> ## Documentation Index
> Fetch the complete documentation index at: https://docs.createdao.org/llms.txt
> Use this file to discover all available pages before exploring further.

# Creating a DAO

> Step-by-step tutorial for creating a DAO using CreateDAO v2

# Creating a DAO

<Note>
  **New to DAOs?** Start with the [step-by-step guide on createdao.org](https://createdao.org/how-to-create-a-dao) — it covers the same process with more context, examples, and FAQs. This page is the technical reference for developers.
</Note>

This tutorial will guide you through the process of creating a Decentralized Autonomous Organization (DAO) using CreateDAO v2. By the end, you'll have deployed a fully functional DAO with:

* **Governance token** with automatic voting power
* **Governor contract** for proposals and voting
* **Secure treasury** with timelock protection

## Prerequisites

Before you begin, make sure you have:

* A Web3 wallet (like MetaMask) installed and set up
* Cryptocurrency in your wallet for gas fees (ETH on Ethereum/Sepolia)
* Basic understanding of blockchain and DAO concepts

## Step 1: Connect Your Wallet

1. Go to [CreateDAO.org](https://createdao.org)
2. Click on the **"Create DAO"** button
3. Click **"Connect Wallet"** in the top-right corner
4. Select your wallet provider (MetaMask, WalletConnect, Coinbase Wallet,
   etc.)
5. Approve the connection request in your wallet

<Note>
  Your wallet address will become the initial **Manager** of the DAO and receive 1% of the tokens to bootstrap governance.
</Note>

## Step 2: Select a Network

1. Choose the blockchain network where you want to deploy your DAO:
   * **Ethereum** (Mainnet) - For production DAOs
   * **Arbitrum One** (L2) - For low-cost production DAOs
   * **Sepolia** (Testnet) - For testing (recommended first)

2. If you're not already connected to that network, your wallet will prompt you to switch

3. Confirm the network switch in your wallet

<Tip>
  **Testing First?** We strongly recommend deploying on Sepolia testnet first to familiarize yourself with the process. You can get free Sepolia ETH from faucets like [sepoliafaucet.com](https://sepoliafaucet.com).
</Tip>

## Step 3: Enter DAO Details

Fill in the following information for your DAO:

### Basic Information

**DAO Name**

* The name of your organization (e.g., "Community Coffee DAO")
* This will be displayed in governance interfaces

**Token Name**

* The full name of your governance token (e.g., "Community Coffee Token")

**Token Symbol**

* A short symbol for your token, 2-6 characters (e.g., "CCT")
* Will be displayed in wallets and explorers

**Total Supply**

* The total number of tokens to create (e.g., "1000000" for 1 million tokens)
* Entered as whole numbers - the system automatically handles the 18 decimals
* **Distribution**: 1% goes to you (the creator), 99% to the DAO treasury

<Warning>
  **Total supply is permanent!** Once created, the total supply cannot be
  increased. Choose carefully based on your community size and tokenomics needs.
</Warning>

### Governance Parameters

**Voting Delay**

* Time before voting starts after a proposal is created
* Recommended: **1 day** (86400 seconds)
* Gives members time to review proposals before voting begins

**Voting Period**

* How long members can vote on a proposal
* Recommended: **1 week** (604800 seconds)
* Balances urgency with member participation

<Info>
  All governance parameters can be changed later through governance proposals if your DAO decides to adjust them.
</Info>

## Step 4: Review and Deploy

1. **Review** all the information you've entered

2. **Estimated costs** will be displayed:
   * Gas fee: varies by network conditions on Ethereum
   * No protocol fees - CreateDAO is free to use!

3. Click the **"Create DAO"** button

4. Your wallet will prompt you to confirm the transaction

5. **Review the gas fee** and confirm

<Note>
  Creating a DAO deploys three smart contracts (Token, Governor, Treasury) in a single transaction using gas-efficient proxies.
</Note>

## Step 5: Wait for Deployment

1. The deployment process will begin
2. You'll see a progress indicator
3. Typical deployment time: **30-90 seconds** depending on network conditions
4. **Do not close** the browser window during deployment

## Step 6: Save Your DAO Information

Once deployment is complete, you'll see a success message with important information:

### Contract Addresses

* **Token Address**: Your governance token (ERC20)
* **Governor Address**: Your governance contract
* **Timelock Address**: Your treasury contract

### What to Save

1. **Copy all three addresses** and store them securely
2. **Bookmark the governance page** for easy access
3. **Note your token symbol** for finding it in wallets

<Warning>
  **Important!** Save these addresses immediately. While they're recorded on the blockchain, having them handy makes managing your DAO much easier.
</Warning>

## Step 7: Verify Your DAO

### Check Your Wallet

1. Open your wallet (MetaMask, etc.)
2. You should see **1% of your total supply** in your wallet
3. Your tokens are **automatically delegated** - ready to vote immediately!

