Achieving the decentralized dream is not as easy as idealists make it sound.
One step that DAOs commonly add to their economic plans for sustainability is tokenization.
On the other hand, there’s also external financing DAOs can receive via grant programs and venture capital for tokenized projects. “Grants are generally no strings attached, so they are very attractive and can be seen as revenue. The overall takeaway is that grants are non dilutive and VC funding is dilutive”, she said.
Narváez added that there’s even a technique that allows Web3 projects to stay afloat before they are ready to take their project to a VC:
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