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How Does a DAO Differ from a Traditional ‘Limited Liability Company’ (LLC)?

An LLC is a legally recognized entity with limited liability for its members and a formal operating agreement. A DAO is a code-based organization that often lacks legal recognition and its members face uncertain liability.

The LLC has centralized management; the DAO uses decentralized, token-based governance.

How Do ‘Decentralized Exchanges’ (DEXs) Differ from ‘Centralized Exchanges’ (CEXs)?
Who Is Legally Liable If a Smart Contract Autonomously Executes a Transaction Based on Faulty Data from an Oracle?
How Does a DAO Differ Structurally from a Traditional Corporate Board of Directors?
What Is the Legal Status of a DAO and How Does It Differ from a Registered Company?