Developing Dimensions and Indicators to Measure Decentralization in Decentralized Autonomous Organizations

Research Context: Decentralized Autonomous Organizations (DAO) emerge as innovative structures operating on blockchain infrastructures, providing transparency, decentralization, and autonomy in digital governance and coordination processes. Scientific and/or Practical Problem: Despite their transformative potential, DAO face significant obstacles, such as scalability limitations, risks of power concentration, legal ambiguities, and complex incentive models. Proposed Solution and/or Analysis: This study investigates recent scientific literature on DAO, seeking to understand their current state, focusing on how they have been conceptualized, characterized, evaluated, and applied. Related IS Theory: The research draws on the wisdom of crowd theory, which explains how collective decision-making can overcome individual choices, and sociotechnical theory, which emphasizes the interaction between technological infrastructures and social structures. Together, these perspectives frame DAO as hybrid systems that integrate algorithmic processes with collective human governance. Research Method: A systematic mapping study was conducted, encompassing the collection, selection, and coding of 47 primary studies published in relevant scientific sources. Summary of Results: The results highlight the conceptual consensus on the decentralized and smart contract-based nature of DAO, propose categories of structural challenges, and map recurring application domains, such as decentralized finance (DeFi), open science, energy, and digital art. Furthermore, the results demonstrate the transition of DAO from algorithmic entities to sociotechnical hybrids, connected to emerging trends such as the metaverse, NFTs, and decentralized artificial intelligence. Contributions and Impact to IS area: This study provides an updated theoretical foundation for the IS area, mapping the state of the art of DAO, identifying structural challenges, and emphasizing their evolution toward hybrid models. Most importantly, it reveals the complexity and originality of uniting the three main pillars of information systems (code, governance, and automated processes), thus contributing to the design of more resilient, inclusive, and sustainable digital governance systems in emerging decentralized ecosystems.

Decentralized autonomous organizations (DAOs) have become an indispensable part of digital infrastructure in recent years. The unique organizational characteristics and functional structure empower them to become an effective tool for solving corporate governance issues, including contract risks, principal-agent dilemmas, etc. However, DAOs themselves also face a variety of governance issues. On one hand, as a new economic organization model, the existing corporate governance theories and methods are no longer fully applicable to DAOs. On the other hand, unpredictable logic vulnerabilities and code loopholes in the governance mechanism might cause devastating damage to DAOs. The parallel intelligence theory based on the ACP method (i.e., artificial systems, computational experiments, and parallel execution) is an elegant research paradigm and a practical approach tailored to solving these challenges. As such, we propose a novel parallel governance framework for DAOs based on the parallel intelligence theory and further discuss its technical methodology and implementation model. Furthermore, we construct a parallel governance system for GnosisDAO and conduct computational experiments to validate the effectiveness of its governance mechanism. The experimental results not only confirm the defects of the GnosisDAO governance mechanism but also illustrate parallel governance as a useful research direction to solve existing governance problems of DAOs.

The Decentralized Autonomous Organization (DAO), a group organized by governance rules programmed on a blockchain, has recently been attracting attention as a novel organizational form. The effectiveness of a DAO’s decentralized governance mechanism and transparency, as secured by its code, has generally been discussed in contrast with traditional stock companies. However, the potential of a DAO for non-profits, which provide goods and services that profit-seeking organizations do not offer, has been less discussed. This paper presents a proof-of-concept implementation to demonstrate the advantages of utilizing a DAO governance framework for non-profits. To this end, this study developed a DAO governance framework incorporating a reputation-based decision-making system, a peer evaluation system, and a transparent, real-time accounting system for the Ethereum blockchain. Most current decentralized governance systems rely heavily on token-based voting using governance tokens with stock-like features. However, there is a need for a voting mechanism beyond token-based voting for non-profits, which do not have owners. Therefore, the developed application applies an existing reputation-based voting mechanism and integrates additional features, such as a membership system with mutual evaluation and a reputation NFT to visualize contributions. Several exemplar demonstrations were conducted to evaluate its key functionalities. This application enabled discussions across the boundary between technology and society in terms of the key aspects of non-profits: i) transparency of finance and governance, ii) participatory governance by diverse stakeholders, and iii) equity and inclusiveness of the consensus mechanism. The results indicated that blockchain technology compensates for a non-profit’s vulnerabilities, and illustrated that the proposed reputation-based governance mechanisms are well-motivated. However, the results also revealed that blockchain-based governance involves as many potential risks and limitations as it brings benefits. Lastly, by providing several possible solutions to these constraints as well as recommendations for future research, this paper contributes to the sustainable development of non-profits as one of the foundations of democratic governance.

