The Ultimate Guide to Deploying a DAO on the Circularity Finance Platform

Decentralized Autonomous Organizations (DAOs) are reshaping the way businesses operate by enabling decentralized governance, collaborative decision-making, and innovative funding structures. With Circularity Finance, deploying a DAO has never been easier, thanks to our no-code DAO Genesis tool.

In this guide, we’ll walk you through every step of deploying a DAO on the Circularity Finance platform.

To get started, visit: www.circularity.finance

Step 1: Complete Your KYC on the CIFI Platform

The first step toward deploying your DAO is to perform Know Your Customer (KYC) verification. This process connects the ultimate authority of your business to the wallet you’ll use to create your DAO. Completing your KYC also grants you access to purchase various digital assets on the Circularity Finance platform, including:

• VIP NFTs
• DAO NFTs
• Other available tokens

By verifying your identity, you’re laying the groundwork for seamless participation in the Circularity Finance ecosystem.

Step 2: Establish an On-Chain Entity

To formally structure your DAO, create an on-chain entity using OtoCo.io. This step ensures that your DAO has a legally recognized framework, legal documentation needed to operate on the blockchain and also incredible tools to help you scale your on-chain efficiency, bringing an added layer of accountability and governance to your organization.

Step 3: Register Your On-Chain Company on Circularity Finance

Using the wallet linked to your on-chain entity, register your company on the Circularity Finance platform. Once your company is registered, you’ll receive a KYB NFT, which gives your wallet the rights to deploy digital assets on the platform. This includes accessing our no-code tools for smart contract deployment on the XDC network, ensuring a smooth path to decentralization.

Step 4: Deploying Your DAO with the DAO GENESIS Tool

Once your KYC and KYB are complete, it’s time to deploy your DAO using the DAO GENESIS tool, a decentralized no-code solution for on-chain fund management. The cost? Just 1 XDC!

Here’s a step-by-step breakdown of how to deploy your DAO:

a. Describe Your DAO

• Name your DAO
• Write a description that encapsulates its mission

b. Establish Company Shareholder Emails

• Choose between having a single owner or multiple owners. This configuration will define how your DAO is governed.

c. Configure Your DAO Membership NFT Collection

• Name your NFT collection and assign a symbol
• Upload a relevant image and set the base URI
• Choose the token you’ll use to sell the NFTs (e.g., CIFI, XDC)
• Set the price per NFT, total supply, and a description

d. Set Up Governance Rules

• You can configure whether governance is run by a single owner (where NFT holders vote on proposals made by one individual) or by multiple shareholders (where NFT holders vote on proposals made by shareholders).

e. Whitelist Shareholder Wallets

• Add wallet addresses that can propose actions or initiatives to the DAO. This ensures controlled and accountable decision-making.

f. Create DAO Token

• Name your DAO token and assign a symbol
• Upload an image, specify the total token supply, and write a description

Step 5: Save Your DAO Details

Once your DAO is deployed, be sure to securely store your DAO’s information, including wallet addresses, governance details, and smart contract data. This will ensure that you have access to the DAO whenever needed.

Step 6: Making a DAO Proposal

After your DAO is deployed, one of the key functions is making and managing proposals. These proposals outline actions, investments, or decisions that require collective approval from the DAO members.

To create a DAO proposal, follow these steps:

1. Proposal Title: Provide a concise and clear title for the proposal that explains the action.
2. Description: Write a detailed description of what the proposal entails, including any benefits, risks, or considerations for DAO members.
3. Voting Requirements: Set the voting threshold, specifying what percentage of DAO members must vote “Yes” for the proposal to pass.
4. Expiration Date: Define the time limit for the proposal to stay open for voting. This encourages timely participation and ensures the DAO moves forward efficiently.
5. Associated Wallet: If funds or assets are required to execute the proposal, indicate the wallet address where these assets should be transferred once the proposal is approved.

With this structure, your DAO can streamline decision-making and ensure every proposal follows a clear and transparent process.

Step 7: Managing Funds for DAO Proposals

In cases where a DAO proposal requires funds to manage wealth or execute specific actions, the DAO can deposit capital into a designated wallet.

Here’s how to handle this:

1. Designate a Treasury Wallet: Choose a wallet that will be responsible for holding and disbursing the funds tied to the proposal.
2. Deposit Liquidity Upfront: Depending on the proposal, the DAO may choose to deposit liquidity upfront, ensuring that funds are readily available once the proposal is approved. This liquidity can be allocated for tasks such as acquiring assets, managing operations, or investing in projects.
3. Fund Release Upon Consensus: Once the proposal meets the voting threshold and is approved, the DAO can release the capital from the treasury wallet. This capital can be allocated toward the project, investment, or business activity that the DAO has collectively agreed on.

