Colony Review

Actually, Colony started in April 2015 as a social collaboration platform, then in 2016 they tokenized it by using Ethereum – each ‘colony’ (team) has its own token. The more tokens they hold, the more of the colony they own. Users competed for tokens by doing work, then tokens could be traded on the open market for fiat.

Colonies are free to create, and there are no monthly subscription fees, gas costs are also covered.

Colony membership

  • Domains to group activities – f.e., Engineering, Marketing, etc.
  • Colony = DAO

Colony's Functionality

  • Roles management
  • Stakes management
  • Payments to skilled members (skill system and payments for tasks)
  • Multipot system (different pots for funding, staking, tasks rewards, etc)
  • Task management and tracking
  • Creating own ERC20 token (one per colony)

The Metacolony is the DAO that builds, maintains, and supports the Colony ecosystem. $CLNY is the native token of the Metacolony. Every colony has its own native token. Payment in a colony’s native token confers reputation in the team from which it was received.

As stated, Colony promise is “Zero to DAO in 90 seconds” – easy flow to create a DAO.

Also, Colony has NFT Drop, associated with the launch of the Colony Dapp, and consists of 5 items.

Colony integrating Metatransactions so end users don’t have to pay gas fees. Simply create a Colony (DAO) with Metamask, and use Colony on xDai without paying gas.

Colony treasury

$CLNY is required for:

  • Metacolony governance staking
  • Revenue sharing – accounts with both CLNY & Reputation in the Metacolony may be eligible to claim a share of Metacolony revenue.
  • Reputation mining
  • Fee auctions – fees denominated in tokens other than USDT, USDC, XDAI and WETH are auctioned for CLNY, which is burned.

Colony budget model

Virtually everything in Colony is free.

Colonies are free to create, and there are no monthly subscription fees. Gas costs are covered.

The only place where there is a small fee is when funds exit the Colony. E.g. when someone gets paid. Right now, that fee is as low as it can technically be: 1 Wei. (i.e. 0.000000000000000001)

In the future, the Metacolony, a DAO will decide what network fee they believe is appropriate.

Pricing

  • Colony integrating Metatransactions so end users don’t have to pay gas fees. Simply create a Colony (DAO) with Metamask, and use Colony on xDai without paying gas.
  • Virtually everything in Colony is free. Colonies are free to create, and there are no monthly subscription fees. Even your gas costs are covered. The only place where there is a small fee, is when funds exit the Colony. E.g. when someone gets paid. Right now, that fee is as low as it can technically be: 1 Wei. (i.e. 0.000000000000000001). In the future, the Metacolony, a DAO made of the users of the Colony Network, will decide what network fee you believe is appropriate.

Summary

Colony is Beta software. It differs from other DAOs with its flow as there is no mandatory voting for each action or decision. In Colony, DAOs are task-driven, which means tasks are published, and members accept them for a payout. It’s still early so a lot of the DAOs created so far don’t have much activity without The Metacolony leading the way in building new resources, creating new avenues for contribution, and proving the Colony model.