Polkadot now has a [Foundation](https://polkadot.polkassembly.io/post/2278) established to enable the community to enter service agreements and benefit from legal protections through a proxy organisation in the Cayman Islands however this does not include Kusama...

> *Can this Foundation service Kusama as well?*

> *As the Foundation reserves certain rights and powers for tokenholders, it is unclear how the combination of DOT and KSM holders, with differing governance instances, can jointly indicate their preferences.*

> *After gathering input from key members of the Polkadot community and legal counsel, we suggest moving forward with a Foundation to serve only DOT holders initially. Later as a separate initiative we can consider creating a similar but separate foundation to serve KSM holders, and perhaps even help facilitate the creation of similar foundations for any parachain or DAO in the Polkadot ecosystem.*

KSM holders could benefit from the creation of a similar entity or entities related to its own emergent development priorities.

We have discussed the opportunity over a couple of calls with [Autonomous Projects](https://autonomousprojects.co/), who have worked on establishing the Polkadot entity.

Whilst working with them could be a viable route, we believe with the work already done mapping OpenGov to legalese we can fast track the process in cost-efficient manner with existing legal partner [Sara Hall](https://www.walkersglobal.com/index.php/component/people/professional/498) at Walkers and Lisa McClory of [D2 Legal Tech](https://d2legaltech.com/) who are advising us in the UK.

Whilst Polkadot's Cayman Foundation structure is suitable for service agreements, it would likely not be fit for purpose for negotiating the [ABO Digital treasury financing deal](https://kusama.polkassembly.io/referenda/425), whereas a British Virgin Islands (BVI) entity could potentially be more suitable.

It is worth noting that Walkers provided the legal and accounting foundations for the Polkadot Foundation - as you can see in the [articles of association](https://docs.google.com/document/d/1tvWEuSU4JzrShNE_HR9p0cBiiQSGQ4dJ/edit). 

If this proposal passes then we would submit a proposal for funding the legal research and structuring - we have agreed in principle an initial £10,000 retainer with Walkers subject to the results of OpenGov referendums.

If it fails we'll figure an alternative approach.


- **Problem Statement:** Accounts lost funds due to a bug in the runtime during cross-chain transfers in version 1.1.0 of Kusama.
- **Significance:** Reimbursement is crucial for funds lost due to bugs to maintain trust and integrity in the system.
- **Proposed Solution:** Reimburse funds lost in extrinsics due to the bug in version 1.1.0 of Kusama.
- **Expected Outcomes:** Restoration of lost funds, enhancing user confidence in the system.

WFC: Establish a legal entity or entities to provide limited liability, contractual assurances and commercial interests specific to the Kusama collective

#424 WFC: Establish a legal entity or entities to provide limited liability, contractual assurances and commercial interests specific to the Kusama collective

No Active Proposals