Nature journal highlights how DAOs can assist researchers in securing funding and building community.

The Nature science journal has recently released an editorial in its Nature Bioscience section praising decentralized autonomous organizations (DAOs) as an innovative approach that enables researchers in underfunded scientific disciplines to build communities around their work and secure funding that might otherwise be inaccessible.

In a research framework utilizing DAOs, the organization, fundraising, feedback, and progression from discovery to product or industry can all be managed by the same decentralized governing entity.

According to the Nature article, the overall workflow would also be more efficient compared to traditional methods:

“Project proposals are submitted to the DAO, and each member has the ability to vote on whether a specific project should receive funding. Members possess tokens … to offer support and feedback on new project proposals. Research outcomes are also reported to the DAO as projects advance, resulting in additional feedback and engagement. Ultimately, the project will (ideally) culminate in an IP-NFT (intellectual property non-fungible token) — akin to a patent, which is owned by the DAO and governed by all token holders.”

Funding can fluctuate significantly between different scientific projects. During periods of economic growth and decline, research in fields such as AI and quantum computing may receive substantial support from major tech companies, government entities, and subsequent investors, while areas that may have previously enjoyed ample funding, like longevity, or those that have historically been underfunded, such as women’s health issues, may struggle to obtain necessary financial resources.

DAOs are constructed on blockchain technology, enabling them to operate on a transparent and decentralized digital ledger — meaning they are not controlled by a single entity or institution. In the realm of science, this implies that project funding and community engagement can be democratized.

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Historically, scientists affiliated with the most esteemed institutions — leading universities in high GDP countries, government agencies and contractors, as well as large tech and pharmaceutical firms — not only receive the most funding but also have access to the greatest potential funding sources.

This distinction is significant because, as scientists migrate from regions with limited funding to pursue research in more affluent areas, the “brain drain” associated with emigration is exacerbated.

Moreover, since DAOs do not necessarily have to adhere to geographical boundaries (although the legal frameworks governing their operations may differ by location), they can be directed by the needs and preferences of the researchers conducting the work, rather than the country, university, or corporation providing sponsorship.

Ultimately, the editorial team at Nature concludes that DAOs could serve as a vital platform for researchers facing funding challenges, but their adoption will necessitate additional education.

“Part of this challenge is assisting potential members in understanding that the DAO is not merely a funding entity,” the team states, “but also a community of individuals who are deeply committed to supporting a specific scientific cause.”