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What Is the Legal Status of a DAO Treasury in Major Jurisdictions?

Ambiguous and varies; often treated as a general partnership with personal liability risk, though some jurisdictions offer specific legal wrappers.
Greeks.Live07.11.25

What Is the Legal Status of a DAO Treasury in Major Jurisdictions?

The legal status of a DAO treasury is currently ambiguous and varies significantly across jurisdictions. In some regions, a DAO may be treated as a general partnership, meaning all token holders could be held personally liable for the DAO's debts or legal actions.

Other jurisdictions are exploring specific legal wrappers, such as the Wyoming DAO LLC, to provide limited liability protection. The lack of clear, consistent legal status poses a significant risk for treasury management and legal compliance.

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