Request funds to (1) retain outside legal counsel for advice on DXdao’s legal structure and compliance questions, and (2) schedule meetings with tax specialists to answer questions on how to track crypto earnings for DXdao contributors.
I’ve been a community member and contributor for the past 6 months, and have recently transitioned into a general counsel role with DXdao. In this new role, I’ve met with contributors and spoken at meetings about the need for DXdao to retain outside counsel.
To my knowledge, DXdao is one of the only DAOs that exists solely on the Ethereum blockchain. I love this about us: we’re an innovative DeFi community that operates in a truly decentralized manner. However, with our innovative structure comes lots of interesting and (sometimes) complex questions on how to conduct business. These questions will continue to arise as DXdao changes and expands its product portfolio. In order to serve the interests of the DXdao community, it would be helpful to have a law firm with expertise in fintech on retainer and available to remediate any future compliance issues.
To help DXdao with this need, I’ve received a quote for a retainer from Polsinelli, PC, which is a full-service national law firm based in the United States. The firm has strong fintech, securities, corporate, and venture capital practices. Here are the lawyers that will be on retainer:
The initial retainer is $5,000 to be billed at an hourly rate. I plan to use the law firm sparingly, and will come back to the community at any point if a new round of funding for the retainer is needed.
I’ve also had meetings with DXdao contributors on taxation questions regarding invoicing payments from a DAO. Because our contributors live all over, there is no one-size-fits-all solution to these questions. In order to clarify best practices, I’d like to take 2-4 meetings with tax specialists in various jurisdictions. In order to fund this, I am requesting $500. I’ll hold these funds in an attorney trust account and bill any payments against the $500 and return any leftover funds.
In gathering this information, I’ll share anything useful with the DXdao community on how to deal with crypto earnings from a DAO based on residence.