Why the Ooki DAO Case Could Hurt Participation in DAOs

Nikhilesh De, CoinDesk’s managing editor for global policy and regulation, comes to talk about the CFTC lawsuit against Ooki DAO and the potential consequences across the crypto industry. 

Show highlights:

• the enforcement action against Ooki DAO and the CFTC’s arguments behind it
• whether bZx’s statements that the DAO would be beyond the reach of regulators made it a target for the CFTC
• whether the broader implication of these charges could mean that all DeFi is illegal
• whether the hacks of bZx made it a high-profile target
• the CFTC Commissioner Summer Mersinger’s dissenting statement and her concerns
• who the targets of the CFTC enforcement action are
• the consequences of the lawsuit for token holders and how to determine which token holders are liable
• why the CFTC chose to post a notice in the Ooki DAO forum and whether that is sufficient notice 
• what the next steps for DAO members are and whether there will be wide community support

Thank you to our sponsors!

Nik

Previous Coverage of Unchained on regulation:

• Why Senator Pat Toomey Thinks SEC Chair Gary Gensler Is Wrong About Crypto
• Congressman Ro Khanna: How to Get More Democrats into Web3
• Why the Crypto Industry Believes SEC Regulation by Enforcement Hurts US Consumers

The lawsuit against Ooki DAO

• CFTC Filing
• $250,000 fine
• Nik’s article
• CFTC Commissioner Summer Mersinger’s dissenting statement
• Jake Chervinsky’s opinion
• Ooki DAO’s options
• CFTC serving the members of the Ooki DAO via their forum

Tim Copeland’s article on what’s next for DAOs