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FAQ

What is a DAO?

A Decentralized Autonomous Organization (DAO) is an organizational structure represented by rules encoded as a computer program that is transparent, controlled by the organization members through governance, and not influenced by a central organization or entity.
  1. 1.
    Decentralization: DAOs operate without a central authority. Decision-making processes, governance rules, and financial transactions are automated and executed through smart contracts on the blockchain.
  2. 2.
    Transparency: The rules and code governing a DAO are usually open-source and visible to anyone. This transparency helps build trust among members.
  3. 3.
    Autonomy: DAOs execute actions and decisions based on predefined rules and code.
  4. 4.
    Democratic Governance: Our DAO members have voting power proportional to their ownership of the DAO's Founders and Member Pass NFTs. They can participate in decisions related to the DAO's operations, investments, or changes to its code.
  5. 5.
    Financial Control: DAOs often manage and allocate financial resources, such as cryptocurrency funds or assets, based on the consensus of their members. The code determines how these resources are used.

Who Can Join the DAO?

Anyone who holds an IDO Pass DAO Founder's Pass or an IDO Pass DAO Member's Pass is a member of IDO Pass DAO can participate in IDO Pass DAO governance and has access to our private investment community and Market Analyzation Tool. Passes can be purchased on the secondary market.

What is Proof of Stake (PoS)?

Ouroboros (Cardano's Proof of Stake): A peer-reviewed, verifiably secure blockchain protocol that utilizes a Proof of Stake mechanism to achieve consensus. In Cardano's Ouroboros, stakeholders (holders of ADA, the Cardano cryptocurrency) can become slot leaders and have the right to produce new blocks based on the amount of ADA they hold and are willing to "stake." Unlike traditional Proof of Work systems, which rely on computational power to mine new blocks, Ouroboros relies on the amount staked as a form of virtual mining power. This approach offers a more energy-efficient mechanism to secure the blockchain, ensuring scalability and sustainability. Over time, Cardano has iterated on the Ouroboros protocol, introducing versions like Ouroboros Praos, Ouroboros Genesis, and others to enhance its security, decentralization, and functionality.

What is a Stake Pool?

Cardano is a blockchain platform known for using a Proof of Stake (PoS) consensus mechanism, and stake pools are a key component of its PoS system.
  1. 1.
    Stake Pools: In a PoS blockchain like Cardano, instead of miners competing to validate transactions and create new blocks (as in Proof of Work systems like Bitcoin), validators participate in the network by holding and "staking" their ADA (Cardano's native cryptocurrency). A stake pool is a group of validators who combine their resources (stakes) to increase their chances of being selected to produce blocks and validate transactions. Stake pool operators run these pools.
  2. 2.
    Stake Pool Operator: IDO Pass DAO owns a Cardano stake pool. This involves providing necessary server infrastructure, ensuring network connectivity, and managing the pool's operations.
  3. 3.
    Delegators: Cardano users are incentivized to delegate their ADA to the DAO's $IDP stake pool. By doing so, they participate in the staking process and share the rewards the pool earns.
  4. 4.
    Rewards: Stake pools in Cardano earn rewards for producing blocks and validating transactions. These rewards are distributed among pool operators like IDO Pass DAO and our pool's delegators based on their respective stakes. IDO Pass DAO provides additional token incentives for delegating to our pool, which grows over time through partnerships and IDOs.