The Digital Agency of Japan has launched a research decentralized autonomous organization, or DAO, targeting Web3.
The Digital Agency stated that it had established a DAO in an effort to explore the functions and roles of DAOs. The group added it would consider the benefits and challenges of granting the DAO legal status in Japan, citing the U.S. state of Wyoming approving similar legislation in July 2021.
According to the Digital Agency, it planned to investigate aspects of digital assets and DAOs that could potentially be used for “cross-border crimes that exploit blockchain technology” and threaten user protection. The announcement suggested that the agency could conduct a blockchain analysis of complaints related to the digital asset space from Japan’s authorities.
The agency added it was exploring other initiatives related to digital innovating, including the trial run of a nonfungible token, or NFT, “that proves the work history of staff members.” The group noted that such a token would need to fall outside the country’s Anti-Money Laundering and Countering the Financing of Terrorism regulations, as many crypto assets do.
