dOrg Announces The Formation Of The First Limited Liability DAO
dOrg, a blockchain development shop that specializes in Decentralized Autonomous Organizations (DAOs) has revealed that they have created a limited liability company (LLC) to grant its native DAO legal status in the US.
dOrg is a cooperative of freelancers building tools for distributed organizations. They make ecosystem partnerships and execute on work that advances the open-source DAO ecosystem. Their freelance co-op rests on two core technologies, namely, DAOstack and Blockchain based LLC, which is legally registered in Vermont BBLLC.
A statement in their proposal engine says:
“We want to make what we just did accessible to anyone in the world. Ultimately, the process of configuring and deploying a legally registered DAO will be as easy as creating a social media account.”
The company formed a Blockchain-Based Limited Liability Company (BBLLC) after successfully deploying its DAO to the Ethereum blockchain. Now, after combining the DAO to this BBLLC, the DAO has established legal status, enabling it to access contractual agreements and offer participants liability protections.
According to the company, their legal DAO is only the primary step towards a larger research collaboration to develop best practices and software that automates DAO legal formation. They hope that their efforts will lubricate the process of newer DAOs that can interoperate with the broader economy.
Oliver Goodenough, a law professor at Vermont Law School said:
“dOrg asked us to help design a DAO legal wrapper after discovering the potential of BBLLCs. We believe that dOrg is now the first legal entity that directly references blockchain code as its source of governance. Its material operations and ownership interests are managed entirely on-chain.”