In this paper, we study the impact of fiscal and political decentralization on the quality of public service delivery. While the effect of fiscal decentralization on public services is a recursive theme, to the best of our knowledge, our study is the first to investigate the impact of political decentralization. We use educational data as a proxy for the quality of public services. We use microdata from the Programme for International Student Assessment (PISA) test scores from 22 countries and test for the impact of fiscal and political decentralization on students’ performance. We use not only general measures of decentralization but, for the first time, also education-specific decentralization measures. Our results indicate that the impact of fiscal decentralization on school outcomes is positive. However, the results regarding political decentralization are more ambiguous. We also observe that the scalar effect of both political and economic decentralization becomes more evident in large cities.

Blockchain-based technology has been recognized as a potential tool to transform corporate governance. This chapter first discusses the persisting challenges of agency costs, inefficiencies, and the need for improved transparency. It then examines the emergence of blockchain as a potential solution, offering a novel, decentralized approach to corporate governance. The analysis covers the technology's application to share registers, trading, voting, and accounting practices, emphasizing the duality of its promise for increased transparency and emergent privacy concerns. Controversial aspects, such as the threat to existing shareholder activism and the governance of blockchain itself, are critically examined. Solutions like hybrid blockchain models and regulatory nodes are proposed to address these issues. The chapter concludes with a forward-looking perspective on decentralized autonomous organizations (DAOs) as an innovative alternative to traditional corporate structures, signifying a new paradigm in corporate governance.

This article explores the relationship between artistic experimentation of technology and blockchain-based governance systems. It is based on a case study of the BeeDAO project. Imagining new forms of interspecies urban dwelling, the artists and activists behind BeeDAO proposed to create a blockchain-based governance model (a Distributed Autonomous Organization [DAO]) dedicated to improving the living conditions of bees. We analyze how artistic imaginaries of technology may envision new governance frameworks to shape sustainable futures. We characterize as techno-ecological agentivity the reliance on blockchain systems to design organizational models where other-than-human living entities would be integrated into the participatory governance of natural ecosystems. Our analysis highlights that BeeDAO enacts a cybernetic vision of governance, emulating a techno-determinist utopia of social transformation. The project faced practical challenges due to the intricacies of human collaboration, technological dependencies, and the complexities of urban ecologies. Yet as an artistic initiative, it significantly contributed to the urban renovation project of Haus der Statistik by using blockchain as a narration-building tool.

<p>Existing financial systems are bloated with inefficiencies in their operation, lack of transparency and are characterized by and fallible and fragile accumulation points, whereas emerging decentralized finance (DeFi) platforms lack intelligent risk management, self-adaptive governance and provable security assurances. This paper proposes the Intelligent, Verifiable Financial Ledger (IVFL), a novel framework that harmoniously converts both Artificial Intelligence (AI) and blockchain to counteract their core drawbacks. AI-based smart contracts of a formally verifiable character that allows the intelligent, secure and auditable automated execution of complex financial transactions an agile and informed governance system, which is represented by the use of AI enhancements to the Decentralized Autonomous Organization (DAO). Simulation analysis shows that the IVFL framework enables substantial enhancements compared to baseline models, such as detecting anomalies with over 95% accuracy, decreasing operational overhead by 40 percent and becoming less vulnerable to coordinated network attacks. Coming back to provable security and adaptive intelligence, the IVFL framework represents a credible way of creating financial systems.</p>

