A Decentralized Autonomous Organization (DAO) is a type of Limited Liability Company (LLC) in which there is no leading member of the organization that has majority rule.
In a typical LLC, there are members who make the core decisions for the business. A DAO is different as it essentially runs autonomously through a series of “smart contracts”. This means the business can run without a traditional business structure.
DAO LLCs are now recognized in Wyoming.
Can securities in a DAO LLC qualify for QSBS tax treatment per IRC Section 1202? If you have thoughts on this or further comments/questions, please write [email protected]
This article does not constitute legal or tax advice. Please consult with your legal or tax advisor with respect to your particular circumstance.