8. DAO Design

The creation of a DAO may require its founders to review its "draft design" prior to launching the DAO smart contract. The platform will allow several people specified in the role of "founder" to work together on setting up the DAO. For the "draft design" to become a DAO smart contract, it will require approval by all the founders, who will receive the appropriate NFTs after the DAO is launched.

The platform will offer several different pre-configured sets of initial parameters for the DAO, created for various purposes. Each such set will be a blockchain analogue of certain popular varieties of DAO and legal structures of the "real world”: a DAO fan club, a crowdfunding fund for the purchase of NFT, a typical American LLC, a venture investment fund in the Cayman Islands, a joint stock company with an unlimited number of shareholders, etc.

It is assumed that the creation of a DAO legal wrapper will be automated on the Platform (but at later stages of its development): proposals on the form of legal incorporation, jurisdiction and service provider, preparation of draft legal entity documents depending on the settings of the DAO. The issue of integration with a legal service provider will be worked out in order to fully automate the process.

Approval of changes to the documents on the formation of the DAO, documents related to the legal entity of the DAO will occur through the introduction of Proposals and voting of the DAO on the blockchain. All relevant documents will be stored in the DAO resources, voting decisions will be recorded in the blockchain. The same procedure applies to all DAO Proposals that do not require treasury spending.

DAO can be created indefinitely or for a period of time. The validity period of the DAO can be extended.

After the expiration of the DAO or when the corresponding decision is made by the DAO voting, the process of liquidation of the DAO begins:

· all DAO activity on the blockchain is terminated;

· all Experts and Protectors are dismissed, only the Manager remains, DAO stops investing in Investment Projects and spending money on anything other than the Manager's fees (no bonuses);

· DAO Treasury distributes all its tokenized assets, minus the budget provision for the Manager/liquidation, to the wallets of DAO token holders in accordance with the settings of GT classes and in proportion to the number of tokens in possession;

· All further operations of the DAO Treasury are reduced to the receipt of income from Investment Projects and its distribution among the participants of the DAO.

After the start of the liquidation process, the DAO can be completely liquidated if no income is received by the DAO Treasury for distribution within a certain period of time, or there are no tokenized assets in the DAO Treasury and the Manager ceases their activities in the interests of the DAO.

The tokens of the DAO in liquidation may be burned immediately or sometime after the decision to liquidate has been made.

The specific liquidation procedure is stated in the DAO's Liquidation Proposal. Ragequit in the form of payment of part of the assets of the DAO Treasury to those voting against liquidation is not provided, but a fork will be possible.