Noun ritual sacrifice ie ragequit

ragequit() is a consequential piece of infrastructure that DAO participants may see in a range of ways, so maybe its worthwhile to outline a simple mechanic and have a discussion:

the ragequit disbursement (rd) function is necessarily recursive in its simplest equitable form would look something like this:

rd(day+1) = rd(day) * nc(day+1) + rd(day)

where

“days” are settlement-delineated
nc = % Change to Treasury from post settlement balance to EOD
rd(day0) = Noun Auction Price
daymin (first calculation)= Noun Auction settlement day + 1
daymax (last calculation)= ‘current’ day - 1

this version of things evenly assigns the day’s debits/credits to the Treasury to Nouns according to their % interest in the Treasury as of that day, and then rolls that amount forward as their new disbursable value/equity exposure to the next day’s transactions.

notable characteristics of this calculation:

  • Provides defensibly fair (& arbitrage-free) protection from a perceived DAO deviation from a participant’s interests incl. 51% attacks. Requires a fair amount of vigilance to be effective.

  • A Noun’s disbursable value is not directly diluted or enriched by future auctions or secondary market sales.

  • Each Noun’s disbursable value is evenly exposed to the financial consequences of DAO actions throughout their natural lives. Net credits (eg Treasury investment returns) are also disbursable in this model.

  • Outside of gas & emotional distress, there are no direct disincentives to send this transaction. If in future certain DAO expenses were deducted immediately from Auction proceeds this would act effectively as a penalty on frivolous/intemperate bidding.

  • Not a first line of defense for vetting Proposals of subtle/dormant threats such as possible deferred liabilities to the DAO/Foundation etc.

  • Treasury balance is subjected to sudden sharp reductions, which the DAO will have to be mindful of when budgeting

some questions.

  • Is there consensus that this is a good idea in principle?

  • How practically is this added as a valid Treasury interaction? To what extent can it be forked & how many developer hours are needed?

  • It’s an assumption of this post that the returned Noun’s would be burnt. Are there alternatives?

  • Is it desirable that fractional interest be ragequittable (possibly in exchange for suspended voting rights and a regular interest payment)?

  • Add present disbursable value (weight in ETH) to Noun profile page?

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Interesting that this never got a discourse response. Sensible.

What ever came of this besides @verb-e mentioning it in the ragequite writeup?

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