This approach ensures transparent, decentralized fund management where every action is agreed upon by the community.

Step 8: Engaging Your Community with Proposal Information

The success of a DAO is largely dependent on active community engagement. To ensure maximum participation in proposals, follow these steps:

1. Share the Proposal: Communicate details of the proposal across all your social media channels, newsletters, and DAO forums.
2. Highlight the Expiration Date: Remind your community of the expiration date for the proposal to create a sense of urgency and encourage timely voting.
3. Engage Your Community: The more votes you gather, the stronger the community’s sense of ownership. Depending on the proposal, the percentage of votes required to pass can vary. Be transparent about the voting rules and the required quorum to move the capital or enact changes.

Use Case for the DAO GENESIS Tool: Fund Management for Family Offices or VCs

One of the powerful use cases for the DAO Genesis tool is fund management for family offices or venture capital firms. These groups can lock up capital in the DAO’s treasury, ensuring that funds are only released when a collective consensus is reached through a decentralized, on-chain proposal process.

This enables a transparent and secure method of managing wealth and investments, reducing risk while allowing for strategic deployment of capital based on the decisions of the DAO members.

Boosting Your DAO

After launching your DAO, it’s time to enhance its growth and utility. Here are two powerful methods to boost your DAO:

1. Create Revenue-Generating Applications

Tie your DAO’s treasury to revenue-generating applications. As these applications grow, so does the profit driven into your DAO, supporting collective growth and sustainable development.

2. Set Up Staking Rewards for NFT Members

Utilize the CIFI Microeconomy platform to set up staking rewards for DAO members. Simply visit the “Micro-Economy” tab and select “Create Stake Generation.” Offering staking rewards in your DAO token will incentivize engagement and loyalty within your community.

This staking method essentially allows you to offer “Loyalty Points” to your DAO members. Members who join your DAO and share liquidity can receive long-term yield in exchange for their support.

Grow and Customize Your DAO

Each DAO on the Circularity Finance platform can evolve based on its unique business model. Whether you’re in fintech, regenerative finance, or any other sector, our tools allow for complete customization and innovation.

CIFI provides companies with a suite of protocols that can be purchased or subscribed to as part of a yearly whitelabel solution. This means businesses can customize these protocols under their brand and use them to build a variety of on-chain revenue-generating applications.

By tying the growth and profitability of these applications back to the DAO’s treasury, you ensure that the financial benefits directly support your DAO’s collective goals.

Here are a few ways companies can generate revenue using CIFI’s solutions:

Tokenized Asset Platforms
Companies can create platforms that tokenize real-world assets, such as trade finance documents, carbon credits, or physical commodities like gold. By offering tokenized assets, businesses provide liquidity providers the opportunity to engage in financing these assets, creating yield-bearing opportunities that funnel profits back into the DAO.

DeFi Lending Protocols
CIFI’s white-label lending protocols allow companies to launch their own decentralized lending platforms. These platforms enable users to lend and borrow assets using smart contracts, with fees from interest payments and platform transactions flowing into the DAO’s treasury.

NFT Marketplaces
Build a decentralized marketplace where users can mint, buy, sell, and trade NFTs. The marketplace can be set up to collect transaction fees, royalties, or listing fees, which then get funneled back into your DAO for redistribution to your community or reinvestment in further development.

Staking Platforms and Yield Farming
Launch staking and yield farming platforms that reward users for staking their tokens in liquidity pools. These platforms not only generate fees but also increase liquidity for the DAO’s token, improving its value and circulation.

Regenerative Finance Applications
For companies focusing on environmental sustainability, CIFI provides access to regenerative finance protocols. These allow businesses to create applications that issue carbon credits or fund eco-friendly projects. As more companies and investors look for sustainable investments, these platforms can generate significant profits that are tied to the DAO’s treasury.

By leveraging these protocols, companies can quickly deploy revenue-generating applications without needing to build them from scratch. The scalability of these white-label solutions allows businesses to easily integrate them into their existing operations, enabling seamless expansion of their on-chain activities.

These revenue-generating solutions not only increase profits but also empower DAOs to reinvest in their ecosystem, fund future projects, and support their community — all while maintaining transparency and decentralized control. Whether your DAO operates in trade finance, regenerative finance, or other sectors, these applications offer a sustainable path to growth.

Ready to Deploy Your DAO?

Deploying a DAO on Circularity Finance is quick, affordable, and scalable. If you’re ready to launch your own DAO with expert support from our team, book a call with us today and get started on your decentralized journey!

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