Ten Principles for Building an Efficient DAO

1. Gauss's Law

Effective complex systems often arise from simple and effective systems. When designing a minimum viable product, one should start simple and gradually evolve into more complex forms.

2. Pareto Principle

Also known as the 80/20 rule, this principle states that approximately 80% of results come from 20% of key inputs. When formulating strategies and allocating resources, it is important to identify and focus on those core elements that can bring the greatest benefits.

3. Parkinson's Law

Work meetings naturally extend to fill the available time or budget. To improve efficiency, it is important to set reasonable deadlines that are neither too urgent nor too lenient.

4. Goodhart's Law

When an indicator becomes a target, it often ceases to be a good indicator. When designing incentive mechanisms or evaluation systems, it is necessary to carefully select indicators to avoid creating adverse guidance.

5. Brooks's Law

Increasing manpower for projects that have already been postponed often leads to further delays. Maintaining a lean and efficient team size is usually more beneficial for project advancement.

6. Moore's Law

Computing power doubles approximately every two years, while costs correspondingly decrease. This trend has driven rapid development in the technology industry, providing ample space for innovation.

7. Metcalfe's Law

The value of a network is proportional to the square of its number of users. This principle emphasizes the importance of user growth for network effects and inspires us to strive for exponential value growth.

8. Dunbar's number

The number of stable social relationships that humans can maintain is limited. In organizational structure design, this cognitive limitation should be taken into account, and team size should be appropriately controlled, with hierarchical management adopted if necessary.

9. Unix Philosophy

Advocating the construction of modular systems focused on a single function and interoperability. This approach helps create flexible and scalable software architectures.

10. Conway's Law

The communication structure of an organization will affect its designed system architecture. When designing the organizational structure, this mapping relationship should be taken into account, and care should be taken to avoid excessive complexity.

These principles provide important guidance for the design and operation of DAOs, helping to build more efficient and scalable decentralized organizations.