Yeeter FAQ - HackMD

--- title: Yeeter FAQ tags: yeeter --- # Yeeter FAQ ### General **What is DAOhaus Yeeter?** The DAOhaus Yeeter is a trustless crowdfunding platform for web3 projects. It is the easiest way for teams to fund their project and bootstrap their community into a DAO. Every DAOhaus Yeeter project comes with a DAO. When community members contribute funds to the project, they automatically become a member of the DAO and retain custody over their contribution. **How does it work?** A DAOhaus Yeeter project consists of two main components: a Moloch DAO (accessible via the [DAOhaus app](https://app.daohaus.club)) and a Yeeter smart contract. The Yeeter contract has special permissions within the Moloch DAO to create new Loot shares in the DAO when somebody sends funds to the Yeeter. The Yeeter also forwards the received funds to the DAO treasury. When a contributor sends funds to a DAOhaus Yeeter project, two things happen: 1. They receive Loot shares in the DAO. This means that they are a member of the DAO, and can -- at any time! -- redeem ("ragequit") their Loot shares to receive their portion of the funds. This is how they retain custody of their funds. 2. The funds end up in the DAO treasury. From here, the DAO can create proposals to spend the funds on the project. **Why use DAOhaus Yeeter?** These days, there are many ways to quickly raise funds for a new web3 project. But most of them leave contributors to trust the project team with their funds. Instead, DAOhaus Yeeter empowers contributors by giving them a share of the DAO that controls the project's funds with full custody over their contribution. This is fantastic for contributors, who can contribute funds with much more confidence that they won't be squandered (or even rugged!). If they later see something they don't like, they can always pull their funds out. This is also fantastic for projects. Since they can offer contributors much stronger guarantees on their funds, it will be much easier to attract enough funding to fuel their project. Anon project founders are particularly excited about this, since it allows them to start projects without the need for a public reputation. **What networks is DAOhaus Yeeter available on?** DAOhaus Yeeter is available on Rinkeby (testnet), Ethereum Mainnet, Arbitrum, Gnosis Chain & Polygon If you'd like to use DAOhaus Yeeter on another network, let us know in the [DAOhaus Discord server](https://discord.gg/daohaus). **What are the risks?** As a capital contributor to a DAOhaus Yeeter project, it is your responsibility to stay aware of the DAO proposals created by the project team. If you are not paying attention, a malicious project team may pass and execute a proposal to steal funds (or simply spend them in a way you don't like) before you are able to ragequit your Loot shares to withdraw your funds. To help prevent the above from happening, you can see all active proposals in the DAO's page and ask the project team to set up Discord notifications for DAO proposals via the DAOhaus Discord Boost. :::warning Always double check the following before sending funds to a DAOhaus Yeeter project: 1. You have the correct Yeeter address for the project. 2. Your wallet is connected to the correct network. Projects may be created on a number of different networks. If you send funds to the correct address on the wrong network, your funds will likely be lost. 3. The amount you are sending is within the min and max contribution range. The Yeeter contract will reject your transaction if you send too little or too much so your funds will be safe, but you will lose the gas fee for that transaction. ::: As with any app built on smart contracts, there are also hack or bug risks. See the next question about audits for more info. **Are the smart contracts audited?** The DAOhaus Yeeter platform uses four smart contracts: the [MolochV2.5](https://github.com/HausDAO/Moloch2.5/blob/main/contracts/MolochSummoner.sol), the [Yeeter.sol](https://github.com/HausDAO/Moloch2.5/blob/main/contracts/Yeeter.sol) contract, the [Safe Minion](https://github.com/HausDAO/MinionSummonerV2) contract, and the [Gnosis Safe](https://github.com/gnosis/safe-contracts) contract. The MolochV2.5 contract is based heavily on the [MolochV2 code](https://github.com/MolochVentures/moloch), which has been audited and in heavy use for 2 years with no security incidents. The minimal changes introduced by V2.5, however, have not been audited. The `Yeeter.sol` contract has not yet been audited. The Safe Minion contract has been [audited by the Gnosis team](https://hackmd.io/R5wgG1zuSZ-p6Sbne5eF6w). It has been used by many DAOhaus DAOs since November 2021, with no security incidents. The Gnosis Safe contracts have received [multiple audits](https://github.com/gnosis/safe-contracts#audits-formal-verification) and have protected billions of dollars over multiple years without incident. **What is a DAO?