AL HB483

Creates a new legal entity type called "decentralized unincorporated nonprofit associations" requiring at least 100 members joined in digital activity for a common nonprofit purpose, including administering distributed ledger technology or smart contract networks

Authorizes these associations to use blockchain technology, smart contracts, and algorithmic consensus mechanisms for governance, voting procedures, and organizational decision-making

Establishes that members and administrators are not personally liable for the association's contracts or tortious acts solely by virtue of their membership or administrative role

Permits profit-making activities with proceeds used for nonprofit purposes, allows reasonable compensation to members and administrators, but prohibits profit distributions except upon dissolution

Effective date: October 1, 2026