Marshall Islands passes law recognizing DAOs as legal entities

The Republic of the Marshall Islands (RMI) announced on Dec. 22 that it had enacted the Decentralized Autonomous Organizations Act of 2022.

The law formally recognizes DAOs and allows legal entities registered in the country to adopt DAO structures and governance tools.

The Decentralized Autonomous Organization Act of 2022 will provide both profit and non-profit DAOs the option to register under the internationally recognized LLC structure.

Further, the law will recognize the governance, voting, and tokenization processes of DAOs as legal.

The newly passed bill aims to attract DAOs and Web3 leaders by setting up a DAO registry process facilitated by MIDAO, a local company.

Additionally, as part of the bill, the government will create an investment fund to promote further education and training on DAOs.

Earlier in November, Marshall Islands also announced plans to introduce its own cryptocurrency as a form of legal tender alongside the U.S. dollar.

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Source: https://cryptoslate.com/marshall-islands-passes-law-recognizing-daos-as-legal-entities/