# kaal:claim:3652481-001

**Claim.** Tying a DAO's legal existence to an existing legal and jurisdictional framework typically forces the DAO to appoint a representative in that jurisdiction, and that representative centralizes the DAO, which causes the DAO concept itself to fail.

**Type.** failure  **Support.** argued

**Holds when.**

- the chosen jurisdiction requires local legal representation

**Source quote.**

> Tying the legal existence of a DAO to any forms of existing legal and jurisdictional frameworks typically results in the need for a representative in the chosen legal framework and jurisdiction, which, in turn, centralizes the DAO and results in the failure of the DAO concept.

**From.** Wulf A. Kaal, *Decentralized Autonomous Organizations – Internal Governance and External Legal Design* (2020), I. Introduction, page 4

**Cite as.** Wulf A. Kaal, Decentralized Autonomous Organizations – Internal Governance and External Legal Design (2020). SSRN: https://ssrn.com/abstract=3652481

**Verify.** sha256 of source PDF `530b3a40c244aeca2eb4c53f4c9b4d6b2962bd6be9f92b4ebe17139c17f4c0e0` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202020%20-%20Decentralized%20Autonomous%20Organizations%20%E2%80%93%20Internal%20Governance%20and%20External%20Legal%20Design.pdf

**Failure mode.** representation-induced centralization  (family: recentralization-drift)

**Topics.** dao, law-and-legal-systems, decentralization

**Keywords.** dao-legal-design, jurisdiction, centralization, legal-representation

**Related claims.**

- restated_by: https://wulfkaal.github.io/claims/3799320-003
- restated_by: https://wulfkaal.github.io/claims/3799320-017

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.
