Lido Community Votes to Designate Entity to Respond to Pending Class Action Lawsuit Proposal Against Lido DAO

According to the Snapshot governance page, the Lido community voted to approve the "Designated Entity to Respond to Pending Class Actions Against Lido DAO" proposal. The proposal stated that a private plaintiff filed a class action lawsuit numbered 3:23-cv-06492 in the United States District Court for the Northern District of California, naming "LIDO DAO, a general partnership" as the defendant. In the complaint, Lido DAO was accused of being a "general partnership operating an Ethereum staking business", and LDO tokens or LDO token transactions were accused of being securities or securities transactions, and Lido DAO was accused of offering or selling these securities to the public in violation of securities laws. On June 27, the court ruled that the plaintiff's service of legal documents to Lido DAO through various public releases was legal, and required Lido DAO to respond within 14 days, otherwise it would face a default judgment on the plaintiff's claim. Therefore, without acknowledging and expressly dissenting that Lido DAO is a partnership, association, or other legally identifiable group or entity, this Proposal proposes to appoint and fund the hiring of legal counsel (currently expected to be Brown Rudnick, led by Partner Stephen Palley) by Dolphin CL, LLC, a Delaware limited liability company (“Dolphin”). The requested funding amount is $200,000 DAI, which is expected to be sufficient to cover the services of Dolphin and its legal counsel to draft, file, and argue a motion in support of a motion to dismiss the claims involving Lido DAO.