Hello, in this lesson we are going to cover d A O's, which stands for decentralized autonomous organizations. I'm creating this video in November 2017. They aren't very popular at the moment, but I'm absolutely certain that these are going to take the world by storm in terms of their blockchain use cases. So, first of all, let us cover one organization is this is laid down that an organization and org auga minimization is a group of people working towards a common Go and or interest, usually and this organization, so this set of people, it's group of people, they follow certain rules. They don't just, you know, blindly do what they want, you follow certain rules set in place by the government that it operates within that it operates within So, there are certain laws so we might be something as simple as minimum wage or having to pay your employees no less than a certain amount, the number of hours an employee can work, the sort of business that you can actually offer operate at certain operations or illegal or maybe you have to have certain clearance or certain level of sort of, I would say certain sort of barriers that you have to pass before you can get into certain industries.

And it's also the rules of an organization not rules of another organization are written written in bylaws or the memo, random and articles articles of association these may vary in terms of Then name by country. So if you're not really familiar with these terms, then feel free to do with them with your country name. And you will be able to find out what they're called in your country. And then you'll be fully aware of what this is essentially just something that you create when you register a company. When you first create a company, we structure it, and it's just the rules do what the organization intends to do and how it intends to do it. Oh, do I do a AO is just a digital version of this.

Morphing can Okay, so that mean it's just basically a like a Google Doc they can access? Not quite. There's already digital versions of rules of an organization where the bylaws are amended Memorandum of articles of association or a digital version that you can access online, but this digital version if written and source code to auto map automatically execute commands based on conditions based on condition. So instead of having human interaction, when there say a customer was to put some information in or input a certain command within your organization within your for a platform, it's automatically handled from start to finish and it's executed It's executed not just from one central system, because again it is decentralized through missing the H can based algorithms, so it's executed through consent consensus based algorithms. And if you want to be very specific about it, which is a good thing to be Bitcoin and other cryptocurrencies such as e fa or technically do, they are technically D O's and they do because, yes, there is some centralization as I've covered in my sort of blockchain and cryptocurrencies videos, feel free to check them out.

In the form of exchanges and certain wallet, but if you don't have to use the system, let's make it easier for the user. If you go through the true role, nature of the fake Bitcoin, then it is fully automated. There is no person that really hand handles anything cases or completely done in terms of checking in terms of transfer, in terms of being able to use it. So there's already two decentralized autonomous organizations out there, but the details that really excite me, beyond sort of these cryptocurrencies or use cases for stuff like BMB, Uber and other services like eBay, especially a b&b and Uber and the winner This really excites me is because something like Airbnb, or Uber could be fully automated. And there's been analysts that have studied it. And they have said that you would actually be more effective in terms of cost.

And in terms of just the general sort of logistics of it. If it was fully automated, obviously, then you know, a single company can make a huge sum of money and pay their shareholders. So that's reason why some companies don't want something like a decentralized autonomous, autonomous organization. Let's think about it in the case of Uber, for example. So we Uber, I want to get an Uber which is essentially just like a taxi. So I go my phone, I go on my phone, I launch an app.

And then on the app, I say that I want like a car or a taxi. So a vehicle picks me up vehicle picks me up, I get dropped off, I hope I get dropped off hope I don't get kidnapped, I get dropped off at my destination, I can leave a review I can leave, leave a review as can the actual driver and also it's reversed payment is done via the via Uber, I don't pay the driver in cash or in teddy bears or cookies or anything like that. And when you think about it, the main part which is essentially this this is really the four sides of it. The other side is is human interactions. So this side of it can be automated. So in turn When I say the vehicle picking me up, I mean more alerting vehicle.

If I were to go onto the app, it could detect my location, he could have a general list of prices and that could be based on factors of the economy where I am. So it's automatically calculated just based on several different indexes that just measure how an economy is going and where I'm going and the sort of Uber vehicle there are I'm using, and then you could say, okay, you'll be hearing from 10 minute context, the Uber driver, again, still all automated Uber driver comes to me, picks me up. Once I'm dropped off the review side, once I put it in, the actual processing of it, that could be all automated, which a lot of it actually already is. And then payment could be automated as well through smart contracts and a cryptocurrency based system. So you could have all of this just automated with Eitan intermediary for checking.

And you could even automate, you could even automate the driving with self driving cars just on the horizon now is over the horizon. This is definitely a possibility. So this entire thing could be a now that was a terrible arrow, A, D, and O. So that's where a decentralized autonomous autonomous organization is. One thing I actually do want to call a one more thing, if that might sound like de AO, those are new and they're just out of nowhere. And they're not really because if you think about housing It has evolved in terms of economics and production and distribution, labor, all of that stuff.

It's been slowly going from, you know, an individual doing everything in terms of hunting and gathering and building their own homes and doing all that stuff to become in a bit more, almost autonomous, still with human instinct with a lot of humans, but not having to build my own tools. Somebody else does that. So I only handle certain aspects. And then eventually getting societies where they actually have machines. And then then then there's stuff like the printing press, and then there's like the mills where there was creating cotton and creating clove in and that was all just automated and now with computers. So even before even before blockchain we were slowly going towards a decentralized autonomous organization or ISIS, they all say a decentralized autonomous society.

So a deaf, I hope. Hopefully this term gets picked up by economists a dirty work would be cool if it did. So a decentralized autonomous society is what we're going towards. Anyway. So that's just some food for for Think about that. If you have any questions, feel free to reach out.

And as usual, thanks for watching, and I look forward to seeing you in my next lesson.