Forming a Wyoming DAO LLC in 2026 is a straightforward legal process if you follow the sequence in order. Total DIY cost: $350. Total time: 3-4 weeks. Here is the complete walkthrough.
Week 1: Foundational Decisions
- Pick your company name — must include "DAO", "LAO", or "DAO LLC". Check availability at
wyobiz.wyo.gov. - Choose management mode — algorithmically managed (smart contract executes) or member-managed (token vote → human executes).
- Deploy or identify your governance smart contract — must be operational before filing. Common patterns: Governor.sol (OpenZeppelin), Snapshot + Safe multisig, custom governance contracts.
- Select a registered agent — Wyoming-based, $150-500/year. Popular: Northwest Registered Agent, Wyoming Agents, Rocket Lawyer.
Week 2: File with State
- File Articles of Organization at
sos.wyo.gov/Business/. $100 filing fee. Include: name, registered agent, management mode declaration, smart contract identifier(s). - Receive filing confirmation within 24-48 hours online (or 5-10 days by mail).
Week 2-3: Operating Agreement + EIN
- Draft operating agreement using Wyoming DAO Coalition template (free) or attorney-drafted ($1,500+). Sign digitally, keep with company records.
- Apply for EIN — Form SS-4 online (if US-owned) at IRS.gov, or by fax to +1-855-215-1627 (if non-US-owned). Free. Turnaround: online instant, fax 4-6 weeks.
Week 3-4: Bank Account + IRS Election
- Open bank account — Mercury, Relay, or SVB Startup (post-recovery). Provide: Articles + Operating Agreement + EIN. Setup 5-10 business days.
- File tax election (optional) — default is partnership treatment (Form 1065). Elect C-corp with Form 8832 if beneficial. S-corp not viable (requires US-resident members).
- Set up state tax registration — Wyoming has no state income tax, so this is minimal (just $60 annual report + license tax).
Ongoing Compliance
- Annual report to Wyoming SoS by anniversary date ($60 minimum)
- Federal tax return (Form 1065 for partnership, Form 1120 for C-corp) by March 15 / April 15
- K-1 delivery to members with token positions (partnership mode)
- Registered agent renewal (annual)
- Documented member vote at least once per 12 months (avoids §17-31-115 dissolution)
Common First-Year Mistakes
- Filing without a deployed smart contract (Articles rejected)
- Using standard LLC name without "DAO" suffix (Articles rejected)
- Missing annual report ($100 late fee + eventual administrative dissolution)
- Not documenting a member vote annually (§17-31-115 dissolution)
- Failing to issue K-1s (IRS penalty up to $310 per late K-1)