Dash Force, the front line of defense and support of Dash community, has announced that Dash Core is now legally owned by the Dash decentralized autonomous organization (DAO). It is the first of its kind for any cryptocurrency.
DAO is an organized and self-funding entity, with no central authority. It is open to participation from anyone. Dash Core Group (DCG), the legal entity for Dash’s development team, has set up a legal structure representing the network, which now owns Dash Core Group. Dash Core CEO Ryan Taylor, opined that it solves many issues involving trust of a centralized party.
Dash Core CEO Ryan Taylor stated that the legal structure allows DCG to grow and support the network, while preventing the risk of a shutdown or liquidation. It also avoids any individual to take control and walk away with millions of dollars of assets, leaving the network with a substantial leadership and development vacuum. The set up also establishes a fiduciary duty back to the network, ensuring DCG is legally required to act in the best interest of the network.
Furthermore, the structure also also provides for a smooth transition path of the assets, organization, and human resources held in Dash Core Group should the network decide to replace its management. Considering these benefits, Dash Core Group is an enhanced asset for the network due to its vastly improved risk profile. This creates lower risks for funding initiatives, both those directly sponsored by Dash Core Group, as well as escrowed funds for other legal entities.
The new structure will allow the network to own various entities that it funds, without compromising masternode privacy, while still allowing them to directly vote on Core leadership, and have that decision legally enforced. The Dash DAO Irrevocable Trust is the legal owner of Dash Core Group, and ultimate control over Dash Core Group leadership resides with the Dash masternodes. The masternodes can feel confident that DCG leadership can be removed and replaced with another leadership team at any time they wish, through an explicit vote on the network. And the trustee must install leadership that the masternodes support.
There have been controversies over Bitcoin developers, allegations of market manipulation by Litecoin founder, and fake announcements by Monero’s lead developer. According to DCG, such issues could have been avoided with its framework.
Finally, according to Taylor
“I think this will have many benefits for the network. First, it creates a model that other contractors can consider emulating to improve their own risk profile and generate trust with the network. Second, DCG is now in a position to enter into legal agreements and escrow funds for smaller contractors, which should lessen incidences of fraud or non-delivery should the masternodes choose to hold proposal owners to a higher standard. In essence, the Dash network has a new tool at its disposal for making its investments deliver value more consistently. Some legal entities serving the Dash network are doing so for profit, and that’s fine. But I believe that Dash Core Group is setting a strong example for other legal entities to follow when serving the network where profit is not the prime motive.”