What Legal Entity Structures Are DAOs Attempting to Emulate?

DAOs often seek to emulate traditional legal structures that offer limited liability and a clear governance framework. These include limited liability companies (LLCs), non-profit foundations, or co-operatives.

The goal is to provide a shield for individual members from the organization's liabilities and to gain legal standing to interact with the traditional financial and legal world. Without such a structure, a DAO may be treated as a general partnership, exposing members to unlimited liability.