TechFlow News: On May 3, court documents from the U.S. District Court for the Southern District of New York revealed that a U.S. court has issued a restraining order against Arbitrum DAO, prohibiting it from transferring approximately $71 million worth of ETH assets frozen in connection with the KelpDAO hack.
The plaintiffs seek to use these assets to satisfy unpaid judgments related to North Korea’s longstanding acts of terrorism and kidnappings. According to the court documents, the plaintiffs have applied for service of legal notice on Arbitrum DAO via alternative means and have treated it as a legally accountable “partnership.”
The court further emphasized that Arbitrum DAO maintains a Security Council governed by ARB token holders, granting it the capacity to act swiftly in emergencies; consequently, members who refuse to comply may face legal liability, including contempt of court.
Market observers believe this case could become a landmark precedent wherein the U.S. judicial system directly constrains the governance structure of a DAO—and once again highlights the compliance pressures DeFi protocols face under existing legal frameworks.
