• Yearn core members, Gnosis, dOrg, MetaCartel Ventures, the LAO all confirmed concerned about personal legal liability. Many more likely also concerned.
• Recent tweet storm from Gabe Shapiro:

https://twitter.com/lex_node/status/1371097566163652609

Every project is trying to solve this problem through the idea that a "sufficiently decentralized" DAO provides its members with some kind of legal protection — but this is actually quite unclear. The only thing it does seem to provide is legal protection for the original launch team if they skidaddle after launching the DAO.

solutions

• One direction to reduce legal liability is to make sure you are not doing anything illegal. For example, register the DAO as a legal entity in a way that provides more liability protection but also requires more compliance — look at dOrg, MCV, the LAO. The new legislation in Wyoming can help with that
• Make sure anyone can "opt out" of a DAO at anytime, especially before a decision is executed (e.g. ragequit?) - this at least makes it possible for individual members to opt out of the DAO and reduce their liability in case the DAO turns evil.
• .. tbc