Public Policy #7 - Governance DAOs vs DACs

[drllau]

Using the COALA Model Law for DAO (drllau [commentary] ) iterate over LexDAO's policy stance wrt DAO legislation (continuous improvement) with the latest Wyoming LLC DAO [amendment] for hackathon.

DAO Governance

COALA commentary

COALA requires governance system of the DAO to be technically decentralized, although not necessarily operationally decentralized

LexDAO position -

Difference

[drllau]

Submarine Trademark and DINOs

The public policy is to avoid submarine trademarks where like typo-squatting, a front-runner ¹ would reserve a namemark when a DAO is still in formative stage to hold up for ransom the onsale.

LexDAO position is to make exception to DAO as merely descriptive if there is expert opinion that applicant is a true DAO (affirmative test) otherwise presumptively it is a DINO ²

Evidence ... JusticeDAO proceded to publication in class 42.
#97300158.pdf

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Most organisations using the term DAO are not DAOs; instead, they are DINOs (DAO in name only or decentralised in name only). Distinguishing DAOs from DINOs is complex and increasingly important as jurisdictions move to create legal structures to accommodate DAOs. The difficulty distinguishing the two is that many DAOs, despite their name, have elements of centralisation.

Footnotes

1. (2018) Submarine Trademarks, WIPO Economic Research Working Paper No. 51 link ↩

2. DAOs (Decentralised Autonomous Organisations) v DINOs (DAO in Name Only or Decentralised in Name Only) link ↩