A Decentralized Autonomous Organization (DAO) is a type of organization that operates through smart contracts on a blockchain, allowing for automated decision-making without central authority. Members of a DAO typically hold tokens that grant them voting rights, enabling them to propose and vote on changes or initiatives within the organization. DAOs aim to create a transparent and democratic structure, where all actions and decisions are recorded on the blockchain, ensuring accountability. They can be used for various purposes, such as managing funds, coordinating projects, or governing online communities, often leveraging technologies like Ethereum for their operations.