1INCH DAO VOTES IN LEGAL TEAM FOR RISKS AROUND DECENTRALIZATION

Last updated: June 20, 2025, 06:49 | Written by: Katie Haun

In a landmark decision highlighting the growing maturity of decentralized autonomous organizations (DAOs), the 1inch DAO has voted to onboard a permanent legal team from Storm Partners, a Geneva-based Web3 solutions provider. Related articles Analysts Highlight Investor Sentiment Shift As Bitcoin Approaches $98,000 Janu One of America s Oldest Investment Banks Sees Bitcoin Soaring to $225K Janu In a historic move that sets a precedent for decentralized autonomous organizations (DAOs), 1inch DAO, the entity behind the 1inch Network, has voted to secure legal advisory [ ]This move signifies a proactive approach to navigate the increasingly complex legal landscape surrounding decentralized finance (DeFi) and the inherent challenges of operating a decentralized network. 1inch DAO votes in legal team for risks around decentralization STORM Partners should help the DAO to face the many challenges its decentralized nature poses. 5 Total views Listen to article 0:00 News The 1inch decentralized autonomous organization (DAO) voted to hire a permanent legal counsel from a Geneva-based Web3 solutions provider, STORM Partners. The [ ]The decision, overwhelmingly approved by the 1inch community with a 96.45% vote in favor, underscores the DAO's commitment to protecting its members from potential liabilities and ensuring the long-term sustainability of the 1inch Network.

This strategic partnership aims to provide 1inch with on-call legal advice, empowering them to defend their rights and interests while establishing a robust structure that shields its members from personal liability. Remember the first time you heard about Bitcoin and cryptocurrencies? What made you fall in love with them? 🥰 Check out these 4 options examined in ourBy securing dedicated legal counsel, 1inch DAO is not only addressing immediate legal concerns but also proactively preparing for future regulatory developments in the evolving DeFi space.This proactive step could prove to be a pivotal moment, setting a precedent for other DAOs to follow as they grapple with the legal ambiguities of decentralization. 1inch DAO, a prominent player in the DeFi space, has chosen to bolster its legal framework by enlisting the services of Storm Partners. The primary objective of this partnership is to tackle the unique challenges inherent in the decentralized ecosystem.It's a move that demonstrates forward-thinking governance and a commitment to responsible innovation within the DeFi ecosystem.

Understanding the 1inch Network and Its DAO

Before diving deeper into the implications of this legal partnership, it's essential to understand the 1inch Network and the role of its DAO. La organizaci n aut noma descentralizada (DAO) de 1inch ha tomado recientemente una decisi n innovadora al votar para contratar asesor a legal permanente. El equipo legal, proporcionado por Storm Partners, un proveedor de soluciones Web3 con sede en Ginebra, ayudar a 1inch a enfrentar los desaf os planteados por su naturalezaThe 1inch Network is a decentralized exchange (DEX) aggregator, meaning it searches across multiple DEXs to find the best prices for token swaps. Storm Partners should help the DAO to face the many challenges its decentralized nature poses. source:This functionality allows users to execute trades with optimal efficiency and minimal slippage, making it a popular tool within the DeFi community.

The 1inch DAO governs the 1inch Network, making decisions on key aspects of the protocol, including protocol upgrades, tokenomics, and treasury management.The DAO operates on a decentralized governance model, where 1INCH token holders can propose and vote on changes to the network. The 1inch decentralized autonomous organization (DAO) has chosen to hire a permanent legal team from Geneva-based Web3 solutions provider, STORM Partners, in response to legal challenges resulting from its decentralized nature. The decision was approved by an overwhelming vote of 96.45%.This democratic process ensures that the community has a direct say in the future direction of the 1inch Network.

The DAO's structure, while offering significant benefits in terms of decentralization and community involvement, also presents unique challenges, particularly in the realm of legal compliance. The 1inch Decentralized Autonomous Organization (DAO) has made the decision to appoint Storm Partners, a Web3 solutions provider based in Geneva, as its permanent legal counsel. In a vote that concluded on January 9, the DAO members overwhelmingly supported the move, with 96.45% in favor.The very nature of DAOs, with their distributed governance and lack of a central authority, makes it difficult to apply traditional legal frameworks.This is where the need for specialized legal counsel becomes apparent.

