how DAO, secure smart contracts, identity, more
1. The question (and answers): Setting up DAOs, how now?
Miles Jennings, David Kerr
An essential tool for achieving the benefits of web3, DAOs (decentralized autonomous organizations) enable more equitable ownership among stakeholders, reduced censorship, and greater diversity through decentralization. They come in many flavors to serve different community interests, but the question is how do these new organizations exist as legal entities? Especially since there’s no one-size-fits-all approach. So a16z crypto general counsel Miles Jennings, with David Kerr of Cowrie, not only summarize the options out there – but also continue to advance the field by analyzing the many legal, tax, and operations questions involved. They offer a 4-step guide to help builders think through DAO entity selection as part of their ongoing series.
read how to pick a DAO legal entity - a summary and guide
download the legal entity selection framework - full paper
preview just the selection framework & features - charts only
Other takes: An analysis of LLC shortcomings and of DAO-specific statutes in different states in The Defiant
2. Checklist: Smarter contracts — toward more secure web3 development
Andy Beal, Nassim Eddequiouaq, Riyaz Faizullabhoy, Christian Seifert
Many web3 hacks could be preventable with more emphasis on smart contract security. Just as in every other field of critical software (kernel, firmware, etc.), it’s imperative to have security built-in, from the start, and across the entire smart contract development lifecycle: from design and testing to deployment and maintenance. The authors share a simple, actionable ‘checklist manifesto’ with 8 security considerations to help builders ward off hacks in smart contract development and deployment. But remember: security is never just a simple matter of ticking boxes in a simple checklist to manage complexity!
check out the smart contract security checklist
3. Building blocks: reads & resources
Theme: decentralized identity for web3
On why sign-in with Ethereum is a game-changer / Gregory Rocco part 1 & part 2
On decentralized reputation and when your identity travels with you / Scott Kominers & Jad Esbers
On ‘byoa’ (bring your own algorithms) NFTs to help maximize personal property rights, interoperability, cross-platform freedom, more / @ryanberckmans @thecryptopeter @mallowsxyz
On the challenge of identification & participation in web3 / Joshua Gans
On uses of blockchain in non-financial applications - including account management, reputation, and more / Vitalik Buterin
How to’s, experiments, & demos
On how to mint an NFT of your own / pplpleasr
On how to run an Ethereum full node on AWS (for ~$60 per month) / Amir Bolous
On experimenting with making a counterfactual revocable-delegation contract format / Dan Finlay
News & events this week
On the ‘Responsible Financial Innovation Act’, a bipartisan bill that aims to create a legal framework for digital assets / overview + full text
On the SEC proposal that would broaden the definition of securities dealers / Elise Hansen in Law360
On The Merge / how it impacts the Ethereum application layer | Ropsten network | contextualization of transition issues | recap of call (Tim Beiko)
Continuing the conversation
[see last week’s edition here]
On “a beachfront lot for you in the metaverse” / professor and Nobel Laureate Alvin Roth
On “perhaps the sexiest introduction to cryptography I've ever read” / agm
-- with Sonal Chokshi, Robert Hackett, Elena Burger, a16z crypto team
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