D&O Insurance for DAO-Controlled Nonprofits: Navigating Risk in a Decentralized World
D&O Insurance for DAO-Controlled Nonprofits: Navigating Risk in a Decentralized World Let’s be honest — DAOs are exciting, unpredictable, and sometimes feel like you’re trying to govern a country with a Reddit thread. Now, imagine you’re part of a nonprofit DAO trying to help people — maybe funding open-source climate research or building an education protocol. Then the inevitable happens: a vote misfires, someone sues, and suddenly you’re not a “community contributor” anymore — you’re “defendant #3.” That’s when people start frantically Googling: “Do DAOs have insurance?” The answer? Yes — if they’re smart about it. Enter: Directors and Officers (D&O) Insurance . Not sexy, but it can save your DAO's treasury and sanity. This post walks you through why nonprofit DAOs need this coverage, what insurers look for, and how to protect your contributors without centralizing your soul. 📌 Table of Contents Why DAO-Governed Nonprofits Need D&O Insurance Ho...