# What is a Good DAO?

![](https://170525885-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FmEjrb5EUUdbkmZcdrgBp%2Fuploads%2FxhrEQ6tKj8qkw0Q3iJXE%2FCharity%203.0.png?alt=media\&token=372170b6-6693-4144-8d05-711d8655c94f)

Good DAO is a decentralized autonomouorganization based on "love". Anyone who has love in their hearts can participate in it once joined, they will be shareholders of the community. As long as they contribute to the community, they will be encouraged with the appreciation of tokens.

### (Interlude) <a href="#interlude-dont-start-a-charity" id="interlude-dont-start-a-charity"></a>

There are currently \~1.5 million registered nonprofits in the US *alone*, all competing for a dwindling pool of donors. Because of this, the charity sector should be consolidating, rather than multiplying and some of the best advice for aspiring founders is Don't Start a Charity, when helping an existing one would be a better use of scarce resources. Yet, the administrative burden on NGOs and nonprofits is so high (it can take up to three years to establish a charity in some countries) that without any competitive pressure, they are unlikely to forfeit their sunk costs or bear the additional costs of merging with another organization. Wholesale reform of the charity sector is highly unlikely, but projects like Elimu (and Unicef's Cryptofund) are exploring a new way of funding social-impact projects that can grow independently and deserves to be given a chance to succeed. That new way is to apply the market forces, crowd-wisdom and efficiency of crypto to non-profit organizations in the same way as for-profits, such that the most effective charities can flourish, while the unsuccessful ones are defunded and not allowed to become a drain on the rest.

> "*In fact, this is the main reason why we chose to use* blockchai&#x6E;*; We did try to register the organization in the traditional way, but all we ended up with was paying thousands of dollars in legal fees for preparing all the required documents, and then they told us we might have to wait 6 months for a response after submitting them. At that point it just got more and more obvious that we don't need anyone's permission to start an Internet-native organization, and we certainly don't need to waste time and resources on bureaucracy that should rather be invested into actual value creation for the beneficiaries.*" - **Knlca**

For these reasons of efficiency and reduced administration, Good DAO operates entirely as a DAO,In order to make Dao have healthy and sustainable financial support, we have been building a foundation for it in the early stage, and try our best to be self-sufficient rather than donation.It will cover gamefi, NFT, DAPP, decentralized auction.