# DAOs have a major boundary problem [[Distributed Autonomous Organizations (DAOs)]] have the same problem as NFTs: [[NFTs have a major boundary problem]]. If the purpose of a DAO is to have a real-world impact, someone has to actually **do** those things. But DAOs are not employers and don't have legally binding contracts. DAO voting to do things has no legal weight either. Even creating a legal corporation does not solve the problem because the people ultimately in charge (required by law!) are still a named set of humans. Making it possible for software to employ humans as an independent legal entity is a neat idea, but doesn't exist yet. So, DAOs are reliant on humans who are agreeing to do what the DAO says but **aren't obligated** to do so. Thus it is actually worse than starting a company or non-profit to do whatever it is you want a DAO to do. DAOs are more complicated and legally unclear (at best).