Crypto, DAOs & Real-World Assets - from Golf Course to Constitution

An interesting development / trend in the world of investing has been the use of DAOs to crowdfund all types of projects, with some of the most interesting ones including real-world assets.

At the end of last year, we saw a group of crypto-users crowdfund more than $40M to bid for an early version of the US constitution (but got outbid by a billionaire) via ConstitutionDAO

Just this week, another example popped up of fundraising for a golf course via an NFT sale: LinksDAO NFT Sale Books First $10M Toward Buying an Actual Golf Course

What’s your take?

I believe it’s a very powerful concept and trend to keep an eye on. At the same time, DAOs are struggling to interact with real-world entities and legal challenges have and will come up. ConstitutionDAO ran into an issue that auction houses can’t conduct business with a DAO and as pointed out in the LinksDAO article, they too will have to set up a regular limited company in order to deal with day-to-day management and having the ability to own traditional assets such as real estate. To prevent legal complications, LinksDAO for now is selling membership rights & perks as opposed to ownership, bonds or legal rights typically associated with investments. It’ll be very interesting to keep an eye on where this will go in the 2022!