{"id":96848,"date":"2024-10-18T06:55:01","date_gmt":"2024-10-18T10:55:01","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=96848"},"modified":"2024-10-18T06:57:17","modified_gmt":"2024-10-18T10:57:17","slug":"uae-to-develop-legal-framework-for-daos","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/uae-to-develop-legal-framework-for-daos\/","title":{"rendered":"UAE To Develop Legal Framework for DAOs"},"content":{"rendered":"\n

The framework will also enable DAOs to enter legally binding contracts and create guidelines for resolving internal and external disputes.<\/p>\n\n\n\n

\"UAE<\/figure>\n\n\n\n

The Ras Al Khaimah Digital Assets Oasis (RAK DAO), a free economic zone in the UAE focused on digital assets, is preparing to launch a legal framework specifically for decentralized autonomous organizations (DAOs). <\/p>\n\n\n\n

According to an announcement\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a> shared with Cointelegraph<\/em>, law firm NeosLegal and RAK DAO stated that the new regime will be introduced and discussed during the DAO Legal Clinic on October 25.<\/p>\n\n\n\n

Irina Heaver, a partner at NeosLegal, explained to Cointelegraph<\/em> that the framework aims to clarify how DAOs can remain legally compliant, which she believes will significantly influence decentralized governance and the broader Web3 ecosystem in the UAE.<\/p>\n\n\n\n

Legal Structure for DAOs<\/h2>\n\n\n\n

RAK DAO's announcement highlighted that the new framework will cover legal and governance requirements for DAOs, including the establishment of a legal structure. <\/p>\n\n\n\n

This structure will outline tax obligations and benefits, allow ownership of both onchain and offchain assets, and offer legal protection from personal liability for DAO founders, members, and contributors.<\/p>\n\n\n\n

The framework will also enable DAOs to enter legally binding contracts and create guidelines for resolving internal and external disputes.<\/p>\n\n\n\n

Remote Establishment of DAOs in the UAE<\/h2>\n\n\n\n

Heaver noted that DAOs could be registered in the UAE under the new regime without requiring a physical presence in the country, allowing DAOs to be “established remotely.” This will also enable DAOs to open bank accounts. <\/p>\n\n\n\n

Heaver added that this remote accessibility makes it easier for global participants to engage with the UAE\u2019s growing virtual assets sector.<\/p>\n\n\n\n

She further mentioned that the new legal framework would strengthen the UAE\u2019s position<\/a> as a global center for blockchain and digital asset innovation, attracting developers and entrepreneurs.<\/p>\n\n\n\n

While DAO legal wrappers can also be set up in Switzerland, where there are no specific regulations for DAOs, Heaver pointed out that establishing a DAO in the UAE would be far more cost-effective. <\/p>\n\n\n\n

She noted that while setting up a DAO in Switzerland could cost up to $46,000, the process in the UAE would start at just $3,000.<\/p>\n\n\n\n

“This affordability allows even the smallest DAOs to protect themselves and operate within a legal framework,” Heaver added.<\/p>\n","protected":false},"excerpt":{"rendered":"

The framework will also enable DAOs to enter legally binding contracts and create guidelines for resolving internal and external disputes. The Ras Al Khaimah Digital Assets Oasis (RAK DAO), a free economic zone in the UAE focused on digital assets, is preparing to launch a legal framework specifically for decentralized autonomous organizations (DAOs). According to […]<\/p>\n","protected":false},"author":56,"featured_media":96851,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[3932,1935,1502,1394],"class_list":["post-96848","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-dao","tag-policy","tag-regulation","tag-uae"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/10\/UAE-To-Develop-Legal-Framework-for-DAOs.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/96848","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/56"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=96848"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/96848\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/96851"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=96848"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=96848"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=96848"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}