Why 1inch DAO Needs Legal Counsel: Navigating the Decentralized Landscape

The core reason behind 1inch DAO's decision to hire Storm Partners lies in the inherent legal complexities of operating a decentralized organization.Here are some key challenges that DAOs like 1inch face:

Regulatory Uncertainty: The regulatory landscape for DAOs and DeFi is still evolving, with many jurisdictions grappling with how to classify and regulate these entities.This uncertainty creates legal risks for DAO members and the DAO itself.
Liability Concerns: In traditional organizations, liability typically rests with the company or its directors. The funding will be spent on facilitating an entry to the DeFi space for traditional financial institutions, building new protocols, creating additional utilities for the 1INCH token and scaling up the contributor team. The 1inch team is thrilled to announce a successful closure of a $175 mln series B funding round from institutional investorsHowever, the distributed nature of DAOs raises questions about who is responsible for the DAO's actions.DAO members could potentially face personal liability, depending on the specific circumstances and legal interpretation.
Enforcement Challenges: Enforcing agreements and resolving disputes involving DAOs can be challenging, as there is no central legal entity to hold accountable.
Compliance Requirements: DAOs must comply with various laws and regulations, such as securities laws, anti-money laundering (AML) regulations, and data privacy laws. Skip to content buy crypto; learn crypto; market cap; about us; crypto taxes; Bitcoin; Ethereum; Altcoin; Blockchain; NFTs; More. CrowdfundingHowever, compliance can be difficult to achieve in a decentralized environment.

To mitigate these risks, 1inch DAO recognized the need for expert legal guidance. In a historic move that sets a precedent for decentralized autonomous organizations (DAOs), 1inch DAO, the entity behind the 1inch Network, has voted to secure legal advisory services from STORM Partners. Notably, this decision comes amid growing regulatory scrutiny on the crypto and decentralized finance (DeFi) sectors. 1inch DAO Votes To Onboard STORM Partners For [ ]Storm Partners, with its specialized focus on Web3 legal solutions, is well-positioned to help 1inch navigate these challenges and ensure compliance with applicable laws and regulations.

Storm Partners: Web3 Legal Expertise for 1inch DAO

Storm Partners is a Geneva-based legal firm specializing in providing legal and regulatory solutions for Web3 companies and DAOs.Their expertise covers a wide range of areas, including:

DAO structuring and governance
DeFi regulatory compliance
Tokenomics and fundraising
Intellectual property protection
Contract law

By partnering with Storm Partners, 1inch DAO gains access to a team of experienced legal professionals who understand the unique challenges of the Web3 space. 313 subscribers in the marketscreen community. Welcome to MarketScreen Navigating the Financial Markets Together! 📈 MarketScreen is your go-toThis expertise will be invaluable in helping 1inch navigate the complex legal landscape and protect its interests.

The Specifics of the Agreement

The 1inch DAO has allocated a $50,000 USDC retainer to Storm Partners, signifying a serious commitment to establishing a robust legal framework.This initial investment will cover a range of services, including:

Providing ongoing legal advice on matters related to DAO governance and compliance.
Assisting with the development of legal documentation and policies.
Representing 1inch DAO in legal proceedings, if necessary.
Monitoring regulatory developments in the DeFi space and advising 1inch DAO on how to adapt to changing legal requirements.

The Voting Process and Community Sentiment

The decision to hire Storm Partners was put to a vote by the 1inch DAO community. 1inch DAO Votes To Onboard STORM Partners For Legal Advisory Services. Following voting that ended on January 9 overwhelmingly supported by the 1inch community holders decided to onboard STORM Partners. This marks a significant step forward in the DAO s efforts to navigate the complex legal landscape and protect its members.The results were overwhelmingly in favor, with 96.45% of voters supporting the proposal.This strong consensus demonstrates the community's recognition of the importance of legal compliance and risk mitigation.

The proposal was discussed extensively in the 1inch DAO forums and on social media.Many community members expressed their support for the initiative, highlighting the potential benefits of having dedicated legal counsel. 1inch コミュニティは、1inch DAO ガバナンスプロセスを変更する提案に投票しました. この提案では、st1INCH(v1) の投票および委任戦略を 1inch スナップショットスペースから削除し、st1INCH(v2) の投票および委任戦略を Unicorn Power を使用するように変更することが提案されています。Some also raised concerns about the cost of legal services, but ultimately, the overwhelming majority concluded that the benefits outweighed the costs.

