Cayman Foundations Become the New Favorite for DAOs: Registrations Surge by 70%, Major Regulatory Test Looms in 2026

[BlockBeats] The number of foundation registrations in the Cayman Islands has been surging—over 1,300 were registered in 2024 alone, a year-on-year increase of 70%. What’s even more impressive is that in just the first five months of 2025, more than 400 new foundations have already popped up.

The growth behind this trend is quite interesting. More and more DAOs are looking for a “legal ID,” and Cayman foundations are hitting that sweet spot: they can help you manage treasury funds, handle intellectual property ownership, and deal with those headache-inducing compliance documents. Data shows that at least 17 foundations now have treasuries exceeding $100 million—this is no small feat.

However, a major development is coming in 2026—the OECD’s CARF reporting framework will officially launch. In short, this means a global joint effort to close tax loopholes for crypto assets, and service providers like exchanges and custodians in the Cayman Islands will have to start conducting background checks and reporting information. The good news is, if you’re just a protocol treasury holding tokens or a passive-type foundation, you most likely won’t be required to report.

The compliance wave is already on its way, and DAOs need to start preparing in advance.