What is DAO on DEX š§? #education
DAO is a Decentralized Autonomous Organization š„ that makes decisions about the development of an exchange.
ā”How does it work in practice?ā”
For example, on the #1 DEX on TON, STONfi, a governance DAO is planned. Decisions regarding adding new blockchains to the exchange, listing or delisting tokens, and so on will be made through voting among DAO membersš.
To become a member of the STONfi DAO, you need to stake STON tokens on the STONfi exchangeš. STON is the native token of the exchange. Depending on the amount of tokensšand the duration of their lock-upš, the strength of your vote is determined.
ā”Why does a DEX need a DAO?ā”
Since DEX is a decentralized exchange, it would be strange and incorrect for its governance to be entirely centralized. Additionally, having its own DAO increases trust among usersš.