1 Inheritance DAO Governance Process

1.1 General Operating Procedure

The InheritanceDAO Governance Process is a set of binding rules, aiming at organizing the Association’s governance and working procedures. In order to ensure that IDAO activities are conducted fairly in a manner that does not unduly benefit some competitors to the detriment of others, it is important that proceedings of the organization be conducted openly and with the opportunity for participation from all interested parties. To that end, the policies of the IDAO conform to the following guidelines.

1.2 Objective

The InheritanceDAO combines, synchronizes and leverages blockchain-related activities to serve as a superior, neutral body to aggregate and coordinate blockchain activities related to its members Inheritance processes.

1.3 DAO Structure

The InheritanceDAO recognizes that it will operate as a Working Group or Guild, until a more robust membership model has been agreed upon by members. As such, ID recognizes that it is derivative or guild of the original Decentralized Autonomous Organization which describes a type of network connecting individual nodes that act autonomously on the basis of self-created rules. A DAO’s financial transaction record and program rules are maintained on a blockchain and Member activities are not influenced by a central government.

As of February 2023 ID is not a legal entity but acts purely as an Insurance against the death of its members and hence subsequent loss of crypto assets. As such, the InheritanceDAO will be supported by a set of governance processes headed by yet to be appointed founding members. This facilitates the integration of the InheritanceDAO into society at large. It addresses insurance, socio-psychological, legal and economic aspects as well as providing a point of contact for doing business. With this structure, the InheritanceDAO combines the advantages of decentralized networks with the essential requirements of a crypto death insurance for society.

key words:

Atomic networks Inheritance Working Group (IWG) Inheritance Plan (IP) Inheritance Working Group Core Members (IWG Core) IDAO Residual = Residual Funds not paid out or directly attributed to IDAO eIWG = extra Working Group

1.4 Core Elements of the IDAO

The IDAO shall consist of several entities which make up IDAO structure. Amongst these entities, but not limited to the entities listed, are the following:

1.4.1 Core Team

The IDAO is represented by the core team (in and out of court). Core team, the founding members represent the IDAO to the outside world and decide on the principles of the work of the association, taking into account its objectives. While initially the founding members represent the IDAO, in the long run a core Team will be subject to an election process by its members, as is usual practice in democratic governance. It is suggested that core Teams are elected in a General Meeting for a term of four years. Re-election shall be permitted. Until a new election, the CORE members remain in office. Core members decide on the distribution of all financial resources and assets available to the association. Further, they manage the affairs of the association and directs all administrative tasks including:

• Preparation and implementation of the events of the association, the publication of its information resources and communications.

• Convocation and preparation of the General Meetings

• Convocation and preparation of annual Inheritance Plan Reviews

• Accounting, preparation of the annual report and the fulfillment of related statutory and regulatory obligations. (once the DAO becomes legal registered entity)

• Issuing of orders as well as the conclusion and the termination of labor, works and other contracts, which are concluded with third parties to assist in the fulfillment of the statutory duties of the association.

• Admission and participation in the exclusion of Members

1.4.2 Working Groups

InheritanceDAO Working Groups (hereafter: IWGs) are established to facilitate the collaboration between the IDAOs full Members. IWGs are task forces that focus on one specific Inheritance Plan for a member. However, across Inheritance Plan Working Groups and at a later stage of the development of the DAO, there maybe IWGs building sector-specific knowledge around blockchain, insurance or legal. Working Groups can steer the direction of related standards on how best to process inheritance plans.

1.4.3 Extra Inheritance Working Groups

Across Inheritance Plan Working Groups and at a later stage of the development of the DAO, there maybe Extra-IWGs building sector-specific knowledge around blockchain, insurance or legal. Extra Working Groups can steer the direction of related standards on how best to process inheritance plans. Participants can also be individuals or entities external to the IDAO. Extra-IWGs be, but are not limited to:

*General Blockchain Hubs *Virtual Blockchain Hubs *Academy Educational Programs & Scientific Research *Events Conferences, Hackathons, Meetups *External law firms or individual lawyers *Notaries *Insurance Representatives

1.4.4 Inheritance DAO Appelate Body (IDAO AB)

IDAO AB is the appellate body of IDAO. IDAO AB provides a venue for Members to appeal decisions made by the core team. In such cases, the IDAO AB can make binding decisions overruling the board IDAO AB will base its decision on the spirit of the IDAO code of conduct and governance guidelines as set forth in this document. If the IDAO AB rejects the appeal, the draft may be revised and resubmitted to the core team. If however, the IDAO AB accepts the appeal, the core team must confirm the proposal.

This IDAO AB is essentially similar to an IWG or eIWG however its procedures are more defined and based on an appeals process.

1.5 Governance and NFT Tokenomics

The original idea of decentralized autonomous organizations came from Dan Larimer. The implementation of that idea, the Bitshares protocol, even today serves as a blueprint for what a decentralized autonomous organization is meant to be.

In such protocol based implementation, human actors effectively have very little influence and can only change the path of the organization through a voting mechanism. Dan Larimer also invented the POS Consensus and its first implementation was Bitshares.

However the overall usability of the system was heavily criticized and hence developers refused to work on decentralizing the protocol further. With a lack of usage and development, the protocol was ultimately forked under a 51% attack due to a lack of sufficient decentralization and hence it became its own blueprint of why POS is not considered a stable consensus. Bitshares similar to Bitcoin previously, proved that with sufficient decentralization, a protocol could find a stable temporary consensus on its own via a token. That token would manage transaction load and hence avoid sibyl and other DDOS attacks (or economic free rides). Gregory Di Prisco, the former Head of Business Development at MakerDAO suggests that DAOs have in essence 2 functions:

a.) Bounties, Funding, Treasury (Money ) b.) Permissions (Politics)

Funding is its own apparatus and every stakeholder should have a very clear understanding (after all it maybe a trigger to motivate action by stakeholders). Hence it is much more efficient to decide top down about funding rather than having community votes on funding. In the case of InheritanceDAO this maybe relevant e.g. in the event a fund is created that should be managed so to decide on best exit strategy over course of Bitcoin economic cycles etc.

