[The legal DAO]
Around the globe, experimenters and practitioners are examining the concern of interfacing blockchain-based organizations (DAOs) with legacy legal systems.
This unique legal entity variety, the blockchain-based LLC (BBLLC), delivers a standard to start developing and sampling DAO legal wrappers in the wild. If correctly employed, such fiction frameworks could certify DAOs to fluidly interoperate with the current legal system while protecting parties from common business drawbacks.
The legal climate for national governance and regulation in Kenya is sceptical of cryptocurrency and DAOs, concentrating on the protection of consumers and existing regulated entities. Regulating entities incorporate the Capital Markets Authority(CMA), The Nairobi Securities Exchange (NSE), The Central Bank of Kenya (CBK), The Department of Treasury, and the newly formed Office of the Data Protection Commissioner. Activities that will draw scrutiny include:
● The offer and sale of crypto tokens
● Crypto trading and lending platforms
● Stable value coins (Stablecoins)
● Investment vehicles entangling crypto assets or crypto synthetics and derivatives
● Possession of crypto assets
Justice league’s mandate is to lobby for legislation backing the development of blockchain businesses in East Africa, starting with Kenya in two years. The new law will mandate the review of blockchain technology for the recording of land records and other public records, allow lawmakers to iterate and improve upon blockchain regulatory frameworks like the BBLLC. The law will augment the current LLC Regulations. The DAO Supplement is viewed as delivering exceptional range for DAOs, but the rest of the LLC Law applies to them, which were not specifically carved out. The specialized requirements include using DAO LLC in the name of the organization to differentiate it from existing LLC usages. The Article of Organization must include a clear notice to alert all potential members that the DAO may eradicate fiduciary obligations and limit transfers of ownership interests, withdrawal, or resignation from the DAO, retrieval of capital contributions, and the abolition of the DAO.
The JUSTICE LEAGUE centres on two essence purposes:
1. Launch a pilot LL-DAO
● Create and deploy a Limited Liability DAO as a Kenyan BBLLC under the guidance of local consultants who will have aided with the development of the Act.
● Prepare the legal contracts and functioning processes essential for the DAO to legitimately run business activities and manage its core operations through persistent blockchain programs (Smart Contracts).
2. Develop resources for LL-DAO formation and maintenance
Guidelines that address all Challenge Areas.
In each Challenge Area, we consider a wide solution spectrum — including blockchain code, contract law, and good faith social conventions. We consider both theoretical legal principles as well as actual laws in particular jurisdictions.
- Emanate legal formation manuscripts from the DAO’s code and vice versa.
- Automate legal contract execution via cryptographic signing and hashing.
- Document automated legal contracts on-chain and in-state registrars when needed.
- How does a human person(s) effectively assume the DAO’s organizational positions?
- How do third parties effectively take roles such as the DAO’s lawyers and accountants?
- How can we guarantee alignment between the DAO and its surrogate(s)
- How can the DAO enter into legally binding contracts with clients and parties?
- Arbitration: how are conflicts with (and within) the DAO fixed?
- Liquidated Damages: what remedies are available when the DAO breaches a contract?
- How are ordinary business liabilities handled by the DAO and its participants?
- What about criminal liability for parties?
- Recommended tax configuration (i.e., what elections to make)?
- How should the DAO account for and pay taxes?
- How does the DAO govern off-chain assets?
- Tangibles: real property, machinery, equipment?
- Intangibles: IP, software licenses, domains?
- Profit Distributions & Tokenization
- Determine and encode ownership/administration rights of the DAO’s Members
- How can the DAO tokenize its membership or profit interests in a compliant way?
Profit Distributions & Tokenization
- Determine and encode ownership/governance rights of the DAO’s Members
- How can the DAO tokenize its membership or profit interests in a compliant way?
● Assembly of an efficient team that includes Blockchain developers, Lawyers, Legislators, Accountants, and Data Protection Officers.
● The structuring, hosting, and upkeep of a personally tailored online “Advocacy Hub” website for the organization to exhaustively leverage employees, membership, and allies across the nation and the globe.
● Template Library of important legal contracts.
- Formation: Operating Agreement, Articles of Organization.
- Operations: Contractor Agreement, Service Agreement, MOU, Bill of Sale.
- Maintenance: Bookkeeping, Tax Forms, Annual Reports.
● Develop Tooling for automating formation and maintenance workflows
- Dapp Specification(s)
● Drafting and introduction of the proposed legislation.
● First Reading
● Second Reading
● Third Reading
● Presidential Assent
● Crafting and executing a full-scale social media strategy including, cultivating social media relationships, engaging Members and staff, creating necessary supporting materials (white papers, infographics, etc.), and making necessary adjustments based on metrics, to activate nation-wide networks of citizens/employees/members, and to leverage their support.
Gauge DAO Ecosystem
How can regulatory sandboxes be used to test and advance the blockchain regulatory space?
Legal Avatars – assemble legal agents, surrogates, delegates, and/or custodians for various functions of blockchain-based systems to
reinforce interactions between DAOs and the legal world.
How might the firm model further blockchain governance?
Determine the limitations of existing forms of relations with the legal world
Detail new mechanisms e.g., decentralized insurance, contract, and property APIs
- Is there a legal entity type for a DAO that wouldn’t take away that DAO’s fundamental properties?
DAO Governance – enforcement agencies and underlying ethics of code-based regulations.
The JUSTICE LEAGUE DAO requests for USD 950,000.00 over 2 years. We are asking for USD 358,520.00 to meet our First Quarter Milestone by June 2022.
Governors will be paid $80/hour working 9 hours per week.
Managerial staff will be paid $200 per week, this will also be used to cater for their subordinate staff working full-time to carry out the day-to-day activities of the DAO. We will need office space costing $3,958 per week for 24 weeks to conduct DAO activities, interviews and meetings.
- With Expertise in Patent Strategy, Intellectual Property Portfolio Creation & Management (Designs, Copyrights, Trademarks, Brands), Due Diligence, Corporate Structuring, International Business Strategy (Shareholding, IP ownership, Agreements & Contracts)
- Possesses a strong technical background with specialisation in Cross-border Mergers & Acquisitions, Joint Ventures, Foreign Direct Investment, Tech Transactions, Patent Protection, Patent Licensing, Patent Claims Drafting, Patent Specification Writing and Patent Enforcement.
Member of the National Assembly’s Communication Information and Innovation Committee.
-A proficient blockchain developer with 5 years of experience, interested in contributing expertise in web and blockchain development to Smart Tech Inc. Capable of excelling as part of a team or individually in a fast-paced environment. Deeply knowledgeable in distributed ledger, blockchain security, blockchain architecture patterns, and different blockchain standards and ecosystems.
Patent attorney and Intellectual Property lawyer with 11+ years of experience in Software, Electronics, Medical Technology, Internet of Things and Digital Innovations in international markets
MMWM-Member of the National Assembly’s Communication Information and Innovation Committee
Multi-sig Wallet: 0x8ffC1877BA180b1c2d0600E0ec7E91af5F8B8e7c
Initial 3-month’s Metrics
|●|Assembly of an efficient team with Blockchain developers, Lawyers, Legislators, Accountants, and Data Protection Officers.
|●|Structuring of the “Advocacy Hub” website