[contravariant]

To the best of my knowledge the tree of life actually is a tree though. Or are there known cases where two species have merged to create a new species?

Okay I suppose that it becomes a DAG if you zoom into the actual ancestral relations between individual organisms (which is where things become muddy). And I guess the concept of 'species' kind of forces a tree structure upon this DAG (although not exactly, but then the biologists didn't think to use a definition that provably produces a tree, in fact being of the same species isn't even an equivalence relation).