"Decentralized Autonomous Organizations, or DAOs, are blockchain groups that are supposed to be democratic. They are the part of web3 that gets people very excited: They can, boosters say, replace corporate structures and create a system where people have votes according to how much work they put into the DAO.
"This sounds OK in theory, but a group called Build Finance DAO just suffered a coup in which one person amassed enough tokens to get a vote passed, then voted to give themselves full control of the DAO, then, using this power, took all of the money. In a sense, the DAO did replace a corporate activity with its own version: the hostile takeover.