A judge for the United States District Court in the Southern District of California has ruled that DAO token holders can, as members of a general partnership, be held liable in a class action lawsuit for a hack suffered by bZx DAO. The lawsuit relates to a hack the bZx protocol experienced in November 2021 when one of the developers was phished and it was compromised for approximately $55 million worth of tokens.

After the hack, the 'DAO' voted to approve a plan that would eventually provide replacement DAO and debt tokens that would be repurchased. The plaintiffs in this lawsuit allege that this repayment would take "thousands of years."

Listen to the article to find out what this decision could mean for those holding any tokens with governance rights.

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