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Your legal entity

What the Cayman SPC is, what it holds, and what the B-1 filing means.

5 min read · Updated Aug 2026

A treasury protected by code is only half of a company. The other half is a real that can sign contracts, own intellectual property, hold a bank relationship, and be held accountable in a court. Backable can create one for you inside the wizard, in about five minutes.

What gets created

A Cayman Islands segregated portfolio company, provisioned through MetaLeX. Your project becomes a portfolio within it, legally separated from every other project in the structure — one project's liabilities cannot reach another's assets.

Cayman is the standard jurisdiction for this because it recognises the structure, does not add a second layer of entity-level tax on top of what members already owe, and has decades of case law around segregated portfolios. It is not an exotic choice; it is the boring one.

What the entity holds

  • The project's intellectual property — code, brand, designs, whatever you assign to it.
  • The domain and the accounts that run the project.
  • Contracts with suppliers, contractors, and customers.
  • The relationship to the DAO, which is what makes the treasury and the entity one company rather than two unrelated things.

Who controls it

The entity answers to the DAO. Founders operate it day to day within the , but decisions that dispose of what it holds — selling the brand, licensing the IP, winding it up — require a decided by a . That is the mechanism that stops a founder from raising into a DAO and then quietly moving the valuable parts into a company they own personally.

Assigning your IP

The wizard asks you to declare what intellectual property exists and to confirm, clause by clause, what is being assigned to the entity. This is the part founders are most tempted to skim, and the part backers should read first. A project whose code still sits in a founder's personal account has a treasury protected by code and an asset protected by nothing.

Conditional on funding. The assignment in the legal pack takes effect only if the raise meets its minimum. Miss the goal and the IP stays with you — the same rule that lets every backer reclaim their money.
What backers see. Your IP declaration appears on the raise page. Declaring that something is not assigned is a legitimate choice — a patent you licensed rather than own, for instance — as long as it is stated.

Your role as Operator

Signing the pack makes you the Operator of the SegCo under a Services Agreement. Three things that agreement says plainly, and that the wizard cannot soften:

  • You are an at-will independent contractor of the SegCo, not an employee. Either side can end the relationship.
  • You agree to run the project through the SegCo and to submit the decisions the Operating Agreement requires to decision markets.
  • MetaLeX is not your law firm. Nothing in the formation flow creates an attorney–client relationship or constitutes legal advice.

Download the full pack before you sign — Services Agreement, IP Assignment, MetaLeX Terms, and the SegCo Governance Agreements: MetaDAO founder legal pack (PDF).

The transparency filing

Separate from the entity, the is a standard disclosure covering prior token sales, market-maker arrangements, insider allocations, and known risks. It is voluntary. Because it is voluntary, its presence tells a reader more than its contents usually do.

What it costs and what it doesn't do

Formation is handled inside the create flow and priced there. What it does not do: it does not make you compliant with securities law in your own country, it does not replace tax advice, and it does not turn a project into a business. It gives the project a legal body that outlives any individual founder, which is the prerequisite for everything else.

Not legal advice. This page describes what the tooling creates. Whether that structure suits your situation is a question for a lawyer in your jurisdiction.