PurposeThis study explains the variation of government responses to the pandemic by focusing on how centralization/decentralization in politics and administration creates conflicts and coordination problems. Specifically, the authors make comparisons between the U.S. and South Korea to reveal differences in macro-level structures and associated responses. One of the key points of comparison is the centralized, hierarchical governance system, which may thwart or facilitate a coordinated response.Design/methodology/approachThis is an in-depth comparative case study of the two countries that showed different trajectories during the initial response to COVID-19. The comparison allows us to highlight the long-standing debate about centralization/decentralization and offers implications for government responses to crises shaped by political systems and administrative structures.FindingsWhile there are inherent pros and cons to decentralization, the COVID-19 pandemic highlights the institutional limitations in American federalism and the advantages that centralized administrative coordination creates during times of crisis. American federalism has unveiled systematic problems in coordination, along with the leadership crisis in polarized politics. The response from South Korea also reveals several issues in the administratively centralized and politically polarized environment.Research limitations/implicationsWhile the authors risk comparing apples and oranges, the variation unveils systematic contradictions in polarized politics and offers important implications for government responses in times of crisis. However, this article did not fully account for individual leadership as an independent factor that interacts with existing political/administrative institutions.Practical implicationsThere is certainly no one best way or one-size-fits-all solution to mitigating the COVID-19 pandemic in countries under different circumstances. This article demonstrates that one of the essential determining factors in national responses to the pandemic is how the political and administrative dimensions of centralization/decentralization are balanced against each other.Originality/valueUnlike previous studies explaining the country-level responses to COVID-19, this study focuses on the variance of political and administrative decentralization within each country from the political-administrative perspective and reveals the systematic contradictions in coordination and the leadership crisis in polarized politics.

Research on classical Islamic administrative systems tends to emphasize the centralization of caliphal power, yet insufficiently explores the complexity of center-periphery relations in governmental practice. This article analyzes the paradox between political centralization and administrative decentralization during the Umayyad Dynasty in Damascus (670-750 CE) to address gaps in Islamic political history literature. This qualitative research employs a library research approach. Although the Umayyad Dynasty's political system was characterized by absolute monarchy with power centralized in the caliph, governmental administrative practices demonstrated significant administrative decentralization. Provincial governments were granted autonomy to independently manage conquered territories as a response to the geographical and administrative complexities of the vast empire. These findings challenge conventional views regarding the complete centralization of Umayyad governance and contribute to understanding the evolution of Islamic proto-

Abstract. Interpersonal relationships provide insight into a wide range of adult psychological health behaviors and well-being. Modern advancements in relational contexts (e.g., social media and phone use) have caused debate about the implications of technology use on overall interpersonal relationships and psychological health. Thus, the Multicontextual Interpersonal Relations Scale (MIRS) was developed to measure three unique processes of interpersonal relations and four unique contexts in which these activities take place. In total, N = 962 adult participants (aged 18–78 years) were recruited from the United States through Amazon Mechanical Turk, an online recruitment tool. Confirmatory factor analyses (CFAs) were conducted to examine the hypothesized factor structure, and bivariate correlations were computed to assess concurrent validity. CFA results supported a model with three process and three context (specific) factors, where face-to-face relations served as the reference context factor. Bivariate correlations revealed that the interpersonal relations factors correlated with the related constructs in the hypothesized ways. Overall, strong standardized factor loadings, item-level reliability, concurrent validity, and internal consistency support the structure and use of the MIRS. Findings suggest that participation in interpersonal relations is a multicontextual construct, requiring measurement of all unique processes and relational contexts.

Fiscal and tax reform must first serve the overall interests. Its goal is not only to build a stable and strong national Finance, but also to effectively support inclusive and sustainable growth and the modernization of national governance in the whole process. Over the past 30 years and more, with the establishment and improvement of the socialist market economy system, China’s fiscal and taxation system reform has been promoted and deepened in an orderly manner, from “administrative decentralization” to “economic decentralization”.

