###### tags: `Internal` `Onboarding`

# MW DAO Framework

When deciding on how to structure and design a DAO there are many factors to consider. This is an attempt to breakdown the process of designing a DAO from fundamental decisions to coordination and scaling strategies.

## DAO Structures

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### Shark DAO
Move fast with a small group and treasury to quickly execute when an opportunity to eat arises.

**Primary DAO Asset(s):** TBD during discovery
**Treasury Size:** <$50k
**Active Members:** 3-10
**Proposal Velocity:** 12-24 proposals a day
**Voting Period:** 1-2 days
**Grace Period:** 12 hours - 1 day
**Proposal Deposit:** 0-5 DAI (in value)
**Minimum Contribution:**

---

### Dolphin DAO
Move at a moderate rate with a larger group and treasury but still fast enough to execute within a reasonable timeframe.

**Primary DAO Asset(s):** TBD during discovery
**Treasury Size:** <$500k
**Active Members:** 11-50
**Proposal Velocity:** 4-6 proposals a day
**Voting Period:** 5-7 days
**Grace Period:** 2-3 days
**Proposal Deposit:** 20-50 DAI (in value)
**Minimum Contribution:**

---

### Whale DAO
Move slow with a very large group and treasury. No rush here, the slower the better. Execution will happen slowly in order for there to be sufficient time to audit and approve high value transactions.

**Primary DAO Asset(s):** TBD during discovery
**Treasury Size:** >$500k
**Active Members:** 51+
**Proposal Velocity:** 1-4 proposals a day
**Voting Period:** 14-28 days
**Grace Period:** 7-14 days
**Proposal Deposit:** 100-1,000 DAI (in value)
**Minimum Contribution:**

---

## DAO Specifications Breakdown

### Proposal Velocity
Proposal Velocity determines how fast new proposals can be submitted and voted on (i.e. 2 hour periods).

The faster the proposal velocity is, the more potential proposals could be submitted in a shorter time frame, which in turn creates more risk for proposals to process without enough time for larger groups to coordinate and/or audit high value transactions.

With an understanding of proposal velocity it is now possible to determine its rate in relation to Shark, Dolphin and Whale DAO structures.

#### Shark DAO
Fast proposal velocity

1-2 hour periods - 12-24 proposals a day

#### Dolphin DAO
Moderate proposal velocity

4-6 hour periods - 4-6 proposals a day

#### Whale DAO
Slow proposal velocity

12-24 hour periods - 1-2 proposals a day

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### Voting Period
The voting period is based on a predetermined amount of proposal velocity periods (PVP) during DAO deployment.

#### Shark DAO

Short voting periods: 1-2 days

Example:
2 hour proposal velocity periods (12 proposals per day)
24 proposal velocity periods per voting period

Total voting period per proposal = 2 days

#### Dolphin DAO

Moderate voting periods: 5-7 days

Example:
4 hour proposal velocity periods (6 proposals per day)
30 proposal velocity periods per voting period

Total voting period length per proposal = 5 days

#### Whale DAO

Long voting periods: 14-28 days

Example:
12 hour proposal velocity periods (2 proposals per day)
28 proposal velocity periods per voting period

Total voting period length per proposal = 14 days

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### Grace Period
The grace period determines the period of time after the proposal voting period ends and before the execution of that proposal. A grace period is a security feature that gives a window of time for members who do not support a proposal that passed to exit the DAO with their share of the treasury (RageQuit).

The Grace Period is determined in the same way the Voting Period is - based on a predetermined amount of proposal velocity periods during DAO deployment.

#### Shark DAO

Short grace period: 12 hours - 1 day

Example:
2 hour proposal velocity periods (12 proposals per day)
12 proposal velocity periods per voting period

Total Grace Period per proposal = 1 day

#### Dolphin DAO

Moderate grace period: 2-3 days

Example:
4 hour proposal velocity periods (6 proposals per day)
18 proposal velocity periods per voting period

Total Grace Period per proposal = 3 days

#### Whale DAO

Long grace periods: 7-14 days

Example:
12 hour proposal velocity periods (12 proposals per day)
14 proposal velocity periods per voting period

Total Grace Period per proposal = 7 days

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### Proposal Deposits
Proposal Deposits determine an amount of funds needed to be staked in the DAO (100% refundable) in order to approve (sponsor) a proposal submitted for voting. Requiring a proposal deposit prevents spam proposals from entering the voting period. Proposal Deposits are made in the primary DAO asset (i.e. ETH, DAI, or native project token).

#### Shark DAO

Small proposal deposits: 0-5 DAI

#### Dolphin DAO

Moderate proposal deposits: 20-50 DAI

#### Whale DAO

Large proposal deposits: 100-1,000 DAI

### Minimum Membership Contribution

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## DAO Coordination Strategies
Before thinking about scaling, a strong coordination strategy is required in order to set the foundation on which to build.

Things to consider:
- communication tools to use
- size of community management team
- onboarding process for community and contributors
- compensation/reward process
- engagement strategies

### DAO Tooling
- Discord
- Snapshot
- Gnosis Safe
- Minion
- NFT management
- coordinape
- collabland
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