No doubt, to transition from a society governed by legacy institutions to a society augmented by global DAOs it is helpful to leverage those existing institutions. Be it contract enforcement, closing the gap between corporate governance and virtually governed organizations, liquidation in case of bankruptcy or the recognition of smart property being rightfully accounted for on the asset side of your books. Arguably, in a utopian scenario, governments itself will be disintermediated but for the time being, creating a win/win situation and paving the way for a collaborative transition will benefit the growth of the ecosystem more than confrontation.
I think Ethereum itself will advance the state of affairs quite substantially if they succeed being incorporated as a hybrid (in Switzerland afair). Furthermore, the whole cause is epitomized by the work of Digital Common Law Institute.
My intention is practically that of an advocate for Ethereum enabled business. Hence suppose you can pitch the idea to the minister of finance / business of the nation of your choice. What exactly would they need to know to jump on the bandwagon? Just lately, we saw England ascribing BTC a more clearly defined status and given many nation's distress and dire need for innovation should provide the room for convincing arguments.
Much like a business case, I want to clarify what the respective government cases are. Why should a government adopt new regulation and what does it need to implement.
I'll start of with two basic propositions:
1) Be a hub for issuing credible identification documents on the blockchain:
As can be seen by several scandals hitting the largely anonymous world of crypto-enabled business around the world, there is a need for personality based reputation and hence identification. Notwithstanding the fact that contract enforcement, in the end, needs accountability on a personal level.
The nation of focus can use its existing proof of identity services and issue it on the the blockchain, thereby garnering administration fees and moreover, much respect from the international community to be on the frontier of making the internet a lawful and prosperous place.
2) Host the next Wall Street:
With lower barriers of entry, higher transparency and almost instantaneous global reach, financial markets implemented on Ethereum and the like pose significant advantages over current regimes. If a government chooses to acknowledge liabilities and equity contracts based on Ethereum contracts, it will attract major players and innovative startups to flock into this regulatory framework and attributing to GDP figures.
I appreciate any amendments and more propositions. Lets kickstart the virtuos cycle of government adoption.