Precedent Setting: 1inch DAO Leading the Way

1inch DAO's decision to hire permanent legal counsel is a groundbreaking move that sets a precedent for other DAOs in the DeFi space. The 1inch DAO has proactively hired legal representation from Swiss firm Storm Partners via an on-chain vote, allocating a $50,000 USDC retainer to safeguard its members from personal liability.While some DAOs have engaged legal consultants on a project-by-project basis, 1inch is among the first to establish a long-term relationship with a dedicated legal team.

This proactive approach demonstrates a commitment to responsible innovation and a recognition that legal compliance is essential for the long-term sustainability of DAOs. Posted by u/Savi321 - No votes and 4 commentsBy taking this step, 1inch DAO is sending a clear message to the DeFi community that it takes its legal obligations seriously.

What Does This Mean for the Future of DAOs and DeFi?

1inch DAO's decision to hire legal counsel has significant implications for the future of DAOs and DeFi.It signals a shift towards greater professionalism and a recognition that DAOs must address legal risks proactively. Storm Partners should help the DAO to face the many challenges its decentralized nature poses.As the DeFi space continues to mature, we can expect to see more DAOs following 1inch's lead and investing in legal expertise.

This trend will likely lead to a more robust and sustainable DeFi ecosystem, as DAOs become better equipped to navigate the complex legal landscape and comply with applicable regulations. The 1inch DAO 39;s move to legally arm itself might just be the smartest chess move in the DeFi space at the moment! 👨 ⚖️🔍 Hiring STORM Partners for legalIt could also attract more institutional investors to the DeFi space, as they gain confidence in the ability of DAOs to manage legal risks effectively.

Potential Benefits for the Entire DeFi Ecosystem

The potential benefits extend beyond just 1inch DAO. The 1inch decentralized autonomous organization (DAO) voted to hire permanent legal counsel from a Geneva-based Web3 solutions provider, Storm Partners. The legal team should help 1inch to face the many challenges its decentralized nature poses. The single-choice voting on obtaining the compreheA more legally sound DeFi space fosters greater trust and stability, attracting more users and capital. 1inch DAO, the entity behind the 1inch Network, has voted to secure legal advisory services from STORM PartnersThis, in turn, can lead to:

Increased innovation as developers feel more secure building on legally compliant platforms.
Greater adoption of DeFi by traditional financial institutions.
A more level playing field for all participants in the DeFi ecosystem.

Addressing Potential Criticisms and Concerns

While the 1inch DAO's move is largely seen as positive, some criticisms and concerns have been raised.It's important to acknowledge these and address them directly:

Centralization Concerns: Some argue that hiring a traditional legal team could lead to centralization, undermining the core principles of decentralization.However, 1inch DAO maintains that the legal team will act as an advisor and will not have the power to make decisions on behalf of the DAO. 1inch 社区已经投票通过修改 1inch DAO 治理流程的提案，提案建议从 1inch Snapshot 空间中移除 st1INCH(v1) 投票和委托策略；更改 st1INCH(v2) 投票和委托策略以使用 Unicorn Power 而不是代币余额；将现有的 20% 加权 v1INCH 策略替换为模拟 UnicornPower 权力衰减的策略，完全归属且未认领的 v1INCH 将大大削弱投票权The community will continue to have the final say on all key matters.
Cost: The cost of legal services can be a significant burden for DAOs, especially those with limited resources. 1inch DAO has carefully considered the costs and benefits of hiring legal counsel and believes that the investment is justified by the potential risks mitigated.
Effectiveness: Some question whether a traditional legal team can effectively represent a DAO, given the unique nature of these organizations. The 1inch decentralized autonomous organization (DAO) voted to hire permanent legal counsel from a Geneva-based Web3 solutions provider, Storm Partners.Storm Partners' specialized expertise in Web3 legal solutions should help to address this concern.

The 1inch DAO and Storm Partners will need to work closely together to ensure that the legal team remains aligned with the DAO's values and principles, and that the legal advice provided is tailored to the specific needs of the decentralized organization. Rationale: Abstain from this proposal to adjust the quorum to 7M UP. While we acknowledge the challenges in 1inch governance dynamics, I believe that such a significant change requires deeper analysis, a better understanding of the 7M UP rationale, and insight into historical voting trends, potential future scenarios, and how this change aligns with the overarching goals of the 1inch DAO.Open communication and transparency will be key to addressing these concerns.

