Tally, a leader in chain governance tools, has obtained 8 million dollars in series A series funds aimed at developing its governance technology to more crypto-native decentralized organizations (DAO).
The tally is best known for the Tally protocol, which feeds the infrastructure to help the leading protocols to make effective governance on the channel of their DAO, notably Arbitrum, Uniswap Dao, Zksync, Wormhole, Eigenlayer, Obol and Hyperlan.
“We have built this full software battery for the operation of these chain organizations,” said Dennison Bertram, CEO and co-founder of Tally Protocol, in an interview with Coindesk. “We can take you from your idea to the launch of your token, to the distribution of your membership or your property, to the accumulated value of your protocol.”
The platform began as a DAO governance tool and has become the most adopted software battery for chain organizations through Ethereum and Solana blockchains, he said in a statement.
“Chain governance and capital training could, in theory, considerably reduce the complexity and cost of training and exploitation of organizations by fully moving these processes to software rather than traditional jurisdictions guided by platforms like Tally,” said Bertram.
One day, chain organizations could be considered as a means of competing with the nation states, he argued, referring to the expensive process and at high intensity of a lawyer for the registration of foundations and other legal entities generally used for the crypto.
“The one who kisses Crypto is perhaps really entirely adopted in the future,” he said.
Fix the voting rate for better governance
A problem that aims to solve with the financing of series A is the low participation of voters and apathy in DAO governance, which has led to sometimes controversial results.
Last year, for example, a group of compounddao tokens, called Golden Boys, managed a controversial proposal to create a product on the yield called GoldCcom.
Although initially obtained in the field, the proposal was faced with significant controversy due to perceived irregularities, low participation rate and a lack of generalized community engagement.
In the end, the Golden Boys agreed to cancel GoldComp, which highlighted the broader question of the apathy of governance within the DAO rather than in any technical exploit or malicious intention.
“Many people you should expect to vote” no “on something like that hasn’t arisen,” said Bertram in an anterior interview. “What he shows is that the democratic process of governing a DAO is imperfect and needs improvement.”
To remedy this, Tally has developed narration mechanisms designed to economically reward participants in active governance. Users can spring their governance tokens to receive tokens (TLST) (TLST), winning passive and compassionate passive yields while retaining voting rights within the DAO.
“This collection of funds really consists in looking at the original vision,” said Bertram. “Now that we have proven that it works, that you can have these major organizations, it’s time to really develop it.”
Institutions are involved in DAOs
Bertram also stressed that recent regulatory clarity and attitude changes towards cryptography governance in the United States opened the door to increased institutional participation in Daos.
“With this clarity, we will get much more participation, not necessarily holders of medium JOE token, but in fact large organizations which depend on the infrastructure on which they rely,” he said. “These organizations will need and will wish to govern the infrastructure on which they operate.”
In the end, Bertram considers the role of Tally as essential in the progression of decentralized governance and the unlocking of greater economic value for token holders by directly rewarding active and informed participants.
“Given the new acceptance of the crypto as a key engine of future value in America, it is time to overcome it beyond the crypto and to make it a main primitive to create new organizations,” he said.
The Tour was led by AppWorks and Blockchain Capital with Bitgo’s participation among others.
Tally previously raised $ 7.5 million in 2021 on two financing rounds.
