4 ms·

This is rather unfortunate. I understand they have good intentions of keeping an important document out of private collector hands but this would have been a st

This is rather unfortunate. I understand they have good intentions of keeping an important document out of private collector hands but this would have been a stellar time to issue governance tokens and expose the wider world to the potential offered by DAOs.

lottin 5y ago
And what would that potential be? Just curious, I don't see any potential.
javert 5y ago
It cannot be taken for granted that they have good intentions. In the crypto/NFT/DAO space, be suspicious until proven otherwise.
- jimkleiber 5y ago
  > It cannot be taken for granted that they have good intentions. This is where I pull back and kinda laugh with irony at the effort. Much of this process (most likely because of the hurried pace) seems to be "just trust us" but wasn't the whole point of the Constitution to build a system of checks and balances so we didn't have to just trust one group of people?
astoor 5y ago
> "they have good intentions of keeping an important document out of private collector hands" Well, out of other private collector hands, into their own private collector hands. As other commenters have pointed out, the members of the public who donate to this don't have any form of ownership.
- toomuchtodo 5y ago
  They could have formed a 501c3 non profit, accepted tax deductible fiat donations, established a governance model, and arranged ongoing storage and viewing of the document. Private shared ownership could’ve been membership interest in an LLC managed by Carta or similar. LLCs have no membership limit unless taxed as an S corp (to my knowledge). I bet if you brought Carta enough money they’d prioritize an option to make your ownership interest public and shareable on their backlog, by entity, individual participant, or however else you want to slice and demonstrate ownership interest.
  - throwawaycities 5y ago
    > Private shared ownership could’ve been membership interest in an LLC managed by Carta or similar. LLCs have no membership limit unless taxed as an S corp (to my knowledge). You can’t offer membership interest to the public unless you are registered with the SEC and in compliance with the states you make your public offering. There are some exceptions to the SEC for limits much lower than the ~$30M raised as of now.
    - toomuchtodo 5y ago
      Nor can you with crypto. I suggested the path avoiding unnecessary tech, the regulatory requirements apply regardless. An SEC complaint would likely clear the matter up, if anyone is feeling particularly adventurous.
      - shiftpgdn 5y ago
        I believe they only have to fulfill the SEC requirements if there is an expected return on investment.
        deleted 5y ago
        [deleted]
      - throwawaycities 5y ago
        but they didn’t offer a security or investment contract, they offered a token that gives holders a form of governance/voting. You are saying you offered a suggested oath to “avoid unnecessary tech”, but you removed the concept of a voting right for a security. There is plenty of precedent of the SEC responding favorably to “no action letter requests” without requiring registration when organizations publicly offer voting/governance rights in exchange for money.
      - throwawaycities 5y ago
        but they didn’t offer a security or investment contract, they offered a token that gives holders a form of governance/voting. You are saying you offered a suggested path to “avoid unnecessary tech”, but you removed the concept of a voting right for a security by suggesting they could have offered interest in an LLC. There is plenty of precedent of the SEC responding favorably to “no action letter requests” without requiring registration when organizations publicly offer voting/governance rights in exchange for money.
wallacoloo 5y ago
> You are receiving a governance token, not fractionalized ownership. Governance includes the ability to advise on (for illustrative purposes) where the Constitution should be displayed, how it should be exhibited, and the mission and values of ConstitutionDAO. uh, that’s what they’re doing. They ARE issuing governance tokens.
- dragonwriter 5y ago
  They call it “governance” but describe it giving the ability to advise, but not the ability to govern.

lottin 5y ago

And what would that potential be? Just curious, I don't see any potential.

javert 5y ago

It cannot be taken for granted that they have good intentions. In the crypto/NFT/DAO space, be suspicious until proven otherwise.

jimkleiber 5y ago
> It cannot be taken for granted that they have good intentions. This is where I pull back and kinda laugh with irony at the effort. Much of this process (most likely because of the hurried pace) seems to be "just trust us" but wasn't the whole point of the Constitution to build a system of checks and balances so we didn't have to just trust one group of people?

astoor 5y ago

> "they have good intentions of keeping an important document out of private collector hands" Well, out of other private collector hands, into their own private collector hands. As other commenters have pointed out, the members of the public who donate to this don't have any form of ownership.

toomuchtodo 5y ago
They could have formed a 501c3 non profit, accepted tax deductible fiat donations, established a governance model, and arranged ongoing storage and viewing of the document. Private shared ownership could’ve been membership interest in an LLC managed by Carta or similar. LLCs have no membership limit unless taxed as an S corp (to my knowledge). I bet if you brought Carta enough money they’d prioritize an option to make your ownership interest public and shareable on their backlog, by entity, individual participant, or however else you want to slice and demonstrate ownership interest.
- throwawaycities 5y ago
  > Private shared ownership could’ve been membership interest in an LLC managed by Carta or similar. LLCs have no membership limit unless taxed as an S corp (to my knowledge). You can’t offer membership interest to the public unless you are registered with the SEC and in compliance with the states you make your public offering. There are some exceptions to the SEC for limits much lower than the ~$30M raised as of now.
  - toomuchtodo 5y ago
    Nor can you with crypto. I suggested the path avoiding unnecessary tech, the regulatory requirements apply regardless. An SEC complaint would likely clear the matter up, if anyone is feeling particularly adventurous.
    - shiftpgdn 5y ago
      I believe they only have to fulfill the SEC requirements if there is an expected return on investment.
      - deleted 5y ago
        [deleted]
    - throwawaycities 5y ago
      but they didn’t offer a security or investment contract, they offered a token that gives holders a form of governance/voting. You are saying you offered a suggested oath to “avoid unnecessary tech”, but you removed the concept of a voting right for a security. There is plenty of precedent of the SEC responding favorably to “no action letter requests” without requiring registration when organizations publicly offer voting/governance rights in exchange for money.
    - throwawaycities 5y ago
      but they didn’t offer a security or investment contract, they offered a token that gives holders a form of governance/voting. You are saying you offered a suggested path to “avoid unnecessary tech”, but you removed the concept of a voting right for a security by suggesting they could have offered interest in an LLC. There is plenty of precedent of the SEC responding favorably to “no action letter requests” without requiring registration when organizations publicly offer voting/governance rights in exchange for money.

wallacoloo 5y ago

> You are receiving a governance token, not fractionalized ownership. Governance includes the ability to advise on (for illustrative purposes) where the Constitution should be displayed, how it should be exhibited, and the mission and values of ConstitutionDAO. uh, that’s what they’re doing. They ARE issuing governance tokens.

dragonwriter 5y ago
They call it “governance” but describe it giving the ability to advise, but not the ability to govern.