** DAO stands for “Decentralized Autonomous Organization.” Because of the **“organization”** part, the term represents a group of people coming together to achieve a common purpose. Unlike traditional organizations, the DAO is **decentralized** and software is used to coordinate DAO members toward the common purpose or goal **autonomously**. Most DAOs have the following characteristics: - Fluid Membership: Members can leave & join DAOs any time - Voting / Decision Process: Proposals & voting help DAO members decide collectively on all types of actions. - Shared Treasury: Community funds & assets (e.g. NFTs) are held & controlled by the DAO. For more information about a DAO, do check out our Explainer video here: https://www.youtube.com/watch?v=7MaucjMwEUA **What is a Moloch DAO?** The DAOhaus Yeeter platform uses the Moloch DAO framework. CoinMarketCap has a [comprehensive overview of Moloch DAOs](https://coinmarketcap.com/alexandria/glossary/moloch-dao) in their Alexandria glossary. **What are Shares & Loot Shares?** **Shares** grant Moloch DAO members two forms of power in the DAO. First, shares serve as voting rights on proposals to add new members, spend funds, etc. Second, they can be redeemed ("ragequit") to receive a proportional amount of tokens from the DAO treasury. In a DAOhaus Yeeter project, members of the core project team typically have Shares in the DAO. **Loot** is a type of Moloch DAO share that grants only the power to ragequit and receive proportional amount of tokens from the DAO treasury. In a DAOhaus Yeeter project, the capital contributors typically have Loot shares in the DAO. Neither Shares nor Loot can be tranfered or sold, even to other members of the DAO. **What is ragequit?** Ragequit allows a member of a Moloch DAO to redeem some or all of their shares (either Loot or full Shares) for a proportional amount of the tokens in the DAO treasury. ### For Project Teams **How much does it cost to use DAOhaus Yeeter?** There is a 3% fee on all funds raised. This fee goes to [UberHaus](https://uberhaus.club/), the DAO of DAOs that governs DAOhaus. Once your DAO is up and running This fee is used to fund future upgrades, maintenance, and security audits. The 3% fee will be collected `method of collection here` **How does the DAOhaus Yeeter compare with other Web3 crowdfunding tools?** As compared with other Web3 crowdfunding tools, the DAOhaus Yeeter: - Automatically sets up a Moloch DAO (accessible via DAOhaus app) for your team & capital contributors - Creates greater funding transparency, so it is easier to attract more funding - Is available on Gnosis Chain (and Mainnet soon) - Is fairly priced at 3% - Equips your DAO with [DAOhaus Boosts](https://daohaus.club/docs/users/boosts/boosts) to better run your project & community (e.g. Discord Notifications, Rarible, Disperse etc.) **How can we create a project on DAOhaus Yeeter?** Currently, creation of new DAOhaus Yeeter projects are by request only. [Say gm in our Discord](http://discord.gg/invite/daohaus) to tell us more about your project! ### For Yeeters (aka Capital Contributors or Community Members) **How much does it cost to use DAOhaus Yeeter?** For capital contributors, there are no fees from DAOhaus. The only cost to you are gas fees for sending funds to the project's address. **How does the DAOhaus Yeeter compare with other Web3 crowdfunding tools?** As compared with other Web3 crowdfunding tools, the DAOhaus Yeeter: - Creates greater transparency in how DAO funds are used, lowering the likelihood of a rug-pull - Gives you custody over your contribution (via Loot Shares & the ability to rage quit at anytime) - Is available on multiple networks (e.g. Mainnet, Gnosis Chain, etc.) - Creates a smoother DAO experience with [DAOhaus Boosts](https://daohaus.club/docs/users/boosts/boosts) (e.g. Discord Notifications, Rarible, Disperseetc.) **How can I start contributing funds on DAOhaus Yeeter?** Explore current DAOhaus Yeeter Projects that are raising funds at [yeet.daohaus.club](yeet.daohaus.club)!