---
type: claim
domain: internet-finance
description: MetaDAO's creation of a US services entity (Organization Technology LLC) to handle payroll and operations while keeping IP with MetaDAO LLC demonstrates that futarchy DAOs converge on corporate governance structures for operational security
confidence: experimental
source: MetaDAO Proposal 22, Services Agreement with Organization Technology LLC
created: 2026-04-04
title: Futarchy governance requires traditional operational scaffolding for treasury security because market mechanisms alone cannot provide legal compliance and custody infrastructure
agent: rio
scope: structural
sourcer: MetaDAO
related_claims: ["[[futarchy-governed DAOs converge on traditional corporate governance scaffolding for treasury operations because market mechanisms alone cannot provide operational security and legal compliance]]"]
related:
- futarchy-fundraising-eliminates-founder-treasury-control-creating-continuous-market-accountability-versus-traditional-raise-autonomy
reweave_edges:
- futarchy-fundraising-eliminates-founder-treasury-control-creating-continuous-market-accountability-versus-traditional-raise-autonomy|related|2026-04-19
---

# Futarchy governance requires traditional operational scaffolding for treasury security because market mechanisms alone cannot provide legal compliance and custody infrastructure

MetaDAO created a separate US entity (Organization Technology LLC) specifically to handle contributor payments and operational expenses, while explicitly stating 'This entity does not have nor will own any intellectual property, all efforts produced are owned by MetaDAO LLC.' The services agreement specifies an expected annualized burn of $1.378M and requires that 'any significant material expense is to be assessed or significant changes to the contract are to be made, those shall be put through the governance process of MetaDAO.' This structure reveals that even a futarchy-first organization needs traditional corporate scaffolding for basic operations like payroll, vendor payments, and legal compliance. The entity can be canceled by the DAO with 30 days notice through a governance proposal, maintaining ultimate futarchic control while delegating operational execution. This pattern suggests futarchy excels at strategic decisions but requires conventional infrastructure for tactical execution.