entities/internet-finance/sanctum-offer-investors-early-unlocks-cloud.md

@@ -0,0 +1,39 @@
+---
+type: entity
+entity_type: decision_market
+name: "Sanctum: Should Sanctum offer investors early unlocks of their CLOUD?"
+domain: internet-finance
+status: failed
+parent_entity: "[[sanctum]]"
+platform: "futardio"
+proposer: "proPaC9tVZEsmgDtNhx15e7nSpoojtPD3H9h4GqSqB2"
+proposal_url: "https://www.futard.io/proposal/C61vTUyxTq5SWwbrTFEyYeXpGQLKhRRvRrGsu6YUa6CX"
+proposal_account: "C61vTUyxTq5SWwbrTFEyYeXpGQLKhRRvRrGsu6YUa6CX"
+proposal_date: 2025-08-20
+resolution_date: 2025-08-23
+category: "treasury"
+summary: "Proposal to allow investors immediate unlock of vested CLOUD by forfeiting 35% to Team Reserve"
+tracked_by: rio
+created: 2026-03-11
+---
+
+# Sanctum: Should Sanctum offer investors early unlocks of their CLOUD?
+
+## Summary
+This proposal would have empowered the Sanctum Team to offer investors immediate unlocks of their vesting CLOUD tokens in exchange for forfeiting 35% of their holdings to the Team Reserve. With 9% of token supply unlocking monthly over 24 months from investors, the mechanism could have increased the Team Reserve by up to 27 million CLOUD while reducing token overhang. The team committed not to redistribute forfeited tokens for at least 24 months.
+
+## Market Data
+- **Outcome:** Failed
+- **Proposer:** proPaC9tVZEsmgDtNhx15e7nSpoojtPD3H9h4GqSqB2
+- **Platform:** Futardio (MetaDAO Autocrat v0.3)
+- **DAO Account:** GVmi7ngRAVsUHh8REhKDsB2yNftJTNRt5qMLHDDCizov
+- **Completed:** 2025-08-23
+
+## Significance
+This proposal represents an alternative approach to the token vesting hedgeability problem: rather than allowing investors to maintain nominal lockups while hedging exposure through derivatives, it forces an explicit forfeit-for-liquidity trade-off. The 35% forfeit rate creates a real cost for early liquidity, making the alignment mechanism meaningful rather than cosmetic. The proposal's failure despite potential treasury benefits suggests futarchy markets face adoption friction even for economically rational proposals when they require sophisticated financial reasoning from participants.
+
+## Relationship to KB
+- [[sanctum]] - parent entity governance decision
+- [[time-based-token-vesting-is-hedgeable-making-standard-lockups-meaningless-as-alignment-mechanisms-because-investors-can-short-sell-to-neutralize-lockup-exposure-while-appearing-locked]] - alternative mechanism to hedging
+- [[futarchy-adoption-faces-friction-from-token-price-psychology-proposal-complexity-and-liquidity-requirements]] - demonstrates complexity friction
+- [[MetaDAOs-futarchy-implementation-shows-limited-trading-volume-in-uncontested-decisions]] - low volume uncontested decision pattern

inbox/archive/2025-08-20-futardio-proposal-should-sanctum-offer-investors-early-unlocks-of-their-cloud.md

@@ -6,7 +6,7 @@ url: "https://www.futard.io/proposal/C61vTUyxTq5SWwbrTFEyYeXpGQLKhRRvRrGsu6YUa6C
 date: 2025-08-20
 domain: internet-finance
 format: data
-status: unprocessed
+status: processed
 tags: [futardio, metadao, futarchy, solana, governance]
 event_type: proposal
 processed_by: rio
@@ -14,6 +14,11 @@ processed_date: 2025-08-20
 enrichments_applied: ["time-based-token-vesting-is-hedgeable-making-standard-lockups-meaningless-as-alignment-mechanisms-because-investors-can-short-sell-to-neutralize-lockup-exposure-while-appearing-locked.md", "MetaDAOs-futarchy-implementation-shows-limited-trading-volume-in-uncontested-decisions.md", "futarchy-adoption-faces-friction-from-token-price-psychology-proposal-complexity-and-liquidity-requirements.md"]
 extraction_model: "anthropic/claude-sonnet-4.5"
 extraction_notes: "No new claims extracted. Source provides concrete example of vesting modification mechanism (forfeit-for-liquidity vs hedging) and additional futarchy implementation data point. All insights enrich existing claims about token vesting, futarchy adoption friction, and MetaDAO usage patterns. The failed proposal itself is a factual event, not an arguable claim."
+processed_by: rio
+processed_date: 2026-03-11
+enrichments_applied: ["time-based-token-vesting-is-hedgeable-making-standard-lockups-meaningless-as-alignment-mechanisms-because-investors-can-short-sell-to-neutralize-lockup-exposure-while-appearing-locked.md", "MetaDAOs-futarchy-implementation-shows-limited-trading-volume-in-uncontested-decisions.md", "futarchy-adoption-faces-friction-from-token-price-psychology-proposal-complexity-and-liquidity-requirements.md"]
+extraction_model: "anthropic/claude-sonnet-4.5"
+extraction_notes: "No new claims extracted. Source provides concrete example of forfeit-for-liquidity mechanism as alternative to vesting hedgeability, and additional data point on futarchy adoption friction and low-volume uncontested decisions. Created decision_market entity for the proposal and enriched three existing claims with mechanism design insights and futarchy implementation patterns."
 ---
 
 ## Proposal Details
@@ -68,3 +73,13 @@ Read the full proposal here https://research.sanctum.so/t/cloud-005-should-sanct
 - Potential increase of up to 27 million CLOUD to Team Reserve if all investors opted in
 - Team committed not to redistribute forfeited tokens for 24 months
 - Proposal used MetaDAO Autocrat v0.3
+
+
+## Key Facts
+- Sanctum proposal C61vTUyxTq5SWwbrTFEyYeXpGQLKhRRvRrGsu6YUa6CX failed (2025-08-23)
+- 9% of CLOUD token supply was unlocking monthly over 24 months from investors
+- Proposal offered 35% forfeit rate for immediate unlock
+- Potential increase of up to 27 million CLOUD to Team Reserve if all investors opted in
+- Team committed not to redistribute forfeited tokens for 24 months
+- Used MetaDAO Autocrat v0.3
+- DAO account: GVmi7ngRAVsUHh8REhKDsB2yNftJTNRt5qMLHDDCizov