MolochDAO

MolochDAO is a decentralized autonomous organization on the Ethereum blockchain formed in 2019 to fund public goods within the Ethereum ecosystem. Its aim was to accelerate development by pooling funds from members and directing grants to projects such as core infrastructure, tooling, and research that benefit the broader community.

The DAO operates with a minimal governance model designed to reduce complexity and risk. Members contribute ether to the treasury and obtain on-chain membership. To submit a proposal, a deposit is required; if the proposal passes, the deposit is returned, while a rejected proposal results in the deposit being forfeited. Members vote on proposals, and a majority is needed for approval. A key feature is the ragequit mechanism, which allows any member to exit by burning their membership and receiving a pro-rata share of the treasury, providing an exit option if opinions diverge from the funded initiatives.

MolochDAO’s design emphasizes simplicity, security, and focus on funding public goods rather than token-based governance. It operates without a native voting token; instead, governance is tied to on-chain membership derived from ETH contributions. This approach has influenced subsequent experiments in the DAO ecosystem, particularly grant-focused and infrastructure-funding models.

In 2020, a revised version known as Moloch v2 emerged to improve scalability and flexibility while preserving the core principles of the original design. The Moloch approach has contributed to a broader conversation about efficient, low-friction governance in decentralized organizations.