Inside Aragon’s Bold Bet on the Future of Decentralized Power

by
Victoria d’Este

Printed: November 21, 2025 at 2:39 pm Up to date: November 21, 2025 at 2:40 pm

by Ana

Edited and fact-checked:
November 21, 2025 at 2:39 pm

To enhance your local-language expertise, typically we make use of an auto-translation plugin. Please notice auto-translation might not be correct, so learn unique article for exact data.

Few leaders have seen the event of DAOs from as many angles as Anthony Leutenegger, from early experimentation to steering one of many ecosystem’s most influential governance initiatives. On this interview, the Aragon CEO displays on how decentralized governance is maturing in 2025, why the following wave of DAOs will look nothing like their predecessors, and what it actually takes to construct resilient, clear decision-making techniques at scale.

Anthony, might you share your journey into Web3?

I’ve been working at Aragon for 4 and a half years. I joined crypto as a result of I discovered this nice challenge that was once a subsidiary of Aragon referred to as Vocdoni, they usually had been constructing a blockchain-based voting protocol. Its purpose was ultimately to have nation-states operating incorruptible elections. 

I assumed, what an unimaginable and excellent use case for blockchain know-how. We’re in a world and business the place there’s lots of hypothesis and cash flowing round, and people are legit use circumstances, however having the ability to have incorruptible elections might remedy a plethora of world issues.

That’s why I utilized for a job at Vocdoni. I ultimately moved into the Aragon challenge, which owned Vocdoni on the time and targeted extra on governance, capital distribution, and token economics at a a lot larger degree than simply voting. I later took over the corporate, and now issues are going nice.

Might you give us an summary of Aragon’s present mission and the way it has advanced over the previous couple of years?

Yeah, our present mission has undoubtedly advanced over the previous few years. It was once about permitting organizations to experiment with governance on the velocity of software program. The purpose was that you could possibly have selections executed with out trusted intermediaries. It’s the identical as making a fee on a blockchain; you take away the middleman. With blockchain know-how, we are able to take away intermediaries from executing an motion. Within the conventional world, folks vote or take part, however actions normally require others to execute them.

Now, selections, whether or not it’s transferring funds, upgrading code, or granting entry, could be made by a bigger group of individuals with out anybody within the center. It turns into very censorship-resistant. It’s the primary time in historical past we are able to do that as a result of we abide by the code as legislation.

That was Aragon’s previous mission, and we nonetheless work closely in governance. We nonetheless enable organizations to construct their access-control mechanisms for the way they govern their code base. For instance, when Lido desires to improve its code, they do it on Aragon’s sensible contracts. We safe their code base. If Katana desires to maneuver cash on the brand new Polygon challenge, that’s the identical factor.

Now we’ve expanded into tokenomics. We assist initiatives in constructing their very own governance techniques, tokenomic techniques, and progress flywheels. Our mission is far broader at this time.

In your view, what are the important thing differentiators of Aragon’s governance framework in comparison with different DAO tooling or platforms?

Yeah, we undoubtedly have the most recent modular mannequin. We separate the vault and core permissions from the governance methodologies, and anybody can set up these methodologies or plugins to attain what they need. For instance, if you would like a governance sort that isn’t token-based voting, you’ll be able to set up the multisig plugin or the digital identification plugin.

You may even set up a number of plugins on the identical time, permitting totally different teams, perhaps a multisig and token holders, to manipulate collectively. It’s extremely customizable, upgradable, and at all times includes tokenomics. Tokens drive virtually all the things in our business, so with the Aragon stack, you’ll be able to create lockers, stakers, and mechanisms for locking, staking, and capital distribution. It’s modular, customizable, and future-proof.

What’s the strategic significance of modular governance contracts, for instance, plugins for scaling organizations over time?

Yeah, it’s tremendous vital. Main initiatives wish to alter governance and capital flows extra simply, however many can’t do it safely as a result of they’re caught with previous, heavy, library-based contracts. Making issues modular permits simpler changes. Upgrading turns into so simple as uninstalling and putting in a brand new plugin, which is only a small a part of the code base.

You may improve from multisig to token-holder voting as you decentralize over time. You may add staking mechanisms for token holders to regulate capital flows. It makes governance safer, extra customizable, and extra future-proof. It’s unquestionably a greater system.

What are a very powerful coverage or regulatory developments you see that may have an effect on on-chain organizations within the subsequent 12 to 24 months?

