What Is the Legal Status of a Decentralized Autonomous Organization (DAO) in Major Jurisdictions?
The legal status of a DAO is largely undefined and inconsistent across jurisdictions. They are often viewed as a general partnership, which exposes individual members to unlimited liability, or sometimes as an unincorporated association.
Some jurisdictions, like Wyoming, are creating specific legal frameworks to recognize DAOs as Limited Liability Companies (LLCs) to reduce this liability risk.
