# kaal:claim:4529715-022

**Claim.** Decentralized organizations carry inherent risks that require establishing a legal entity, and establishing that legal entity inherently contradicts the notion of decentralization.

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

**Holds when.**

- decentralized insurance organizations

**Source quote.**

> Third, decentralized organizations themselves come with inherent risks that require establishing a legal entity, which inherently contradicts the notion of decentralization.

**From.** Wulf A. Kaal, Josh Bykowski, *Decentralized Autonomous Organizations (DAO) – A Market Meta Analysis* (2023), Decentralized Insurance, page 83

**Cite as.** Wulf A. Kaal, Josh Bykowski, Decentralized Autonomous Organizations (DAO) – A Market Meta Analysis (2023). SSRN: https://ssrn.com/abstract=4529715

**Verify.** sha256 of source PDF `2d71961e8c449afbeaf45ca4f53de8a575d45c77d6960b767d3d1d0874f296b5` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20and%20Bykowski%20-%202023%20-%20Decentralized%20Autonomous%20Organizations%20%28DAO%29%20%E2%80%93%20A%20Market%20Meta%20Analysis.pdf

**Failure mode.** legal-wrapper-paradox  (family: legal-personality-and-liability-gap)

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

**Keywords.** dao, legal-wrapper, decentralization, paradox, liability

**Related claims.**

- extends: https://wulfkaal.github.io/claims/3652481-040

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