DAO-Specific Legislation Isn't Needed Yet, English Legal Body Says
The Law Commission of England and Wales stated it does not recommend creating a new legal framework for decentralized autonomous organizations (DAOs) in the U.K. It noted that DAOs could fall under existing regulations, such as the Financial Services and Markets Act 2000, and advertising their tokens may be subject to promotion rules. The legal status of DAOs is still unclear, and a unified legislative approach may not be suitable due to their differences. The report also highlighted potential tax and litigation implications for DAOs. The commission has previously contributed to legislation related to distributed ledger technology and sought views on crypto regulation. It suggested a comprehensive analysis of when fiduciary duties might apply to software developers.
