Waifus, Senpais, and Crypto: Isekai worldbuilding vs. DAO structures in reality

notsatoshi
9 min readAug 22, 2023

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Image design courtesy of Dimfao

As someone who grew up immersed in manga, anime, and gaming, I can’t help but see parallels between decentralized autonomous organizations (DAOs) and my favorite Japanese artforms — especially isekai!

For the uninitiated, isekai (meaning “another world”) is a genre where some Average Joe dies or gets summoned into an RPG fantasy world to go on adventures, join guilds, level up, and try not to get killed by hordes of orcs or seduced by busty elf chicks. It’s basically that daydream you have in math class about suddenly developing magic powers and getting whisked into Hogwarts or Middle Earth.

But what does this teenage escapist power fantasy have to do with reinventing human collaboration and economic coordination via blockchain? Surprisingly, a fuckton!

See, in between all the overpowered protagonists, fanservice, and power creep, isekai anime and light novels touch on some key concepts that we DAO pioneers should pay attention to. Let me explain how.

DAOs as Weeb Adventurer Guilds

A core element of many isekai stories is joining an adventurer’s guild, clan, kingdom, or some other organization of fellow weirdo warriors. You’ve got everything from Black Clover’s Magic Knights to Log Horizon’s ragtag teams to Sword Art Online’s edgy assassin guilds.

These groups exhibit some solid decentralized governance mechanics! Merit-based leadership through leveling up, voluntary participation maintained by social incentives, distributed collaboration on quests and raids, informal community norms that develop organically. It’s like someone converted a DAO concept into a fantasy skin!

Granted, naming conventions in isekai lean a bit chuuni — “The Fellowship of the Silver Sword” or “Citadel of the Crimson Hawks” (already planning my next DAO, don’t steal it). But we can learn a lot from how these communities leverage reputation, align values, and enable cooperation without coercion. The blood oaths and secret handshakes are unnecessary though.

Image credit: Google Images

Designing Tokenomics with XP and Loot Mechanics

A standard isekai plot goes something like: scrappy protagonist arrives in a new world, joins a guild, levels up through gaining XP and loot, unlocks new abilities, rises in influence. This progression loop isn’t too different from well-designed tokenomics that motivate participation in DAOs.

Reputation systems that mimic experience points for community status? Rare NFT items as status symbols? Resource pools that members can draw from based on contribution points? Anime protagonists would feel right at home with these token-based incentives!

Some DAOs are already incorporating RPG elements like PFP avatars, skill trees, leaderboards, raids, and badges for achievements. But we’re just scratching the surface of possibilities for gamifying community coordination.

The key is balancing rewards that induce productivity with purpose-driven motivations. Protagonists in the best isekai stories are driven by more than just powerleveling — things like protecting their friends, exploring mysteries, or achieving mastery. DAO token engineering should unlock deeper intrinisic motivations.

On the flipside, penalties like losing XP when characters die can be converted into “skin in the game” mechanisms. For example, docking reputation for failed projects or making proposal stakes proportional to one’s tokens. Introducing accountability alongside incentives is key to sustainable growth rather than just short-term rewards.

Leveraging Idealism and Shared Values

The appeal of isekai for people in the real world is the escapism — a chance to leave their mundane lives for an idealized realm of adventure, purpose, camaraderie, and cool abilities. The allure of living out your wildest power fantasies.

Effective DAOs tap into similar intrinsic human motivations and values related to growth, mastery, belonging, and making a difference. Even in the radically transparent world of blockchains, culture and social norms can be as powerful as cryptography and incentives.

Shared aspirational visions and values build loyalty between members who are united by more than just financial gains. This “soft” social cohesion supports longevity. Research shows that communities of shared purpose and cultural identity outlast those held together solely by economic incentives.

The exaggerated nobleness of isekai heroes who always uphold their oaths highlights how signaling virtue ethics publicly can reinforce norms. Having guides codifying the community’s values and veteran members leading by example cements integrity and alignment.

