UAE's Ras Al-Khaimah Introduces Legal Framework For DAOs

According to CoinDesk, Ras Al-Khaimah (RAK), a region in the United Arab Emirates (UAE), has launched a new framework for decentralized autonomous organizations (DAOs) within its free zone dedicated to digital assets. The DAO Association Regime (DARe) aims to provide a structured legal framework specifically designed for DAOs, as announced in a press release on Tuesday. DAOs are blockchain-based organizations governed by code. The introduction of DARe is seen as a significant step towards establishing RAK as a global hub for the blockchain and digital assets ecosystem. Luc Froehlich, Chief Commercial Officer of RAK DAO, stated that the framework will enable DAOs to interact with the off-chain world, facilitating activities such as opening bank accounts and owning both on- and off-chain assets. Dr. Sameer Al Ansari, CEO of RAK DAO, highlighted that the regime will offer tax optimization and legal clarity for DAOs. The framework will feature two models: one tailored for emerging projects with fewer than 100 members and another for more mature DAOs with treasuries exceeding $1 million.