ChangeDAO believes that the ideas coalescing around the DAO business entity type align with its vision of being an enduring and sustainable organization aimed at meeting the needs of Changemakers to enhance their Web 3 social impact. However, ChangeDAO's formative needs today require a centralized approach to enjoy the benefits of being a legal business, narrowly and responsively focus on developing its product, edge its place in the market, and establish ethos, examples, processes, and principles in application for future ChangeDAO community leaders.
Here are some of the resources we are finding useful to see how others DAO it:
- "Progressive Decentralization: A Playbook for Building Crypto Applications." Walden, Jesse. A16z.com. January 9, 2020.
DISCLOSURE: This paper is a work-in-progress with ChangeDAO and our legal team at PorterWright and may change from time to time as we continue to learn and the landscape changes. This is not legal or financial advice and is provided as a courtesy for entertainment and educational purposes.
To operate in the United States, a business or organization must file at the federal and state level to pay taxes, protect intellectual property, and enter into contracts, agreements, etc.
While ChangeDAO aims to operate in the spirit of what we believe a 'DAO' is long-term, DAOs are not recognized as legal entities in a majority of U.S. states. In fact, only Wyoming has passed legislation establishing what are referred to as DAO LLCs. (Read legislation here.)
Upon review of existing legislation with our law firm, we developed a model that works for ChangeDAO in the current legal and regulatory landscape which provides baseline legal governance as a Delaware-based LLC ("Limited Liability Corporation").
Revised November 3, 2022
- ChangeDAO is organized with baseline legal governance as an LLC incorporated in the state of Delaware ("ChangeDAO LLC").
- Decentralized treasury asset management (multi-signature wallet).
- Fiat banking has multiple core team signers and serves in secondary capacity to pay for professional and technology services, government licenses, fees, subscriptions, contractors, etc.
- ChangeDAO's core team makes decisions using rough consensus; we build and communicate openly and transparently with contributors; and we hold weekly all hands meetings to remain aligned.
Last modified 4mo ago