SC H4766

Creates a legal framework for Decentralized Autonomous Organizations (DAOs) in South Carolina by adding Chapter 58 to Title 33, recognizing DAOs as a form of limited liability company

Requires DAOs to file articles of organization with the Secretary of State, specify either member-managed or algorithmically managed governance, and include "DAO," "LAO," or "LLC" in their name

Protects DAO members from personal liability for organization debts and obligations, except in cases of fraud, knowing law violations, or willful misconduct

Mandates annual reporting to the Secretary of State including operational status, governance updates, smart contract changes, and major security incidents

Requires DAOs to comply with applicable federal securities and commodities laws, as well as anti-money laundering and know-your-customer requirements when applicable