Permissions – whether something happens or it doesn’t can only be handled by majorities.

Mixing the 2 has proven to be very difficult in so called DAOs (because they usually do not function like a protocol as the original DAOs were envisioned ) but more like small companies – that use cheap blockchain tech to formalize ideas. This is not autonomous organization at protocol level as envisioned by bitshares blockchain. InheritanceDAO has to be clear about the fact that even though it caries the name “DAO” and intents to reduce cost of co-ordination and limiting byzantine actors, IDAO will not – at least not in the beginning do so via an autonomous protocol but rather through set rules, subsequently bylaws.

1.6 Code of Conduct

The IDAO was founded to combine, synchronize and leverage blockchain-related activities of law firms, lawyers, notaries, insurance companies and scientific institutes. This Code of Conduct includes a set of principles and values that reflect the beliefs of IDAO participants and their expectations towards their counter parties. The IDAO Code of Conduct is based on international conventions such as the Universal Declaration of Human Rights, the Guiding Principles on Children and Entrepreneurship, United Nations Guiding Principles on Business and Human Rights, the OECD Guidelines, and the UN Global Compact (Sustainable Development Goals). Members of the IDAO accept its Ethical Code of Conduct, and are obliged to adhere to the principles set out in this document. The IDAO Members engage in a constructive and open dialogue with their business partners and stakeholders to pursue the principles of ethically responsible economic activity. IDAO Members not adhering to this Ethical Code of Conduct may have their Membership in the association terminated following a vote by the core team outlined in the IDAO Membership rules.

1.6.1 Interpretation

The IDAO Code of Conduct covers all IDAO Members as well as their business partners. The IDAO Governance Process (and eventual IDAO Bylaws – after incorporation) are an integral part of the IDAO Code of Conduct. The IDAO Code of Conduct should be read and interpreted in conjunction with them. IDAO Membership agreement currently does not include any bylaws as IDAO itself is currently considered an experiment.

1.6.2 Values

By adopting the IDAO Code of Conduct and implementing it in their work, IDAO Members are guided by the following values:

*At no point shall a member dis-appropriate Inheritance Funds. *All work related to the process of retrieving inheritance funds from the deceived shall be communicated openly to all IWG Members. The work should be split according to consensus among IWG members. *Team work is considered of highest value to support IWG members psychologically and mentally during the process of retrieving funds.

• It is considered unethical to not engage in the IWG process since it puts assets at risk of not being retrieved and hence left unused.
• Members of IWG are expected to keep up to date with technological developments in order to be in a position to execute the crypto inheritance retrieval at any point in time. *Retrieving the crypto assets should never be outsourced to third parties. *At a minimum, one annual IP meeting should be attended per year IRL or online. *Compliance with national legislation is the first duty of the Members.

1.6.3 Implementation

The principles set out in the IDAO Code of Conduct establish the objectives and minimum expectations of IDAO Members with regard to social behavior within the IDAO. While it is not possible to ensure full compliance with the Code by all their business partners at all times, IDAO Members undertake to take appropriate measures to comply with the principles of the IDAO Code of Conduct. Compliance with national legislation is the first duty of the Members. In countries where national laws and regulations conflict with the IDAO Code of Conduct, IDAO Members should seek ways of complying with those principles that best meet IDAO principles.

1.6.4 Remuneration

IDAO Members are eligible to receive compensation as specified by the Inheritance Plan. Trustees are responsible to clearly define remuneration with their IWG.

IDAO itself will not run a treasury otherwise. Inherited donations will be spend by DAO vote to be confirmed.

1.6.5. No Forced Labor

IDAO Members may not resort to any form of servitude, forced or compulsory labor, serfdom or involuntary labor to directly or indirectly support IDAO operations. If a member wishes to retire from a specific IWG or from the IDAO completely, she/ he will be free to do so after submitting a written eMail confirming the same at any time.

1.6.6 Ethical Business

IDAO Members shall comply with this principle if, without prejudice to the objectives and expectations set out in this chapter, they are not involved in any form of bribery, blackmail, embezzlement or any form of bribery, including, but not limited to, the promise, offer or grant of any unfair financial or other incentives. IWG Members are expected to have accurate information about their activities, structure and performance and to disclose it in accordance with applicable regulations and industry benchmarking practices especially with regard to IDAO matters.

1.6.7 Data Protection and Privacy

IDAO Members must take reasonable care regarding the collection, storage and use of personally identifiable information. All data IWG has access to during the process of retrieving funds, should be considered striclty private and can never be shared.

1.7 Membership & Anonymity

It will be suggested that all IDAO operations and members will be kept anonymous for security.

Unless members want to specifically expose their avatar or online / public profiles, it is highly recommended to not expose once identity.

There are significant security reasons. Please DYOR.

For public membership, members of the IDAO may be natural persons or legal entities (public or private law entities, noteries) as well as professorships and universities. Membership admission takes place after written application by the potential Member and by confirmation of the IDAO core team. All approved members shall have voting rights.

To proof that members accept the conditions layed out in this membership agreement, new members who have been reviewed and approved by core team will be admitted to IDAO subject to signing and voting on the membership agreement on Snapshot.

Members are not precluded from joining any similar Organizations.

1.8 Taxes

For the avoidance of any doubt, any taxes will be the responsibilities of the recipient of the inheritance. IWG will only serve as enabler.