### View on Block Explorer

1. Click the explorer links to view your contracts
2. Verify the token name and symbol are correct
3. Check that 99% of tokens are in the Timelock (treasury)

## Understanding Your DAO

### Token Distribution

* **You (Creator)**: 1% of total supply
  * Enables you to meet quorum (1% minimum)
  * Allows you to create and pass initial proposals
  * Already delegated - voting power is active

* **Treasury (Timelock)**: 99% of total supply
  * Held securely in the TimelockController
  * Can only be moved through governance proposals
  * 1-day execution delay for security

### Governance Process

1. **Create Proposal**: Requires 1% of tokens (you qualify!)
2. **Voting Delay**: Proposal enters voting after your set delay
3. **Active Voting**: Members vote FOR, AGAINST, or ABSTAIN
4. **Quorum Check**: Needs 1% participation minimum
5. **Timelock Queue**: Passed proposals wait 1 day
6. **Execution**: Anyone can execute after delay

### Manager Role

* **You are the Manager**: Your wallet address is set as the initial manager
* **Purpose**: On-chain authorization for DAO management platforms
* **Changing Manager**: Only through governance proposals
* **Use Case**: Integration with tools like [OpenBook](https://openbook.so) for transparent business operations

## Next Steps

### Distribute Tokens to Members

Create your first proposal to distribute tokens:

```javascript theme={null}
// Example: Transfer 10,000 tokens from treasury
const token = await ethers.getContractAt("DAOToken", TOKEN_ADDRESS);
const governor = await ethers.getContractAt("DAOGovernor", GOVERNOR_ADDRESS);

// Encode the transfer call
const transferCalldata = token.interface.encodeFunctionData('transfer', [
  recipientAddress,
  ethers.parseEther("10000")
]);

// Create proposal
await governor.propose(
  [TOKEN_ADDRESS],           // targets
  [0],                       // values (no ETH)
  [transferCalldata],        // calldatas
  "Proposal #1: Distribute tokens to founding team members"
);
```

### Manage Your DAO

Visit these platforms to manage your DAO:

* **[Tally](https://tally.xyz)**: Create proposals, vote, view history
* **[OpenBook](https://openbook.so)**: Transparent business management (if applicable)
* **Block Explorer**: View all on-chain activity

### Create Proposals

You can propose any on-chain action:

* Transfer tokens from treasury
* Change governance parameters
* Update the Manager address
* Execute smart contract calls
* Anything the DAO's treasury can do!

## Troubleshooting

### Transaction Failed

**Insufficient Gas**

* Ensure you have enough ETH for gas fees
* Try increasing gas limit or gas price

**Network Congestion**

* Wait a few minutes and try again
* Check network status on the block explorer

### Tokens Not Appearing in Wallet

**Manual Token Import**

1. Open your wallet
2. Click "Import Token" or "Add Token"
3. Select "Custom Token"
4. Paste your **Token Address**
5. Token name and symbol should auto-fill

### Can't Create Proposals

**Need 1% of Supply**

* Ensure you have at least 1% of tokens
* Check that your tokens are delegated (should be automatic)
* Try refreshing the governance interface

### Voting Power Shows Zero

**Delegation Issue**

* CreateDAO v2 has auto-delegation, but if needed:
* Call `token.delegate(yourAddress)` to activate voting power
* Voting power updates at the next block

## Security Best Practices

1. **Verify Contract Addresses**: Always check addresses on the official [Deployed Contracts](/deployed-contracts) page

2. **Test First**: Deploy on Sepolia testnet before mainnet

3. **Secure Your Wallet**: Use hardware wallets for high-value DAOs

4. **Review Proposals**: Always review proposal calldata before voting

5. **Timelock Protection**: The 1-day delay protects against harmful proposals

## Need Help?

If you encounter any issues:

* **Discord**: Join our [Discord community](https://discord.gg/HnRmtP2fph)
* **Telegram**: Ask in [Telegram group](https://t.me/createdao_org)
* **GitHub**: Report issues on [GitHub](https://github.com/createDAO/v2-core)
* **Twitter**: Follow [@createdao](https://x.com/createdao)

## Learn More

<CardGroup cols={2}>
  <Card title="DAOFactory Reference" icon="code" href="/contracts/dao-factory">
    Technical details of the factory contract
  </Card>

  <Card title="Deployed Contracts" icon="map-pin" href="/deployed-contracts">
    Contract addresses on all networks
  </Card>

  <Card title="OpenZeppelin Governor" icon="book" href="https://docs.openzeppelin.com/contracts/5.x/governance">
    Learn about the underlying governance system
  </Card>

  <Card title="Governance Parameters" icon="sliders" href="/governance/parameters">
    Understanding voting delay, period, and quorum
  </Card>
</CardGroup>

***

**Congratulations!** 🎉 You've successfully created a DAO using CreateDAO v2. Your organization is now ready for decentralized governance!