Practical Advice for Other DAOs Considering Legal Counsel

For other DAOs considering hiring legal counsel, here is some practical advice:

Assess Your Legal Risks: Identify the potential legal risks that your DAO faces, based on your specific activities and the jurisdictions in which you operate.
Define Your Legal Needs: Determine the specific legal services that you require, such as DAO structuring, regulatory compliance, contract drafting, or dispute resolution.
Research Potential Legal Providers: Look for legal firms with experience in Web3 and a proven track record of working with DAOs. The decentralized autonomous organization (DAO) of 1inch, a decentralized exchange (DEX) aggregator, has voted to enlist permanent legal counsel from Geneva-based Web3 solutions provider Storm Partners. The decision was made to help 1inch address the legal challenges posed by its decentralized nature.Consider their expertise, fees, and reputation.
Engage Your Community: Discuss the decision to hire legal counsel with your community and solicit their feedback. Happy to see the great news about STORM Partners being voted in as legal counsel for 1inch Network DAO already featured in the Cointelegraph! 🎊🚀 Thanks forEnsure that the community is comfortable with the chosen legal provider and the terms of the agreement.
Establish Clear Communication Channels: Establish clear communication channels between the DAO, the legal team, and the community.This will ensure that everyone is informed and that concerns are addressed promptly.
Monitor Legal Developments: Stay up-to-date on the latest legal developments in the DeFi space and adapt your legal strategy accordingly.

Frequently Asked Questions (FAQs)

What is a DAO?

A Decentralized Autonomous Organization (DAO) is an entity with no central leadership. 1inch DAO votes in legal team for risks around decentralization cointelegraph.com 11 Like Comment Share Copy; LinkedIn; Facebook; Twitter; To view or add a commentDecisions are made from the bottom-up, governed by a community organized around a specific set of rules enforced on a blockchain.

Why are DAOs important?

DAOs offer transparency, autonomy, and community-driven governance. The 1inch DAO's move to legally arm itself might just be the smartest chess move in the DeFi space at the moment! 👨 ⚖️🔍 Hiring STORM Partners for legalThey can be more efficient and resistant to censorship than traditional organizations.

What are the legal risks for DAOs?

DAOs face risks like regulatory uncertainty, potential member liability, enforcement challenges, and compliance requirements with various laws.

How can a legal team help a DAO?

A legal team can provide advice on structuring, compliance, contract drafting, and represent the DAO in legal proceedings, mitigating legal risks.

Will hiring lawyers centralize the DAO?

If structured properly, a legal team should act as an advisor, providing expertise without centralizing decision-making power, which remains with the DAO community.

Conclusion: A Smart Chess Move for DeFi's Future

The 1inch DAO's decision to enlist Storm Partners as permanent legal counsel marks a significant step forward in the maturation of the DeFi space. Related: 1inch DAO votes in legal team for risks around decentralization Botaitis highlighted the vital role ecosystem partners play in boosting Hedera s rapid adoption.By proactively addressing the legal challenges inherent in decentralization, 1inch is not only protecting its own interests but also setting a precedent for other DAOs to follow.This move underscores the importance of responsible innovation and the need for DAOs to take their legal obligations seriously. The DAO, which governs the 1inch network, is known primarily for its decentralized exchange (DEX) aggregator. The idea was for the DAO to have legal advice on call to defend its rights and interests, and to start putting in place a structure to protect its members from personal liability.As the DeFi ecosystem continues to evolve, we can expect to see more DAOs adopting similar strategies, leading to a more robust, sustainable, and legally compliant future for decentralized finance.This might indeed be the smartest chess move in DeFi so far, paving the way for wider adoption and greater trust in decentralized governance.The emphasis on member liability protection through this partnership can not be overstated.

By taking a proactive approach, 1inch DAO showcases a commitment to long-term sustainability and responsible innovation, paving the way for other DAOs to navigate the complex legal landscape of the decentralized world successfully. 1inch DAO votes in legal team for risks around decentralization VTBConsider this a call to action for other DAOs: assess your legal risks, engage your community, and consider securing legal counsel to ensure a secure and compliant future.The future of DeFi depends on it.