Integrity of Managers

Managers of a DAO must have integrity and accountability.

In configuring the plug-and-play units, all decisions made by the Board are transparent to the entire DAO, especially with regard to the qualification, integrity, and compliance requirement (if needed) of the Managers appointed to the various Committees.

It’s up to the organization to decide what level, or type, of verifications to be imposed on the Managers, and this can be seen clearly in the following example:

A DAO’s Treasury is responsible for safekeeping the raised capital, meta token allocations, and operational revenues, with the appointed Treasury Managers in charge of setting up payment schedules, signing them off, auditing, etc. These managers are unlikely to be required by regulations, but they may be required to possess certain qualities required by the institutional investors to detect “rug-pulls” and misappropriation.

Meanwhile, the same DAO’s Investment Committee is in charge of managing numerous different investment funds with separately appointed Investment Managers. These managers are very likely to be required to hold particular licenses to be regulatorily compliant.

The concept of plug-and-play applies conveniently here, again. The Governance Module provides the necessary tooling for the need of such flexibility of configuration, and it does not reinvent the wheel. At least three levels of verification are supported, with different degrees of strictness.

• Social media account. This is the bare minimum of verification imposed on any Manager to make sure that a social identity is known to a community that communicates on certain social media platforms such as a Twitter or Discord account. This facility is provided by the INK Governance Module.

• Biometric identity. This level of verification not only can be imposed on a Manager role but also can be usefully applied to the entire community of the DAO. The idea is to assure the integrity of one-person-one-wallet, or to give the DAO a convenient way of implementing what a Web2 system considers as a user login. No violation of privacy, as well as the implementation in decentralization, must be assured with this method.

• Legal identity. This is certainly the most strict verification, which can also be used for both the Manager roles (required license, etc.) and for members (KYC in assessment management).

The infrastructure of INK Governance Module allows for further expansion of identity verification schemes to include various Web3 DID solutions such as animated avatars, which are rapidly gaining popularity.