From 57ed9672aab71c4acf57dcde0437e1beb4b9be59 Mon Sep 17 00:00:00 2001 From: m3taversal Date: Sun, 15 Mar 2026 17:19:53 +0000 Subject: [PATCH] add domains/internet-finance/amm-futarchy-reduces-state-rent-costs-by-99-percent-versus-clob-by-eliminating-orderbook-storage-requirements.md --- ...minating-orderbook-storage-requirements.md | 32 +++++++++++++++++++ 1 file changed, 32 insertions(+) create mode 100644 domains/internet-finance/amm-futarchy-reduces-state-rent-costs-by-99-percent-versus-clob-by-eliminating-orderbook-storage-requirements.md diff --git a/domains/internet-finance/amm-futarchy-reduces-state-rent-costs-by-99-percent-versus-clob-by-eliminating-orderbook-storage-requirements.md b/domains/internet-finance/amm-futarchy-reduces-state-rent-costs-by-99-percent-versus-clob-by-eliminating-orderbook-storage-requirements.md new file mode 100644 index 00000000..be611259 --- /dev/null +++ b/domains/internet-finance/amm-futarchy-reduces-state-rent-costs-by-99-percent-versus-clob-by-eliminating-orderbook-storage-requirements.md @@ -0,0 +1,32 @@ +--- +type: claim +domain: internet-finance +description: "AMM architecture eliminates the 3.75 SOL per market pair cost that CLOBs require for orderbook state storage" +confidence: likely +source: "MetaDAO proposal CF9QUBS251FnNGZHLJ4WbB2CVRi5BtqJbCqMi47NX1PG, 2024-01-24" +created: 2026-03-11 +--- + +# AMM futarchy reduces state rent costs by 99 percent versus CLOB by eliminating orderbook storage requirements + +Central Limit Order Books (CLOBs) in futarchy implementations require 3.75 SOL in state rent per pass/fail market pair on Solana, which cannot be recouped under current architecture. At 3-5 proposals per month, this creates annual costs of 135-225 SOL ($11,475-$19,125 at January 2024 prices). AMMs cost "almost nothing in state rent" because they don't maintain orderbook state—just pool reserves and a price curve. + +The MetaDAO proposal notes that while state rent can theoretically be recouped through OpenBook mechanisms, doing so "would require a migration of the current autocrat program," making it impractical for existing deployments. + +This cost differential becomes material at scale: a DAO running 50 proposals annually would spend ~$30K-$50K on CLOB state rent versus near-zero for AMMs, creating strong economic pressure toward AMM adoption independent of other mechanism considerations. + +## Evidence +- MetaDAO proposal documents 3.75 SOL state rent cost per CLOB market pair +- Annual projection: 135-225 SOL for 3-5 monthly proposals +- AMM state requirements described as "almost nothing" +- State rent recovery requires autocrat program migration (feedback section) + +--- + +Relevant Notes: +- [[MetaDAOs Autocrat program implements futarchy through conditional token markets where proposals create parallel pass and fail universes settled by time-weighted average price over a three-day window]] +- metadao.md + +Topics: +- domains/internet-finance/_map +- core/mechanisms/_map \ No newline at end of file