Summary
TLDR: Wyoming will implement a new law allowing DAOs with at least 100 members to become unincorporated nonprofit associations, allowing them to engage in profit-making activities while directing proceeds towards their purpose. This law, effective July 1, 2024, aims to enable blockchain projects to operate within the law without compromising decentralization. This builds upon previous legislation in Wyoming that provided a legal framework for DAOs, with improvements to better suit crypto-native entities.
Key Points
1. Starting this summer, Wyoming will have a new system for managing and incorporating decentralized autonomous organizations as nonprofits (DAOs).
2. Wyoming Governor Mark Gordon signed the Decentralized Unincorporated Nonprofit Association Act on Thursday, providing a framework for DAOs of at least 100 members to become unincorporated nonprofit associations. The new law will go into effect July 1, 2024.
3. The bill passed with bipartisan support in the Wyoming House Monday in a 50-10 vote, with four Democratic Representatives moving to advance the measure.