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How to serve a legal notice to a DAO?
What is a DAO?
A Decentralized Autonomous Organization (DAO) is like "an Internet-based community with a shared bank account".
You can think of it as a mutual fund where instead of a central manager, the participants decide on the investment and other issues.
DAOs exist only on a blockchain and their rules are coded in "smart contracts". Since DAOs run on public blockchains, anyone can verify all the financial transactions made by the DAO. Members of a DAO don't have to trust each other - they have to trust the code.
Today's question is ... How to serve a legal notice to a DAO?
A US Federal Court has ruled that a legal notice can be served to a DAO through a website help bot and forum post.
The ruling was made in a case involving the Ooki DAO. The US Commodity Futures Trading Commission (CFTC) has alleged that Ooki DAO offers "illegal leveraged and margined trades without a Futures Commission Merchant designation or Know-Your-Customer program".
If the DAO does not respond within 3 weeks, the CFTC could win a default judgment.
The ruling is here:
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