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FOR 5000 years, humans have grown accustomed to living in societies dominated by the privileged few. But it wasn't always this way. For tens of thousands of years, egalitarian hunter-gatherer societies were widespread. And as a large body of anthropological research shows, long before we organised ourselves into hierarchies of wealth, social status and power, these groups rigorously enforced norms that prevented any individual or group from acquiring more status, authority or resources than others.*

How, then, did we arrive in the age of institutionalised inequality? That has been debated for centuries. Philosopher Jean-Jacques Rousseau reasoned in 1754 that inequality was rooted in the introduction of private property. In the mid-19th century, Karl Marx and Friedrich Engels focused on capitalism and its relation to class struggle. By the late 19th century, social Darwinists claimed that a society split along class lines reflected the natural order of things - as British philosopher Herbert Spencer put it, "the survival of the fittest". (Even into the 1980s there were some anthropologists who held this to be true - arguing that dictators' success was purely Darwinian, providing estimates of the large numbers of offspring sired by the rulers of various despotic societies as support.)

But by the mid-20th century a new theory began to dominate. Anthropologists including Julian Steward, Leslie White and Robert Carneiro offered slightly different versions of the following story: population growth meant we needed more food, so we turned to agriculture, which led to surplus and the need for managers and specialised roles, which in turn led to corresponding social classes.

The general concept of a "decentralized autonomous organization" is that of a virtual entity that has a certain set of members or shareholders which, perhaps with a 67% majority, have the right to spend the entity's funds and modify its code. The members would collectively decide on how the organization should allocate its funds. Methods for allocating a DAO's funds could range from bounties, salaries to even more exotic mechanisms such as an internal currency to reward work. This essentially replicates the legal trappings of a traditional company or nonprofit but using only cryptographic blockchain technology for enforcement. So far much of the talk around DAOs has been around the "capitalist" model of a "decentralized autonomous corporation" (DAC) with dividend-receiving shareholders and tradable shared; an alternative, perhaps described as a "decentralized autonomous community", would have all members have an equal share in the decision making and require 67% of existing members to agree to add or remove a member. The requirement that one person can only have one membership would then need to be enforced collectively by the group.

Note that the design relies on the randomness of addresses and hashes for data integrity; the contract will likely get corrupted in some fashion after about 2^128 uses

This implements the "egalitarian" DAO model where members have equal shares. One can easily extend it to a shareholder model by also storing how many shares each owner holds and providing a simple way to transfer shares.