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What is a DAO LLC?

A new type of LLC in which there is no leading member of the organization that has the majority rule. In a normal LLC, there are a select few members who make the core decisions for the business. A DAO has been modeled on the premise of decentralization where digital assets represent membership and have rights defined by the operating agreement. That operating agreement can be facilitated autonomously through a series of “Smart Contracts” that operate without any human interaction. While one person or entity must form the DAO, they do not retain sole control over the DAO. This means the business can run without a traditional business structure. All “members” of the DAO have a say in the actions of the organization.

Key Features:

  • No Leading Member or the Organization has majority rule
  • Decentralized governance pinned to digital assets and an operating agreement
  • Automated operations through a series of Smart Contracts
  • A departure from the traditional way of running business operations