Of course, lofty ideals alone are meaningless without accountability. Robust governance processes that deter corruption are still essential. But social incentives are the lubricant that reduces friction in formal operations.

Animes produced in the last 5 years of the Isekai Genre…

Pioneering New Worlds as DAO Explorers

A common isekai plot device is the protagonist using modern knowledge to introduce new technologies and systems in a less advanced fantasy world. There’s a thrill of exploration and invention against all odds when bridging worlds.

DAO development today captures that same pioneering spirit — building tools and infrastructure for new paradigms of human coordination on the frontier of blockchain and web3 capabilities. We’re still early explorers charting rough terrain. But the risks and challenges just make victory sweeter when we craft solutions and push boundaries.

Rather than just importing stale corporate structure, we can architect new forms of incentive alignment, information flow, and collective intelligence. Experimenting with cryptoeconomic primitives at a societal scale is unprecedented. We’re both the mapmakers and explorers in uncharted waters.

To stretch the metaphor, overcoming terra incognita requires balancing idealism with pragmatism. You need vision and purpose to undertake grand adventures. But practical planning and team coordination determine success. A mix of dreamers and builders.

Side Quests as Bounty Systems

The job boards in isekai guild halls are basically decentralized bounty lists. Assemble a balanced party, pick a quest based on skills/rewards, divide roles, complete the mission, reap bounty, repeat loop.

Optimizing bounty management, incentivizing skill development, and facilitating cross-DAO collaboration are key to accelerating development. Ambitious goals can be broken into side quests and completed in parallel rather than linearly.

Maybe we can create an OASIS or Ready Player One-like metaverse hub for DAOs to share bounties/quests. Though that may be too on the nose. In any case, well-designed bounty structures enable rapid compounding of results.

Side quests in games and anime also highlight the benefits of diversified teams. You need the warrior, mage, healer, scout archetypes with complementary strengths. Similarly, assigning DAO working groups based on members’ diverse skills results in well-rounded capabilities.

Magic Systems as Token Engineering

You gotta respect the intricacy of magic systems in the best isekai worlds. Specific costs and risks are balanced by creative combinations and emergent potential. Mastering arcane arts takes study and experimentation. DAO tokenomics should strive for similar depth — not just basic functionality, but opportunities for discovery, expression, and mastery.

High level mages researching new spells mirrors DAO contributors building novel capabilities that get incorporated into community tooling. For example, gitcoin grants for open-source public goods fund new experiments, some of which prove viable for widespread adoption. Distributing tokens to core contributors also incentives pushing boundaries.

Well-crafted magic systems take time to design. But they create immersive experiences that feel endlessly expansive as users unlock new facets. DAO tokenomics should try to capture that sense of wonder and progression. Simple incentives get old quickly — the most engaging systems have layers.

Fostering a Culture of Learning and Growth

Another common isekai theme is mastering new abilities through practice. Unlocking advanced spells or skills requires investing time. Training montages symbolize persistence leading to exponential growth.

DAO tooling should aim to create similar positive feedback loops. For instance, reputation/XP for completing bounties or passing certifications qualifies members for more responsibilities. This pathways model facilitates leveling up from rookie to guild officer.

Structuring work into a progression of difficulty also sustains engagement. Early wins build confidence to undertake harder quests. And visibility into higher tiers provides motivation. Knowing it will take time to earn epic rewards increases perceived value.

Does all this seem like overly romanticizing menial labor? Perhaps. But the right culture and narrative framing can make even grinding feel purposeful. People yearn for achievement and actualization. Tapping into that drive is key to avoid stagnation.

Bridging Communities

What’s better than joining one fantasy guild? Having your guild form alliances with other guilds! Crossovers, shared quests, and cameos from allied heroes are staples in isekai stories.

Similarly, cooperation between DAOs boosts the ecosystem. Some alliances are formal partnerships. But informal norms of mutual promotion and sharing opportunities also strengthen bonds. A rising tide of general DAO activity lifts all boats.

High-level protagonists also pay their success forward by mentoring noobs. That cycle of onboarding and graduation cultivates sustainable growth. DAOs should similarly focus on developing contributors into leaders. Institutional knowledge gets preserved when veterans help train their replacements.

