7ccd25ff7e
- Source: inbox/archive/2024-01-24-futardio-proposal-develop-amm-program-for-futarchy.md - Domain: internet-finance - Extracted by: headless extraction cron (worker 5) Pentagon-Agent: Rio <HEADLESS>
2.6 KiB
| type | entity_type | name | domain | status | parent_entity | platform | proposer | proposal_url | proposal_date | resolution_date | category | summary | tracked_by | created |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| entity | decision_market | MetaDAO: Develop AMM Program for Futarchy? | internet-finance | passed | metadao | futardio | joebuild | https://www.futard.io/proposal/CF9QUBS251FnNGZHLJ4WbB2CVRi5BtqJbCqMi47NX1PG | 2024-01-24 | 2024-01-29 | mechanism | Replace CLOB markets with AMMs using liquidity-weighted pricing to solve liquidity and manipulation problems | rio | 2026-03-11 |
MetaDAO: Develop AMM Program for Futarchy?
Summary
Proposal to replace Central Limit Order Books (CLOBs) with Automated Market Makers (AMMs) in MetaDAO's futarchy implementation. The AMM design uses liquidity-weighted average price over time as the decision metric, with 3-5% fees to incentivize LPs and discourage manipulation. Addresses three core problems: lack of liquidity, manipulation susceptibility, and high state rent costs (135-225 SOL annually).
Market Data
- Outcome: Passed
- Proposer: joebuild
- Created: 2024-01-24
- Completed: 2024-01-29
- Budget: 400 META on passing + 800 META on completion
- Timeline: 3 weeks development + 1 week review
Significance
This represents a fundamental architecture change in MetaDAO's futarchy implementation, moving from orderbook-based to AMM-based conditional markets. The proposal explicitly diagnoses liquidity as the primary barrier to effective futarchy governance and proposes a mechanism redesign rather than incremental improvements. The liquidity-weighted pricing metric is a novel approach to futarchy settlement, departing from pure time-weighted average price.
Technical Scope
Program changes:
- Basic AMM with liquidity-weighted average price tracking
- Integration with autocrat + conditional vault programs
- Permissionless pause feature (send back positions after verdict)
- Permissionless close feature (return state rent SOL when no positions remain)
- Loosen time restrictions on proposal creation (currently 50 slots)
- Revert-to-fail mechanism if proposal instructions fail after X days
Frontend integration: Led by 0xNalloK
Team: joebuild (program), 0xNalloK (frontend), TBD (review)
Relationship to KB
- metadao - governance mechanism evolution
- 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 - mechanism being replaced
- futarchy adoption faces friction from token price psychology proposal complexity and liquidity requirements - problem being addressed