Are DAOs Pipe Dreams? NONPC Founder Says Discipline, Not Privilege, Decides Survival

A serial crypto architect Koichi Hatta argues that the debate between centralized teams and DAOs is a matter of timing rather than a moral choice. He views early-stage centralization as “scaffolding”—necessary for fast, coordinated execution and security during a protocol’s infancy.

The Scaffolding Theory of Governance

In the volatile landscape of decentralized finance, the word decentralization is often wielded more as a marketing slogan than a technical reality. As early bitcoin pioneers once dreamed of a global web of independent miners, the reality has shifted toward massive industrial mining farms and centralized governance committees. This centralization creep has left the industry at a crossroads: Are decentralized autonomous organizations ( DAOs), a pipe dream, or is a centralized team a necessary evil for survival?

For Koichi Hatta, the founder of No NPC Society (NONPC), the answer lies not in choosing between the two but in a disciplined transition from one to the other. Hatta’s philosophy addresses the primary criticism of DAOs: that they are too slow and uncoordinated to survive the “wild west” of the industry. He likens early-stage centralization to scaffolding.

Hatta, a serial crypto architect, explains that in the early stages, a protocol needs coordinated execution. Security decisions, integrations and incident response all require clear ownership. Without that, Hatta says, you do not get decentralization; you get stagnation. However, Hatta argues that the failure of most projects is not the presence of a team, but the permanence of privilege.

“The real danger is not early coordination, but permanent privilege. Long-term credibility comes from what people can verify over time. Discretionary control should narrow, not expand, as the protocol matures,” Hatta said.

While scaffolding is essential to build a skyscraper, the architect’s success is measured by the moment the scaffolding comes down and the building stands on its own.

Hatta is not a newcomer to this build-and-exit model. In 2022, he architected the Marumaru non-fungible token (MARU) and reportedly drove the project to $6 million in liquidity. Hatta did not cling to power, sustaining the ecosystem for three years before its planned conclusion. According to Hatta, this proves a project can have a lifecycle that does not end in a “rug pull” or a founder-led decline. With NONPC, he is taking this model to its logical extreme.

Rule-Bound Infrastructure and the Vault

Launched on the Solana blockchain, NONPC is designed to tackle what Hatta calls “NPC behavior,” or the tendency of users to follow algorithms and centralized authorities without question. To ensure NONPC remains a public utility rather than a private business, Hatta implemented several rule-bound execution layers. These include a financial infrastructure managed by Squads Protocol multisig vaults to ensure no single individual can move funds unilaterally.

Hatta’s approach challenges the industry standard of vague assurances. Instead of promising decentralization eventually, he advocates publishing a milestone-driven path from coordinated execution to community rule. Addressing the tendency for capital to concentrate over time, Hatta focuses on making governance predictable and authority difficult to monopolize.

He argues that major governance actions and treasury movements should use timelocks, giving stakeholders time to review changes before execution.

“This gives stakeholders time to review changes, discuss them publicly, and respond before execution. It also forces teams to communicate changes ahead of time instead of throwing a surprise,” Hatta said.

He also maintains that governance must function even when turnout is low through clear proposal standards and delegation, which lets passive holders route votes to specialists. Finally, he advises avoiding a single lever that controls everything. When authority is split between upgrades, budgeting and emergency actions, capture attempts become more expensive and easier to challenge.

Still, critics argue that a founder stepping away creates a vacuum of accountability if the market turns volatile. Hatta counters that accountability should shift from a person to a process. He believes a durable protocol makes boundaries explicit, defining who can act and what delays apply.

“ Volatility is not the time to rely on private judgment; it is the time to rely on predefined constraints, auditable actions, and governance pathways that are clear enough to use under stress,” he added.

If emergency powers exist, Hatta says they should be narrow in scope and time-limited. For the NONPC founder, true decentralization means credible neutrality where rules apply consistently and no one builds a permanent throne.

Regarding the argument for a hybrid system as a solution that potentially satisfies proponents and critics of DAOs, Hatta said: “A healthy hybrid separates authority. An execution layer can move quickly through contributors and working groups, while a governance layer controls budgets, mandates, and the ultimate rules.”

Hatta said a well-designed hybrid system uses sunset clauses and upgrade constraints to prevent temporary coordination from evolving into permanent control. The distinction, he noted, is whether a system can prove that control is narrowing over time and that decisions are accountable to rules rather than personalities.

FAQ ❓

• Why does this matter? Hatta argues DAOs need early scaffolding before decentralization can credibly take hold.
• What’s the relevance for Asia? His Solana‑based NONPC project shows a milestone‑driven path from team control to community rule.
• How does this impact Africa and emerging markets? Rule‑bound execution layers and timelocks aim to prevent capital capture and ensure fair governance.
• What’s the global takeaway? A hybrid model separates fast execution from community oversight, proving decentralization must narrow privilege over time.