The UK Just Dropped a huge paper on DAOs and they nailed it!
The Law Commission did a 289-page (yep, it's 289 pages, you got that correctly) report on DAOs and I read it all in detail 😎, so you don't have to.
Here’s the summary:
1. Decentralization & Autonomy: They nailed it—DAOs disperse power, avoiding central control. But many DAOs aren't as decentralized or autonomous as they claim.
2. Hybrid & Digital Legal Entities: Mixing smart contracts with legal structures. This is where traditional law meets innovation.
3. Governance Tokens: These tokens give you a voice and a stake—regulation is catching up fast.
4. Principle-Based Regulation: Same risk, same rules. Expect crypto to be treated like traditional finance soon.
5. Privacy vs. AML: Tech like zero-knowledge proofs could balance privacy and regulation. Huge news for the crypto industry.
6. No More BS Promotions: Honest, clear marketing is a must—dodgy practices will face harsh penalties.
7. Transparency: DAOs push for operational transparency—key to building trust in the crypto world.
8. Tech-Neutral Laws: Legislation should be tech-neutral, allowing innovation to thrive.
Next Steps: The UK might introduce a limited liability model for DAOs and review company laws to better align with digital entities.
What do you think? Did UK finally get something right? Is this the beginning of a new era for DAOs?
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Steven Sprague
• 3rd+
Identity, Trusted Computing and Blockchain Evangelist
3d
The dao should have a root of identity bound to the governance contract.
It can be registered with companies house as a digital name and used by governance to create authorities for officers
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Anton Golub
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Global Executive | 4x Founder | Crypto & Web3 Leader | Since 2013 in Crypto
3d
MSteven Sprague even better all these registrations would be on chain and legally valid & binding
AI
