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What Are the Primary Differences between a DAO and a Traditional Corporation?

DAOs are flat, transparent, and governed by member votes on a blockchain; corporations are hierarchical, private, and run by executives.
Greeks.Live05.11.25

What Are the Primary Differences between a DAO and a Traditional Corporation?

The primary difference lies in their structure and governance. Traditional corporations are hierarchical with centralized leadership (e.g. a CEO and board), while DAOs are flat and decentralized, managed by their members.

Decisions in corporations are made by executives, whereas in a DAO, decisions are made collectively through member voting. Operationally, DAOs run on transparent blockchains with rules enforced by smart contracts, unlike corporations which rely on legal contracts and private ledgers.

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What Is the Risk to the Clearing House If a Member Fails to Pay Variation Margin?
What Is the Role of a Default Fund in a CCP Structure?

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