# DAO Governance

### What is DAO? <a href="#id-716953a5-1f6a-4360-8cee-9686723f9f73" id="id-716953a5-1f6a-4360-8cee-9686723f9f73"></a>

In the decentralized world of [blockchain](https://www.coindesk.com/learn/what-is-blockchain-technology/), projects are often looking for ways to distribute a greater amount of power and responsibility to their users. But in order for that to work, they need to employ a method that guarantees only users who are seriously committed to the success of the project participate in it.

One way to achieve that is to create a special type of collectively managed organization known as a decentralized autonomous organization ([DAO](https://www.coindesk.com/learn/what-is-a-dao/)) and require participants to invest their own money in exchange for voting powers to ensure they all act honestly and the DAO prevails. Usually, under this setup, those who invest more money have greater voting power over those who don’t.

A type of utility token known as a "governance token" is then issued to users to represent each person's stake in the DAO.

Distributing control among stakeholders in this way is called “on-chain governance.” The powers denoted by the governance tokens may include traditional management roles and the authority to change the project’s protocol, i.e. its foundation in code. Sometimes users’ votes are weighted proportionally to the size of their holdings of the governance token.

### DAO in Zomland <a href="#id-0dd724d7-be59-415a-92d5-d28449b51728" id="id-0dd724d7-be59-415a-92d5-d28449b51728"></a>

The base of the Zomland desires to make a collectible NFT game that is open, transparent, and governed by the community. Here we outline the mechanism of how the community of ZMD holders will govern and maintain the protocol, via the DAO Governance, and what types of changes can be proposed.

With ZMD, one can create and vote on governance proposals. Community members can spend tokens to directly influence the direction and characteristics of a protocol. It is possible to:

* Vote for different fees
* Implement UI changes
* Change fee reward distribution
