Wyoming Became First US State To Grant Legal Existence To DAOs, Thanks To The New Bill
Latest News News

Wyoming Became First US State To Grant Legal Recognition To DAOs, Thanks To The New Bill

Wyoming has become the first US state to grant legal recognition to Decentralized Autonomous Organizations (DAOs). 

Governor Mark Gordon signed the Wyoming Decentralized Unincorporated Nonprofit Association Act, also known as DUNA, into law on Thursday.

DAOs are internet-native communities with shared goals, typically managed by code and smart contracts. 

Their decentralized nature has previously posed challenges for regulators, with the Commodity Futures Trading Commission successfully holding a DAO liable for legal violations in 2023.

See Also: South Korea To Launch Virtual Asset Tracking System For Tax Transparency

The DUNA act grants DAOs legal existence, allowing them to enter contracts, open bank accounts, appear in court, and pay taxes. 

Importantly, it achieves this without interfering with the internal structure and operation of DAOs, preserving their core decentralized nature.

The new law is seen as a major breakthrough for DAOs, which have faced regulatory uncertainty in recent years. 

Miles Jennings, general counsel for the crypto-focused venture capital firm a16z crypto, praised the legislation, highlighting its ability to “enable blockchain projects to operate within the bounds of applicable laws without compromising their decentralization.”

#Binance #WRITE2EARN


Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.