project screenshot
project screenshot
project screenshot


Distributed Town is a Network of DAOs that lets people organize in self-sovereign communities. It aims to become the standard in Collaborative Economics - and it's based on a mutual credit system of accounting - and a universal-login based on Skills, rather than personal data.


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Project Description

Distributed Town is a Network-of-DAOs using a mutual credit system and a “Skill Wallet” to let people organize in communities, join new ones, and contribute globally - without the need for résumés, passports or bank accounts.

Core values:

  • Self-organization and sustainability
  • Skills as a currency.
  • Collective autonomy.

The project aims to bring DAO’s capabilities to local and online communities, through a cross-community, stable mutual credit system. Also, we use AAVE's protocol to combine our Mutual Credit System with liquidity pools - that community members can easily access to co-stake traditional stablecoins (DAI, USDT, ...) and accrue rewards to fund and support community's growth, proposals and future projects.

Minimal registration system, and intuitive UI that mimics the urban environment.

How it works:

  • On one side, Community-Members will have more mobility and access while traveling.

  • On the other, local-/online-communities can quickly attract the skills they need, using a mutual credit system, rather than tiring and bureaucratic processes to attract grants and external expertise

  • Self-sustainable (and self-sovereign) community-hubs for members to exchange skills each other. Safely, and without speculation (non-volatile mutual credit system encompassed within the network).

  • Each contributor has a unique Skill-Wallet, with the credits they have earned. They will be able to use it to relocate/move to other communities within the network, or to join external competitions, and events. This will be a sustainable option in the future, while relocating/traveling, for users in the network to access better opportunities and higher mobility just scanning their Skill Wallet's QR-code (no passports, résumés or bank accounts needed).

  • Each community has a “scarcity score” - based on the “variety coefficient” of the skillset available internally. This will automatically send a “signal” to the closest community when they have excess/lack of one specific skill.

  • Close-communities can scale together by sharing the skills more needed, following a “one-step random walk” model based on their "proximity"

How it's Made

Each new community has its own Textile Thread, and communities can send each other "signals" (when in need of skills) using Textile Mailboxes API.

We integrated AAVE to let community members co-stake stablecoins and accrue APY rewards.

This is a direct gateway for our network's financial system (based on mutual credit), and the traditional financial ecosystem - for community projects to access external fundings when necessary.

We also improved the standard quadratic funding model, allowing a more fair, contribution-based reward-distribution (based on DiTo holding).

Simple flow:

Members Staking ==> Community Treasury ==> AAVE liquidity pool

Members Distribution <== Community Treasury <== AAVE Returns

We integrated USDCv2 and OpenGSN for gas-less transactions between members and treasury, and viceversa.

DiTo mutual credits are currently ERC-20, highly customized. First, they can be exchanged only within a community through white-listing. Second, if a member moves from a community (A) to the other (B), their DiTo credits get locked in (A) and unlocked in (B), so to keep the same balance in community ledger.

Also, we integrated Magic Link, to simplify the onboarding process for regular/off-chain users, and limit the onboarding process to one-step (email).

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