This chapter examines Decentralised Autonomous Organisations (DAOs) through the lens of digital vulnerability. Functioning as ‘blockchain-based entities governed by code’ rather than traditional legal structures, DAOs offer new paradigms of transparency, participation, governance, and automation. However, they also give rise to complex and evolving forms of vulnerability that are architectural, data-driven, and relational in nature. This chapter explores the concept of digital vulnerability within DAOs, highlighting how their architectural, legal, and relational structures expose participants to novel risks. While DAOs promise transparency and decentralised governance, their reliance on pseudonymity, immutable code, and limited legal recognition creates systemic asymmetries and accountability gaps. The chapter proposes a multi-dimensional framework for addressing these vulnerabilities, including on-chain governance design, legal recognition mechanisms, and ethical data practices. It argues that mitigating digital vulnerability is essential for ensuring the legitimacy and resilience of DAOs in an increasingly decentralised digital economy.

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Decentralised Autonomous Organisations and Digital Vulnerability: Remedial Approaches in a Digital Era

  • Pınar Çağlayan Aksoy

摘要

This chapter examines Decentralised Autonomous Organisations (DAOs) through the lens of digital vulnerability. Functioning as ‘blockchain-based entities governed by code’ rather than traditional legal structures, DAOs offer new paradigms of transparency, participation, governance, and automation. However, they also give rise to complex and evolving forms of vulnerability that are architectural, data-driven, and relational in nature. This chapter explores the concept of digital vulnerability within DAOs, highlighting how their architectural, legal, and relational structures expose participants to novel risks. While DAOs promise transparency and decentralised governance, their reliance on pseudonymity, immutable code, and limited legal recognition creates systemic asymmetries and accountability gaps. The chapter proposes a multi-dimensional framework for addressing these vulnerabilities, including on-chain governance design, legal recognition mechanisms, and ethical data practices. It argues that mitigating digital vulnerability is essential for ensuring the legitimacy and resilience of DAOs in an increasingly decentralised digital economy.