Of course, not all relationships between guilds are collaborative. Rivalries, betrayals, and conflicts make for spicy storytelling. There are lessons here too on competitive dynamics. Some overlap in goals breeds healthy competition without devolving into zero-sum status battles.

Adventures as Pioneering Purpose

At the heart of isekai escapism is the appeal of adventure; Embarking on epic quests filled with mysteries, battles, and triumph. DAOs at their best can foster similar senses of purpose and thrill.

The shounen protagonists jumping into the unknown mirror the exhilaration of charting new territory. Their battles against demon lords echo the audacity of confronting old paradigms. And their ultimate victories symbolize breakthroughs that once seemed impossible.

Alright, DAO work may not involve actual dragon slaying or rescuing elf princesses (sadly). But elements like close-knit teams undertaking monumental missions, gaining influence in the process, and culminating in celebrations of progress can inspire purpose-driven cultures.

Of course, day-to-day operations will always require grinding. Systems should be designed to prevent stagnation. Guilds keep adventurers on their toes by planning epic events on horizons. Regular retreats for visioning and bonding replenish spirits.

Productivity and adventure aren’t mutually exclusive. With the right framing and incentives, even incremental work feels meaningful. DAO life may not match anime action, but it can definitely echo camaraderie and continuous growth.

Balancing Realism and Idealism

Isekai depicts idealized versions of human organizations and values. The exaggerated nobleness of the protagonists isn’t realistic. And their smooth adventures gloss over gritty details.

Yet there is a place for idealism in DAO building. Shared aspirational visions can provide meaning and weather storms when operational realities get messy. Excessive pragmatism leads to cynicism and a transactional race to the bottom.

The trick is balancing lofty long-term visions with incremental roadmaps. Culture and storytelling frame day-to-day work as part of a heroic adventure. Teams of doers execute on granular bounties while not losing sight of the monumental vision.

Isekai protagonists also highlight that integrity emerges from transparency plus accountability. When values are stated publicly AND social norms enforce consistency, trust deepens. Reputation points that can be lost for rule-breaking and indecent consistency between words and actions.

Of course, intentions alone are meaningless without execution. That’s why robust operational processes are necessary to prevent corruption, mismanagement, and mission drift. Formal governance and social norms should be mutually reinforcing.

Building Our Own Narrative

Alright, at this point I’ve stretched the isekai/DAO analogy well past reasonable limits. But I hope highlighting some parallels sparked useful thoughts on designing incentives, optimizing workflows, and crafting an engaging culture in DAOs.

We’re privileged to be pioneering new forms of decentralized collaboration and economic coordination. While we shouldn’t just replicate old power structures, looking for metaphors in cultural works that resonate with our imaginations can provide inspiration.

At its core, isekai taps into human desires for agency, adventure, and purpose. By designing tools and incentives guided by such intrinsic motivations, we can create DAOs that feel less like 9-to-5 jobs and more like quests in a metaverse. An escape from drudgery into idealized virtual worlds where we get to write the narrative.

DAO creation is applied philosophy, economics, game design, psychology, and engineering; Stitching together insights across disciplines. There will be missteps and course corrections. But the open decentralized canvas also grants us permission to experiment at scale.

We’re laying the railroad tracks as we ride this train. While it’s wise to learn from other trailblazers, DAO pioneers also have a duty to chart our own vision. The limits of what’s possible are still expanding. With the right culture and incentives, we can architect new forms of human cooperation that expand the frontiers of trust, creativity, and collective intelligence.

The story we write won’t involve slaying demon kings or saving elf princesses (alas). But it may yet become an adventure for the ages. An epic worthy of meme status. Fiction points the way to reality and it’s on us now to level up and build.

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notsatoshi
notsatoshi

Written by notsatoshi

Crypto-evangelist since 2013. Writer, engineer, dancer, creative and Web 3 enthusiast. GuildMaster @jointheguild.org , Founder & CEO @ DIIANT.com.

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