4 ms·

No, a corporation is a legal entity that must have directors and officers, aka people. Without that, you don't have a corporation. And after reading the articl

No, a corporation is a legal entity that must have directors and officers, aka people. Without that, you don't have a corporation. And after reading the article, they aren't a legally recognized corporation.

dragonwriter 10y ago
> No, a corporation is a legal entity that must have directors and officers, aka people. OR, a corporation is a legal entity formed by a corporate charter that is treated as a person under the law. In any case, whatever these ethereum-based things are, they aren't corporations.
- zardo 10y ago
  >In any case, whatever these ethereum-based things are, they aren't corporations. They may end up creating and operating corporations, but DAOs are their own thing.
  - dragonwriter 10y ago
    > They may end up creating and operating corporations Sure, if people ever make the rather radical changes to law that would be required for them to create, operate, or even merely passively own shares in corporations, that might be the case.
    - zardo 10y ago
      I should have been more clear, that is what I meant. However, I don't think it's far fetched that some tiny island nation will do exactly that
  - will_brown 10y ago
    To expand on Dragonwriter's point just a little. Lets pretend DAO somehow autonomously filed Articles of Incorporation in DE. What is required by DE? A DE physical address for the corp.; a registered agent located in DE; and a incorporator (doesn't need to be shareholder, but must be an individual). Already we see it is an impossibility for DAO to do this autonomously. But lets pretend it wasn't impossible, DAO autonomously entered into a Lease, contacted with a registered agent, contracted with a corporate lawyer too be the incorporator and file the Articles. Whats the next step? A bank account, well DAO doesn't have a social security, and doesn't qualify for TIN. The Corp. can't get an EIN, which means it can't open a bank account, which effectively means it can't do business. Well again, lets pretend the DAO C-Corp doesn't need a bank account because well Bitcoin is perfect right? DAO autonomously creates a Bitcoin wallet for the corp and does all business through that, well the company still doesn't have an EIN, which means it won't be able to pay taxes.
    - HillaryBriss 10y ago
      > won't be able to pay taxes Sounds like the ultimate corporation to me. Until now, corporations have had to spends millions of dollars on accountants and lobbyists to avoid paying taxes. Well, friends ... no more. Because this organization is genetically incapable of paying taxes! Forgot the Cayman Islands and Nicaragua! Forget double Dutch reverse corporate inverse backdoor Irish LLCs with a post office box in Nevada! Gentlemen, put down your cigars and cognac and get to know your new best friend: little DAO ...
- c2315261 10y ago
  Ethereum still exists?
  - drdeca 10y ago
    Yes
mathattack 10y ago
The ownership chain also has to ultimately go back to people.
- trentmb 10y ago
  I don't see why a tree couldn't own it. https://en.wikipedia.org/wiki/Tree_That_Owns_Itself https://en.wikipedia.org/wiki/Tree_That_Owns_Itself
- roywiggins 10y ago
  Not always: > In February 2004, for example, Formations House created three companies: Corporate Nominees, Legal Nominees, and Professional Nominees. The second company owns the other two, while itself being owned by the first company. The third company is secretary for the other two, while its own secretary is the first company. The second company is director of the other two, while its own director is the first company. These three companies then became directors, secretaries and shareholders of other structures, in an increasingly baffling multidimensional web of crisscrossing lines of control. If you looked for the companies’ real owners, the most you could eventually discover was that the original three all owned, controlled and managed each other. https://www.theguardian.com/business/2016/apr/19/offshore-central-london-curious-case-29-harley-street https://www.theguardian.com/business/2016/apr/19/offshore-ce... This was fixed in law in 2008 in the UK, but for all I know there are jurisdictions that allow these sorts of shenanigans still.

dragonwriter 10y ago

> No, a corporation is a legal entity that must have directors and officers, aka people. OR, a corporation is a legal entity formed by a corporate charter that is treated as a person under the law. In any case, whatever these ethereum-based things are, they aren't corporations.

zardo 10y ago
>In any case, whatever these ethereum-based things are, they aren't corporations. They may end up creating and operating corporations, but DAOs are their own thing.
- dragonwriter 10y ago
  > They may end up creating and operating corporations Sure, if people ever make the rather radical changes to law that would be required for them to create, operate, or even merely passively own shares in corporations, that might be the case.
  - zardo 10y ago
    I should have been more clear, that is what I meant. However, I don't think it's far fetched that some tiny island nation will do exactly that
- will_brown 10y ago
  To expand on Dragonwriter's point just a little. Lets pretend DAO somehow autonomously filed Articles of Incorporation in DE. What is required by DE? A DE physical address for the corp.; a registered agent located in DE; and a incorporator (doesn't need to be shareholder, but must be an individual). Already we see it is an impossibility for DAO to do this autonomously. But lets pretend it wasn't impossible, DAO autonomously entered into a Lease, contacted with a registered agent, contracted with a corporate lawyer too be the incorporator and file the Articles. Whats the next step? A bank account, well DAO doesn't have a social security, and doesn't qualify for TIN. The Corp. can't get an EIN, which means it can't open a bank account, which effectively means it can't do business. Well again, lets pretend the DAO C-Corp doesn't need a bank account because well Bitcoin is perfect right? DAO autonomously creates a Bitcoin wallet for the corp and does all business through that, well the company still doesn't have an EIN, which means it won't be able to pay taxes.
  - HillaryBriss 10y ago
    > won't be able to pay taxes Sounds like the ultimate corporation to me. Until now, corporations have had to spends millions of dollars on accountants and lobbyists to avoid paying taxes. Well, friends ... no more. Because this organization is genetically incapable of paying taxes! Forgot the Cayman Islands and Nicaragua! Forget double Dutch reverse corporate inverse backdoor Irish LLCs with a post office box in Nevada! Gentlemen, put down your cigars and cognac and get to know your new best friend: little DAO ...
c2315261 10y ago
Ethereum still exists?
- drdeca 10y ago
  Yes

mathattack 10y ago

The ownership chain also has to ultimately go back to people.

trentmb 10y ago
I don't see why a tree couldn't own it. https://en.wikipedia.org/wiki/Tree_That_Owns_Itself https://en.wikipedia.org/wiki/Tree_That_Owns_Itself
roywiggins 10y ago
Not always: > In February 2004, for example, Formations House created three companies: Corporate Nominees, Legal Nominees, and Professional Nominees. The second company owns the other two, while itself being owned by the first company. The third company is secretary for the other two, while its own secretary is the first company. The second company is director of the other two, while its own director is the first company. These three companies then became directors, secretaries and shareholders of other structures, in an increasingly baffling multidimensional web of crisscrossing lines of control. If you looked for the companies’ real owners, the most you could eventually discover was that the original three all owned, controlled and managed each other. https://www.theguardian.com/business/2016/apr/19/offshore-central-london-curious-case-29-harley-street https://www.theguardian.com/business/2016/apr/19/offshore-ce... This was fixed in law in 2008 in the UK, but for all I know there are jurisdictions that allow these sorts of shenanigans still.