Wyoming stays on the frontlines of cryptocurrency adoption after it legally recognizes the first DAO
In another crypto-friendly move, Wyoming state it has approved the first legally recognized Decentralized Autonomous Organization (DAO) in the United States. This come after in March of this year Wyoming already passed legislation into law recognizing DAOs as a distinct form of limited liability companies.
According to a July 4 announcement, the Wyoming Secretary of State’s office on July 1 send confirmation to the American CryptoFed DAO recognizing it as a legal entity,
Chief Executive Officer of the American CryptoFed DAO, Marian Orr, stated:
“Wyoming is the leading digital assets jurisdiction in the USA, and now with this DAO law, Wyoming is arguably the top blockchain jurisdiction in the world. What this means is that creating a true digital currency with mass acceptance is now possible.”
Orr stated that the DAO’s native algorithmic stable token, the Ducat, facilitates fee-free transactions. The Ducat uses delegated-proof-of-stake (DPoS) consensus to achieve high-speed transactions and is therefore not decentralized.
Representing 165 of the largest merchants in the U.S., the Merchant Advisory Group (MAG), expressed its support of the filing. MGA CEO, John Drechny, emphasized that the group has always advocated for more competition in the payment acceptance space.
The American CryptoFed DAO was recently established by mobile banking solutions provider mSHIFT on July 1st, 2021. Its mission is to promote a two-token economy immune from inflationary or deflationary influences.
By interest that is paid to Ducat holders and rewards issued to the network’s users, new tokens are issued. Ducat rewards and interest rates will be adjusted dynamically by machine learning. In an effort to remain immune from inflation, the Ducat tends to appreciate against the USD with the amount of inflation the dollar experiences.
There is also a governance token, Locke, which is used to stabilize Ducat. The token is in compliance with the Token Safe Harbor Proposal 2.0 outlined by SEC Commissioner Hester Peirce in April.
Wyoming has been fighting at the forefront of crypto adaptation in the U.S. and is considered one of the most favourable States towards cryptocurrency. Cryptocurrency exchange Kraken received a Wyoming State banking license which officially allowed the business to run a bank in the United States.
Recently, Senator Lummis had also said that cryptocurrency have the power to bring people together. It certainly looks for those sports and gambling enhusiasts. The state also had just approved sports betting with the twist that players can use cryptocurrency to fund their accounts.
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