DAO structure and incoming regulations

General
1

How does such news affect API3’s DAO structure?

2

I think API3 is organized to not be impacted by this. @Erich ?

3

A few things:

  1. this linked post isn’t correct, the draft bill just lays out certain paths to compliance via registration or disclosure by DAOs and/or token issuers. It’s unlikely to pass this year, and probably would undergo changes before passing.

  2. API3 DAO’s legal wrapper, API3 Foundation, is a registered entity in the Cayman Islands and does not currently require (and is not anticipated to require) registration of a separate legal entity in the United States, more on this here

  3. Any US operations are undertaken via contractors and many are formalized under other arms-length relationships to generally mitigate other risks, more on this here

4 Likes
4

Thank you for the clarification. Good to be able to get these kind of clear responses here!

1 Like