Yeah, that’s an incredible query. What we’re seeing, particularly from the US and from what companies like a16z are discussing, is that on-chain possession or on-chain management will turn into a very powerful parameter defining decentralization. It received’t essentially appear like the previous DAO mannequin the place everybody votes on all the things. 

It is going to concentrate on a smaller floor space of management, however that management should be decentralized, which means token holders should even have management with out an middleman basis or multisig. Or the system will have to be immutable, the place no particular person or group can change the code for private profit.

So decentralization will probably be outlined by management and possession. I believe we’ll see much less generalized governance and extra concentrate on governing particular issues that should be decentralized, protocol upgrades, price switches that distribute worth to token holders, and comparable parts.

How do you put together for adapting to those regulatory adjustments?

Fortunately, we’ve been getting ready for years. Three years in the past, we already noticed this drawback and began transferring towards addressing it. On our present stack, you’ll be able to management your protocol in a extremely decentralized manner with out having to vote on all the things. Totally different folks can management various things, and initiatives can outline how entry management is structured.

On high of that, we create automated and programmatic capital-distribution flows. Initiatives that wish to accrue worth to their token can accomplish that in a programmatic, automated manner that isn’t centrally managed, making it extra more likely to meet future regulatory expectations, one thing our rivals can not do.

What are the principle dangers you foresee for organizations adopting on-chain governance, and the way does Aragon search to mitigate them?

I believe the technological aspect is generally solved. We’ve created a really protected surroundings for organizations, and we’ve secured 45 billion {dollars} in property since 2017–18. For me, the larger threat is what’s being managed and by whom.

Proper now, many initiatives counting on token holders for safety face an issue: safety degrades over time if the token has no worth. If a token secures a protocol however the challenge isn’t producing income, there’s no incentive to carry it. Folks promote, decentralization decreases, and the system breaks down.

We’d like tokens to carry worth and safe one thing significant. When that occurs, the system naturally turns into safer.

For a corporation contemplating launching a DAO via the Aragon app, what key strategic governance selections should be made upfront?

They should perceive who will management what. In addition they want to know the worth of the token that controls protocol parameters, which is important. Different issues embrace whether or not they need a VE mannequin, a locker mannequin, for token holders to lock or stake, or whether or not they need an ERC20 vote-standard token. These are nuanced selections, and they need to attain out to us earlier than launching.

However most significantly, they need to perceive the place their product is heading, how it is going to be managed, and why folks will take part in making certain it stays decentralized.

Might you share any success tales or case research the place Aragon’s governance structure considerably improved organizational outcomes?

Yeah, for positive. Let’s have a look at Curve. Many initiatives are actually adopting the VE gauge mechanism, which is turning into standard once more. The primary model of ve & gauges was inbuilt Aragon in 2020 by Curve. VE stands for vote escrow, which means a token holder locks tokens for a interval and beneficial properties particular voting energy primarily based on parameters set by the challenge.

The thought is that as a result of they’re locked into the system, they need the token to be value extra when it unlocks. They’re usually given energy over distributing capital, liquidity, or different vital sources. They vote within the long-term curiosity of the protocol. The extra they take part, the extra rewards they obtain.

This creates a progress flywheel, incentives to carry, take part, and make good selections. Initiatives with respectable product-market match utilizing ve & gauges, Curve, Aerodrome, Katana, and others, have seen constructive outcomes, together with the next share of tokens locked and elevated valuation.

How do you view the way forward for governance requirements, finest practices, auditability, and transparency for on-chain organizations?

I don’t assume we’re at a technological level the place we should always outline strict requirements but. It’s nonetheless too early. We’d like extra natural adoption and extra tooling earlier than issues ossify into requirements.

Nonetheless, governance requirements will probably be formed by regulation, significantly round how capital and incentives could be distributed. Initiatives finally wish to generate income and enhance token worth, in order that they’ll study and adapt as clearer rules emerge. As adoption grows and extra use circumstances seem, we’ll be capable of outline higher finest practices.

We already see early examples. Lido is a profitable DAO working in a strategic manner. The ve & gauge mechanism works properly for DEXs like Curve. And DUNA is rising for initiatives like Uniswap, with decentralized governance over particular parameters.

We’re beginning to see the primary hints of requirements and finest practices.

About The Writer

Victoria is a author on a wide range of know-how subjects together with Web3.0, AI and cryptocurrencies. Her intensive expertise permits her to write down insightful articles for the broader viewers.

Extra articles

Victoria d’Este