And 3 key elements to improve your DAO's financial governance

Today's Agenda...

  • AI agents : AIXBT, Virtuals, and Ai16z are redefining web3 with smarter tools to transform decision-making🤖🚀
  • Optimize your DAO : fair voting, active participation and secure smart contracts 🌐💰

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How AI agents are changing the game in web3 🤖

AI agents are not just tools—they’re game-changers for web3. These autonomous systems are reshaping how projects operate, creating new possibilities for innovation, efficiency, and decision-making.

This article dives into the world of AI agents, helping you understand their transformative potential. We’ll spotlight AIXBT—a key influencer driving the conversation on X—and explore pivotal infrastructures like Ai16z and Virtuals that are fueling this revolution.

AIXBT: the new X star influencer

AIXBT has quickly emerged as a leading voice in the AI and web3 space. Known for their sharp takes on trends, token analysisand even launching a token, $CHAOS, AIXBT demonstrates how AI tools can be leveraged creatively and strategically. AIBXT is already followed by 400 K accounts on X.

Example of market analysis made by AIXBT

AIXBT doesn’t just talk ; they actively shape the conversation. By mentioning AIXBT or replying to their posts, you can directly tap into their expertise and ask for insights on a wide range of market topics. Known for mastering the codes of web3 communication, AIXBT delivers nuanced responses that combine deep technical knowledge with a sharp understanding of market dynamics.

Examples of clear-cut answers from AIXBT

Ai16z and Virtuals: The backbone of AI agent innovation

The rise of AI agents wouldn’t be possible without robust infrastructures. Here’s how AI16z and Virtuals are powering the next generation of web3 AI tools:

  • Virtuals Protocol

Virtuals specializes in crafting AI-powered virtual assistants tailored for web3 environments. Whether it’s helping to predict the markets, boosting productivity, or creating real-time analytics dashboards and analysis, Virtuals propel tools are designed to help teams focus on strategy rather than getting bogged down in repetitive tasks.

Screenshot of Virtuals Protocol’s website, where you can fin all the projects developed under it

For all projects, you can find a description of the project, with token price, % of mindshare, number of followers, etc.

Screenshot of the G.AM.E project on Virtual Protocol’s platform
  • AI16Z

Ai16z is more than a VC powerhouse—it’s a DAO built on Eliza Labs’ framework. At its core, AI16z is governed by an advanced AI agent named Marc AIndreessen, which uses Eliza Labs’ technology to interact autonomously with blockchain data, smart contracts, and even community decisions.

There is no link with the VC named a16z.

Screenshot of Eliza OS DAO

Link to Eliza OS Github : here

X profile of Eliza OS founder : here

Why AI agents matter in web3

The potential of AI agents extends far beyond automation. They’re transforming web3 by:

  • DeFi strategy optimization: Automatically reallocating funds based on real-time APR analysis.
  • Real-time insights: Monitoring market trends, NFT floor prices, and token analytics.Example : Polytrader is a Polymarket AI companion design to help you take the best decisions on predictable markets using data and market sentiment.
Screenshot of Polytrader’s website
  • Streamlined operations: Using AI moderators to handle community management and governance efficiently.
  • Enhanced decision-making: Predicting outcomes of governance votes and summarizing discussions for DAOs.

Risks to consider

Out of the Security concerns, over-automation, trust issues that we can easily imagine, we would summarize the main risks related to AI Agents with excellent post from sunshine vandetta's account on Hey (Lens Protocol) :

Screenshot of sunshine vandetta’s post on Hey

We'll probably soon be discovering the dark side of AI agents...

Any any reactions to this article?

Let's discuss in our TG group

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3 key elements to improve your DAO's financial governance

Decentralized Autonomous Organizations (DAOs) provide an innovative governance model, but their success heavily depends on robust financial management. Here are three essential areas to focus on to optimize your DAO and ensure its long-term sustainability.

1. Promote fair distribution of voting power

The challenge: Many DAOs suffer from voting power concentration in the hands of a few large holders, undermining true decentralization and exposing the organization to hostile takeovers.

How to improve:

  • Implement voting caps: Limit the influence of any single individual or entity by capping their voting power.
  • Adopt weighted governance models: Systems like quadratic voting allow members to cast votes with weighted preferences, prioritizing consensus-driven decisions.
  • Example: Uniswap’s DAO enforces high governance thresholds for proposals, preventing large token holders from dominating decisions.
Screenshot of Uniswap Foundation’s website

2. Encourage active member participation

The challenge: Low voter turnout often leads to unrepresentative decisions.

How to improve:

  • Reduce participation costs: Subsidize gas fees to incentivize voting, as seen with Arbitrum DAO.
  • Clear and regular communication: Keep members informed through frequent summaries of proposals and upcoming votes.
  • Gamification: Reward active members with incentives. For example, Optimism DAO distributes airdrops to participants in discussions and voting.
  • Example: Gitcoin DAO maintains an active forum and rewards members contributing to development and debates.

3. Strengthen smart contract security

The challenge: Vulnerabilities in smart contracts can lead to significant financial losses, as demonstrated by the 2016 attack on The DAO.

Screenshot of a Coin Desk article

Link : Coin Desk’s article on this topic

How to improve:

  • Regular audits: Engage firms like CertiK to review your contracts.
  • Bug bounties: Encourage external developers to report vulnerabilities in exchange for rewards, as practiced by Sky (ex Maker DAO).
  • Ongoing updates: Establish mechanisms for upgrading contracts in case of issues, while respecting governance processes.
  • Example:Aave DAO has implemented a reserve fund to cover unforeseen incidents, ensuring ecosystem stability.

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Disclaimer : The goal of this newsletter is to inform and produce content related to management in the world of Web3. It is not investment advice. Investments in crypto-assets and NFTs are risky and can result in the loss of your entire capital. Always conduct your own research and exercise caution.