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###### tags: `DAO of the Week`
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# DAO of the Week notes, MIDAO

If you want to learn more about whether to incorporate your DAO, go to: https://www.midao.org/?utm_source=newsletter&utm_medium=email&utm_campaign=gnosis

Adam Miller05:31
Yeah, well, yeah, so we have a gnosis safe more than one if we look at our partner companies that we work closely with.

Christina Kirsch06:33
So basically a DAO can come to you and then you help get them set up so they're protected.

Adam Miller07:08
Yeah, so that's good way of putting it. First of all, it could be CAO coming to us or could be people starting a DAO, depending on how you want to look at it.
Kind of like Startup DAOs or most of our customers, there's few people starting it out or thirty people starting out whatever it is.
And it's fair to say that we protect them, but think just to be really technically clear. We do protect them from unlimited liability by giving them a corporate liability shield.
We also give them corporate personhood, which is not about protecting them necessarily, although it can help protect their intellectual property.

Adam Miller07:55
But that's about being able to open bank account or an exchange account or sign contracts of any kind, hire employees.
So all that stuff, and then finally, you could say, we protect them from paying too much taxes. Really what we do is we give them an entity that can pay taxes so that they're not going to get the default tax treatment from.
The IRS or whoever they're dealing with, so that's probably much more than you can put it in hundred words, but just thought I'd explain that Free.

CK
Christina Kirsch08:29
I'm definitely going to have more information, well, we'll try and have little bits of bunch of things. So how did you get started

Adam Miller08:36
I was consulting for DAOs and one of the DAOs I was consulting for is Clipper Exchange their DAO and they realized they needed a legal entity to accept a grant from Moonbeam.
And this is common use case where dow has been offered like million dollars and they can't accept it because the grant.
The Grant Tour, can only give it to legal entity. And so we saw that this was problem and looked around and there were no good solutions like Wyoming wouldn't work because we needed to be global.
Not US based other jurisdictions wouldn't work because they require you to have board like Cayman Islands or BVI.

Adam Miller09:29
Other jurisdictions were on tax evasion list or black list so that it would be hard to open a bank account.
So we knew people in the Marshall Islands from prior projects that had never really taken off the way this is.
And we reached out and that started a conversation with the Marshall Islands government about helping them become the world's leading home for douse.
And the reason they're interested in that partly is because they're already the world's leading home for shipping companies. And so this another niche that they could go after and try to become a leading destination for.

CK
Christina Kirsch10:07
That's interesting, but is it like Flags of Convenience or something like that?

Adam Miller10:36
yeah, so like 20% of the world's shipping capacity takes place on Marshall Islands ships or to his ships owned by companies based out of the Marshall Islands.
So that's actually why I was my co founder, who said, Wait a second. In some ways Dows are a little bit like ships, they don't really belong anywhere because they're always going between places and Dows are kind of like everywhere.
All at once, and maybe there's something similar about them that would make it especially apt for the Marshall Islands to do this.
that was good story to tell with the government.

CK
Christina Kirsch11:14
That's interesting, yeah, you look at it like that. so if a dow wants to say, like totally decentralized them. They can't open bank account as a dow, it has to be like someone specific in the dow.

AM
Adam Miller11:30
Well, I think there is. A. You could argue there's a centralization point where, like, if you open a bank account, you have to have signatories.
Right, so you could argue that those signatories are like point of centralization. But it is probably important to at least note that signatories have to do what the Dow tells them to do by law, right?
If a signatory on a bank account does something other than what the Dow wants. They're breaking the law, and like you go jail for that, like it's fraud.
so, right? Just like, if you are given corporate credit card and you start using it on the wrong stuff, like frog.

Adam Miller12:14
So that's what a legal entity does allow you to, and by the way, same thing with the MultiSync Hold.
If you have a multisig, you can use the legal entity to legally obligate the multisig signers to do what the dow votes.
If you want, Yeah, and so like if you look at it was that those two big, Olympus down this other Dow merged and then one of them got hacked.
And like a month or two ago, one of them voted to compensate the victims of the hack. And then like the market crashed and the multi stakeholders were like, this doesn't actually seem like good idea, didn't do it.

Adam Miller12:58
And then they actually propose another vote and said, well, let's vote again, because things have changed this time, people voted not to compensate the victims.
Which, and could argue whether or not that's actually the right decision. But the fact that the multi sikholders can just say that this doesn't seem like good one.
At least with legal entity, or you could use other ways of doing legal contracts. But like with the legal entity you can make it so those multistickholders are like management of the company and they have to do what the company tells them to do.
So actually, now that I think about it, it's kind of relevant to Gnosis, obviously by way.

CK
Christina Kirsch13:39
I don't want that job.

Okay, I think I have enough for hundred words.
Yeah, thank you. Do you want a call to action in there all for anyone to like? Go to the discord or anything like that.

AM
Adam Miller14:01
Yeah, one idea is we have the guide to Dow and Corporation which is available anyone who goes our website.
Unless they've already closed the box, before, will see an invitation to download the guide to Down Corporation. Actually, I'm there now and it's it's not coming up.
I was told they added like a five second delay. We try it in a different browser.

Adam Miller14:36
My DAW org. That's probably the best place to send people, like if they want to learn more, but I'm thinking we have this guide to Dow and Corporation.
And that could be a nice thing to offer as a follow up, like if you want to look. Because really it's much more than just about my da's project, at the end I do mention my dog.
But it's really about how to think about why you should incorporate your dau or or why you should or should and then how to do it different options that are out there.

Adam Miller15:09
So I want to try to get a link actually that takes people directly to that, Do you think that would be good?

CK
Christina Kirsch15:14
Well, it's up to you, I mean, I can also just say, if you want to learn about whether you like about.
What incorporating your Dow? Go to My Dow.org.

AM
Adam Miller15:31
Yeah, that's probably that's probably right.