What is a DAO?

A DAO is a Decentralized Autonomous Organization. A DAO is a new type of corporate structure that is run by a series of smart contracts, streamlining, and automating the operations behind the company to ensure longevity and maximum efficiency.

What is a DAO LLC?

A new type of LLC in which no leading member or organization has majority rule. In a normal LLC, a select few members make the business's core decisions. A DAO has been modeled on the premise of decentralization where digital assets represent membership and have rights defined by the operating agreement. That operating agreement can be facilitated autonomously through a series of “Smart Contracts” that operate without any human interaction. While one person or entity must form the DAO, they do not retain sole control over the DAO. This means the business can run without a traditional business structure. All “members” of the DAO have a say in the actions of the organization.

Key Features

No Leading Member or the Organization has majority rule

Decentralized governance pinned to digital assets and an operating agreement

Automated operations through a series of Smart Contracts

A departure from the traditional way of running business operations

How are DAOs Created?

The formation of a DAO is not all that different from forming any other kind of business. Legally compliant DAOs are LLCs, which means they are limited liability companies. A limited liability company means that the company is considered its own legal entity, regardless of how it pays taxes through the owner’s tax return. This also means that members are not personally liable for any legal actions against the entity, but does not prevent the company itself from facing legal proceedings.

DAO Advantage


Decentralized Autonomous Organizations (DAO) are more inclusive and responsive to stakeholder input because every member has a say. That means you don’t have to know the right people or have a certain amount of skin in the game (beyond the initial required token purchase) to be included in the decision-making or benefit from the organization’s profits.


Decentralized Autonomous Organizations (DAO) structures are formulated to have maximum transparency about organizational operations with the DAO members because the members manage the organization. Through a system of on-chain governance, proposal submissions, voting, and multi-signature wallets, the entire inner workings of the organization are memorialized on the blockchain for all to see.


Most entities at their start are managed by as mall membership team to steward the organization’s early success. In the context of a DAO, member managed support begins to evolve from a self-managed organization to a progressively decentralized autonomous entity. At the start, BLOCKS intends to lay the early foundation for the DAO to grow into a fully autonomous, algorithmic entity.


BLOCKS DAO aims to migrate traditional industries onto blockchain. Through a blend of blockchain and non-blockchain partnerships, BLOCKS intends to grow the utility of its digital asset to become a unit of measure for Blockchain. Our goal is to become blockchain agnostic and integrate existing applications into blockchain technology using BLOCKS. We welcome like-minded individuals, entities, and network participants to join in on our mission of setting the standard for a legally registered DAO LLC.