you can participate in community proposals and decision-making.

What Are Some Well-Known DAO Projects? (e.g., MakerDAO, Uniswap, ConstitutionDAO, etc.)

Prominent DAO projects include MakerDAO, Uniswap, Aave, and ConstitutionDAO. MakerDAO pioneered decentralized finance, Uniswap is one of the world’s largest decentralized exchanges, and Aave is known for lending and borrowing. These projects leverage blockchain technology for decentralized governance.

What Are the Benefits and Risks of Participating in a DAO?

Benefits include fair and transparent decision-making, freedom of participation, efficient operations, and the potential for high returns through token appreciation. Risks include decision-making delays, unclear accountability, and vulnerabilities in smart contract security.

What Is a DAO Governance Token? How Is It Used?

A DAO governance token is a digital asset that provides voting rights. Holders can vote on policy decisions, fund allocation, and protocol changes, directly influencing DAO operations. Voting power is proportional to the number of tokens held.

How Do Traditional Organizations Differ from DAOs?

Traditional organizations have centralized leadership and hierarchical structures, while DAOs are decentralized with no central leader. Members operate under self-executing rules via smart contracts and make decisions through democratic voting.

How Does the DAO Decision-Making Process Work?

DAOs use a voting mechanism for decision-making. Members hold tokens and exercise voting rights on proposals. Approved proposals are automatically enacted by smart contracts, ensuring decentralized governance.

How Much Capital Do I Need to Join a DAO?

The capital needed to join a DAO varies by organization. Typically, you acquire governance tokens, which can range from a few dollars to several thousand. Participation is flexible, depending on your budget and the DAO’s scale.