3.1 Role-Specific Governance Challenges

Despite the promise of decentralized governance, different user groups face significant obstacles when interacting with traditional DAO systems. Below is a breakdown of the key pain points faced by core stakeholders in governance.

1. Developers & Project Teams

• Low Voter Turnout Reduces Decentralization: Traditional DAO platforms often experience poor participation, making it difficult to represent the true voice of the community.

• High Development Overhead: Building a custom governance system from scratch demands significant technical and financial resources.

• Inefficient Community Insight Gathering: Core teams must spend excessive time manually observing discussions, feedback, or sentiment across fragmented channels.

2. Community Users

• High Participation Barriers: Most users desire one-click, low-friction governance participation — something not supported by current platforms.

• No Real Incentive to Participate: When governance rights aren’t linked to income or utility, retail users lack motivation to engage.

• Lack of Proposal Clarity: Without decision-support tools or outcome simulators, users are unable to understand the real impact of proposals.

• Perceived Centralization: Users expect fairness, transparency, and meaningful decentralization which is often missing in current governance setups.

3. Proposers

• No Historical Data Access: Proposers lack automated tools to review historical voting patterns, sentiment, or proposal performance.

• Manual Decision-Making is Inefficient: Without data visualizations and smart insights, proposers are forced to rely on guesswork or fragmented feedback.

4. Institutions & Compliance-Focused Entities

• Regulatory Governance is Difficult to Implement: For KYC-compliant governance, traceability and clear process frameworks are essential yet traditional platforms lack structured oversight tools.

• High Operational Costs for Oversight: Ensuring proposal compliance manually requires significant human effort and ongoing monitoring.

5. Innovative, Multi-Chain Project Models

• Single-Chain Platforms Fall Short: Projects that span across multiple chains or ecosystems cannot rely on traditional governance platforms built for isolated environments.

• Joint Governance Across Projects is Infeasible: When multiple projects or sub-DAOs are interconnected, legacy platforms lack the flexibility to support distributed, multi-party governance effectively.