A quick recap before my Kusama 2025 ToDo list
Virto is one of the very few teams building exclusively on Kusama with the help of its treasury, I started Virto with the idea of implementing the Local Incentives Protocol, LIP defines a way for local communities to receive “contributions” from commercial communities every time anyone pays for a product or service. Contributions are like a tax that incentivizes the creation of the local DAOs empowered to improve local welfare.
I imagine LIP as an experiment part of the yet bigger experiment of re-imagining world societies built as a swarm of intelligent/integrated decentralized autonomous societies(IDEAS?) that move wealth around efficiently with dynamic tax policies changing by the minute and specific goals in mind ram
With all this anarchist long term experimentation in mind what better place to build than the most decentralized resilient cypherpunk corner of the web3
Virto felt right at home in Kusama where we’ve been slowly building the many pieces of this puzzle…
It’s great to build for the long term but our very down-to-earth team knows we need intermediate deliverables that bring utility today, to the regular folks we want this technology to benefit. Virto is enabling entrepreneurs not familiar with blockchain technology to set up their organization in minutes and provide them with the tools they need to iterate fast to achieve product market fit at a fraction of the cost.
We are glad to share that as of now Virto is sustainable(*in a poor way), we closed 2024 and started 2025 with brave beta testers that already see benefit in the technology and are willing to pay for the value it provides in its early state.
We’ve got a pilot of an on&off-ramps operation moving 200K+ USD/month, the yield bearing Decent stable coin(dUSD) issued by the regulated stable coin provider Brale and managed by the Decent Partners DAO, the Neotec grant recipient Kunveno building a technology for freelancers and taking with EU regulators about DAOs, some regional communities in the ecosystem looking to establish their own OpenGov enabled DAO and several more use cases we will be sharing over the course of 2025 that will enable us to keep evolving the protocol and attract even more real world use cases.
Regional parachains: a fast global payments network
In 2025, Virto will evolve the initial architecture of LIP to introduce regional parachains - specialized chains optimized for local transactions and everyday user interactions. The close geographical proximity of collators will allow us to optimize for fast block production for better UX allowing for example end users doing fast secure reversible dUSD payments in stores from their phone or smart watch without relying on Visa/Mastercard infrastructure.
Architecture Overview
Kreivo as the Governance Hub: Kreivo remains the central governance parachain where all DAO activities occur. It retains control over the root origins of regional chains, ensuring coordinated ecosystem development.
Regional Chain Operations:
Optimized for fast block production through geographical proximity of collators
Enables near-instant transactions for real-world use cases (e.g., point-of-sale payments)
Implements the Pass system for wallet-less transactions
Handles all end-user interactions, keeping Kreivo focused on DAO operations
Geographic Organization
Regions are defined using larger geographic cells than the original LIP communities
Each regional parachain acts as a super-DAO governed by its constituent communities
Regional chains can mint and manage smaller geo cells for local community registration
This hierarchical structure enables efficient coordination between regional and local governance
Membership and Access
Memberships continue to be minted on Kreivo
Users can transfer their memberships to their local regional chain
The membership NFT’s “gas tank” enables free transactions on the regional chain
Regional chains implement the Pass system for simplified user authentication
Governance Structure
Regional chains operate without local governance or sudo access
All governance actions occur through Kreivo via XCM
Communities within a region can participate in their regional chain’s governance through their DAO on Kreivo
As Kusama positions itself as the privacy-focused canary network, we’re excited to advance this vision with VOS (Virto/Virtual Operating System) - a new privacy layer for Kreivo DAOs. Built on tech like Noir for zero-knowledge proofs and Matrix for encrypted messaging and data storage, VOS lets organizations vote and manage funds privately while staying decentralized. By 2025, Kusama-native DAOs will be able to handle sensitive operations and data without compromising on decentralization or compliance, strengthening the network’s commitment to privacy-first innovation.
Architecture Overview
Virtual Operating System Components:
WASI component runtime for portable computation
Noir program support for zero-knowledge proofs
Familiar ink!-like interface for both WASI and Noir programs
Matrix protocol integration for secure messaging and storage
Private Governance MVP
Zero-knowledge voting system:
Members cast votes privately using Noir contracts
ZK proofs enable anonymous vote verification
Kreivo updates referenda tallies based on verified proofs
Preserves voting power verification without revealing individual votes
Enhanced Privacy Features
Private Balance Management:
DAOs act as privacy-preserving token pools
Internal ledgers maintained off-chain in encrypted form
Cross-DAO transfers visible only at organization level
Secure Data Handling:
GDPR-compliant storage through Matrix integration
Encrypted messaging for sensitive DAO communications
Private state management separate from public blockchain
Future Integration with JAM
Looking further ahead, VOS’s ability to compile to PolkaVM and run “regular std programs”, it opens exciting possibilities for integration with JAM. As more DAO operations move to private contracts, VOS could evolve beyond its role as a Kreivo companion into a native JAM service, streamlining private organization management without the overhead of traditional Substrate runtimes.
We’re excited to develop these ideas together with the community - reach out on Matrix or join the Virto DAO to help shape the future of private, decentralized organizations