OkDecentralization and Web 3.0 are hot topics in the world right now.
A byproduct of blockchain technology is the emerging world of Web 3.0. The idea behind Web 3.0 is that users on the internet will interact with each other and data will be stored in a decentralized way, giving users data privacy and sovereignty. This is different from Web 2.0, where most of the activity on the internet is composed of users interacting with each other and data stored in centralized storage locations that are controlled by large companies. These companies also profit off of the data.
Most users would prefer to have their data private, or for that matter profit off of the sales of their own data. If that is the case, why have most of us opted into major Web 2.0 platforms that store our data?
One major reason is that data storage was not broadly considered during the rise of Web 2.0. This came to light recently. But even so, and even with distrust and issues with centralized platforms, most users opt-in to receive the best user experience.
This could mean better ease of use, or better access to content. For creators, there is a connection to a potentially large community. These are the pain points that centralized platforms resolve.
Decentralized services can solve these pain points with the blockchain instead of a potentially arbitrary central decision point. The problem is one of the errors in governance.
When a decentralized system does not have a predetermined method of governance to deal with a situation, things can go haywire and need to be solved with a potentially arbitrary central decision point.
In the history of cryptocurrency, this has happened. No resolution for two conflicting ideas has resulted in “hard forks” with two cryptocurrencies emerging. Ethereum and Ethereum Classic in 2016 and Bitcoin and Bitcoin Cash in 2017 are some of the most famous examples. For Bitcoin Cash, this was followed by a fork that created Bitcoin Cash and Bitcoin SV in 2018.
What is needed is a sensible decentralized governance mode to address any eventuality.
GoFungibles Tackles Governance
GoFungibles is an upcoming NFT marketplace that features a play-to-earn mobile game and is built using the Polygon side-chain solution. This allows it to access the Ethereum network with lower gas fees when minting NFTs.
GoFungibles also bridges NFTs and decentralized finance together with staking and yield farming powered by its utility and governance token, $GFTS.
Here is how governance works in GoFungibles.
Once launched, the GoFungibles team roadmap includes creating a DAO, or Decentralized Autonomous Organization. A DAO exists to create or remodel services on the platform and is run by the community without a centralized authority. It is also fully transparent and every vote appears on the blockchain.
In addition to other benefits such as yield farming, and other financial value and/or utility on the GoFungibles platform, the token is also a governance token.
$GFTS token holders that stake their tokens are the eligible voters in this community. The number of votes is proportional to the amount of staked tokens. Those with the greatest interest in the benefit of the platform are also granted the greatest influence, creating a win-win for the community as a whole.
For example, User A has X number of staked tokens. User B has a 2X number of staked tokens. User C has a 1.5X number of staked tokens. User A would get 1 vote, User B would get 2 votes, and User C would get 1.5 votes.
As the tokens are staked, this prevents bad actors from being able to make detrimental decisions and then dump the tokens and then secretly exit or “rug pull” the other community members.
Again, this is a DAO, so the GoFungibles team will not be able to override the decisions of the community and the community is protected against a rug pull from any team members.
An additional layer of security is built-in with the Polygon framework built on top of Ethereum, the world’s leading application-layer blockchain.
Bringing a DAO community governance framework to the GoFungibles platform makes it one of the most exciting new projects being built on Polygon and Ethereum.
Contact the GoFungibles team across social media and the web here:
Disclaimer: This is a paid post and should not be treated as news/advice.