The Republic of the Marshall Islands passed the Decentralized Autonomous Organizations Act of 2022 on Thursday, recognizing DAOs as limited liability companies (LLC).
The new law will allow DAOs to be incorporated in the Marshall Islands. It will provide these DAOs with an internationally recognized LLC structure as long as they identify as DAO LLCs. The government has also created a registry process for DAOs. The Marshall Islands DAO (MIDAO) will helm this registry and be responsible for onboarding crypto and blockchain communities that wish to register as LLCs in the island nation.
Previously, the Marshall Islands had recognized DAOs as legal entities.