Local Governments in Nigeria: Relevance and Effectiveness in Poverty Reduction and Economic Development

Dayton Peace Agreement (DPA) has resulted in asymmetric decentralization in Bosnia and Herzegovina (BiH) in all aspects: political, administrative and fiscal. Decentralization driven by non-economic reasons is rather usual concept, and often the main reasons are political, ethnical or overall country stability. Decentralization model implemented in BiH became huge obstacle not only in reaching efficiency in provision of public services, but also to further economic development. While the purpose of DPA was to stop armed conflict, and while valuable back in time, there is no excuse to keep these solutions for more than 20 years. This paper aims to provide deep insight into experience of selected comparative countries where non-economic reasons initiated decentralization. In addition, it aims to identify patterns and features of administrative, fiscal and political arrangements that perform better in the environment similar to BiH. Analysis of the experience in developed countries identified different models in organizing ethnically divided societies and establishing different forms of cooperation between sub-national government units to increase efficiency. Transitional countries experience shows mixed results in terms of positive effects of decentralization on overall efficiency and citizens' well-being, but there is valuable experience and number of features, which may improve municipal efficiency in BiH as well. Having in mind very limited literature focused on specific BiH context as well as the need to improve efficiency at local community level, this paper takes an important first step in this direction by providing a systematic review of decentralization design in countries that had similar challenges as BiH. The focus of comparative analysis is on the administrative decentralization (territorial organization and responsibility designation), political decentralization (addressing democratic principles) and fiscal independency. Paper has identified certain mechanisms that do not require any or require minor changes in core legislation introduced by DPA. These primarily include activation of cooperation mechanisms already allowed by law as well as improving system of revenue and grant allocation. Democratization still did not reached proper level as mechanisms introduced by DPA do not address rights of minorities, and this has to be changed. Improving municipal efficiency in BiH by applying experience of developed and transitional countries therefore may range from better cooperation according to the existing laws, to substantive changes of legislation.

Shared decision making (SDM) has been gaining an increasing appeal in providing patient-centered health care, which focuses on patients' needs and values and their active role in making health-related decisions. However, SDM remains difficult to measure because different conceptual definitions have been used in the literature, resulting in different operational definitions and measurement approaches. In addition, traditional measurement approaches, such as self-reports, can fail to capture the dynamic nature of the SDM process. In this paper, we propose using sensor-based measurement (i.e., using sensors to collect objective and automated data in real time) to examine the SDM process to overcome the measurement challenges inherent in more traditional measurement approaches. We also call for further discussion on the role and feasibility of using sensors in studying SDM. Using a few sensors as an example, we discuss benefits and challenges of sensor-based measurement in this area. (PsycInfo Database Record (c) 2021 APA, all rights reserved).

Violent intra-national conflicts tear nations apart and often destabilize their neighbors. Beyond human casualties, they are destructive of infrastructure, exhaust economic resources, militarize societies, and break down systems of civilian government. Civil wars are closely correlated with poverty (Collier in Development and conflict, 2004; Pinker in The better angels of our nature: the decline of violence in history and its causes. Penguin Group, London, 2011). Together they undermine already weak governments eroding capacity to govern, to collect revenues, to protect or provide public goods to citizens. The incapacity of failed states offers opportunity to local ‘big men’ or ‘warlords’ to fill spaces beyond government control and to challenge for power, at regional levels. Resource competition often sees mobilization around communal markers, hardening identity boundaries and reducing politics to a zero-sum game. Cycles of insurrection and repression undermine prospects of democratization. If poverty is associated with perceptions of institutionalized inequality in access to opportunity and resource distribution, the marginalized may lose trust in systems of law and government. Societal systems of negotiation exchange may be put in jeopardy in cycles of insurrection and repression. These then are the conditions that must be addressed in reconciliation processes. They are all matters for a development agenda.