According to the announcement published yesterday, July 4th, the US state of Wyoming has just approved the first legally recognized DAO (Decentralized Autonomous Organization) in the country.
A newly-formed DAO gets officially recognized in Wyoming
The US state of Wyoming has been the crypto-friendliest state for quite some time now. It appears that it wishes to continue being known for this by legalizing another aspect of the crypto industry — DAO. Yesterday’s announcement revealed that the American CryptoFed DAO received a notice from the state’s Secretary of State on July 1st, officially recognizing it as a legal entity.
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The American CryptoFed DAO’s CEO, Marian Orr, said that the new move will make Wyoming the top blockchain jurisdiction in the world. For the first time in the history of crypto, it is possible to create a truly digital currency with mass acceptance.
The filing was also supported by the MAG (Merchant Advisory Group) — a group representing 165 of the country’s largest merchants. MAG’s CEO, John Drechny, said that the group has always been supportive of greater competition in the payment acceptance space.
Details about American CryptoFed DAO
American CryptoFed DAO was established only days ago, on July 1st, by mSHIFT — a major mobile banking solutions provider. Its goal is to promote a new, two-token economy that would not suffer from traditional finance issues, such as inflationary or deflationary influences. According to Marian Orr, the DAO has a native algorithmic stablecoin called the Ducat, which offers zero-fee transactions.
The token is based on EOS’ blockchain, which was chosen due to its DPoS consensus algorithm. As such, EOS (EOS/USD) can offer high speeds at the expense of decentralization. There is also a possibility of issuing new tokens through interest, that is paid to Ducat holders, as well as rewards issued to the users of the network.
Both rewards and interest rates are dynamically adjusted by machine learning. The DAO’s second token is its governance token, known as Locke. This token is used to stabilize Ducat, and, of course, to allow the holders to participate in decision making.
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