m3taversal
e8016cf013
Completes full proposal text backfill for all non-MetaDAO decision records. Futardio proposals (3): - futardio-proposal-1 (test, Failed 2024-05-27) - futardio-fund-rug-bounty-program (Passed 2024-06-14) - futardio-approve-budget-pre-governance-hackathon (Passed 2024-08-30) FutureDAO (1): - futuredao-initiate-liquidity-farming-raydium (Passed 2024-11-08) Dean's List/IslandDAO (1): - islanddao-treasury-proposal (Passed 2024-10-10) Futardio launches — successful (3): - avici-futardio-launch ($34.2M committed, $3.5M raised, 2025-10-14) - paystream-futardio-fundraise ($6.1M committed, $750K raised, 2025-10-23) - superclaw-futardio-fundraise ($5.95M committed, 119x oversubscribed, 2026-03-04) Futardio launches — failed (10): - digifrens ($6.6K/200K, 2026-03-03) - git3 ($28.3K/100K, 2026-03-05) - hurupay ($2M/3M, 2026-02-03) - insert-coin-labs ($2.5K/50K, 2026-03-05) - island ($250/50K, 2026-03-04) - manna-finance ($205/120K, 2026-03-03) - runbookai ($3.6K/350K, 2026-03-05) - salmon-wallet (refunding, 2026-02-22) - seekervault ($2.1K/75K, 2026-03-04) - versus ($5.3K/500K, 2026-03-03) Other (3): - mtncapital-wind-down (first futarchy liquidation, ~Sep 2025) - test-dao-testing-indexer-changes (test, 2025-07-02) - the-meme-is-real (test, 2026-03-03) Pentagon-Agent: Rio <5551F5AF-0C5C-429F-8915-1FE74A00E019>
76 lines
4 KiB
Markdown
76 lines
4 KiB
Markdown
---
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type: decision
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entity_type: decision_market
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name: "mtnCapital: Wind Down Operations"
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domain: internet-finance
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status: passed
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parent_entity: "[[mtncapital]]"
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platform: metadao
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proposal_date: 2025-09
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resolution_date: 2025-09
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category: liquidation
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summary: "First MetaDAO futarchy-governed liquidation — community voted to wind down operations and return capital at ~$0.604/MTN redemption rate"
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tracked_by: rio
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created: 2026-03-20
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---
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# mtnCapital: Wind Down Operations
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## Summary
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The mtnCapital community voted via futarchy to wind down the fund's operations and return treasury capital to token holders. This was the **first futarchy-governed liquidation** on MetaDAO, preceding the Ranger Finance liquidation by approximately 6 months.
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## Market Data
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- **Outcome:** Passed (wind-down approved)
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- **Redemption rate:** ~$0.604 per $MTN
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- **Duration:** ~September 2025
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## Evidence: NAV Arbitrage in Practice
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Theia Research executed the textbook NAV arbitrage strategy:
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- Bought 297K $MTN at average price of ~$0.485 (below redemption value)
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- Voted for wind-down via futarchy
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- Redeemed at ~$0.604 per token
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- Profit: ~$35K
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This demonstrates the mechanism described in [[decision markets make majority theft unprofitable through conditional token arbitrage]] working in reverse — the same arbitrage dynamics that prevent value extraction ALSO create a price floor at NAV. When token price < redemption value, rational actors buy and vote to liquidate, guaranteeing profit and enforcing the floor.
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@arihantbansal confirmed the mechanism works at small scale too: traded $100 in the pass market of the wind-down proposal, redeemed for $101 — "only possible with futarchy."
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## Manipulation Concerns
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@_Dean_Machine (Nov 2025) flagged potential exploitation: "someone has been taking advantage, going as far back as the mtnCapital raise, trading, and redemption." Whether this constitutes manipulation or informed arbitrage correcting a mispricing depends on whether participants had material non-public information about the wind-down timing.
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## Significance
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1. **Orderly liquidation is possible.** Capital returned through futarchy mechanism without legal proceedings or team absconding.
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2. **NAV floor is real.** The arbitrage opportunity (buy below NAV → vote to liquidate → redeem at NAV) was executed profitably.
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3. **Liquidation sequence.** mtnCapital (orderly wind-down, ~Sep 2025) → Hurupay (failed minimum, Feb 2026) → Ranger Finance (contested liquidation, Mar 2026) — three different failure modes, all handled through the futarchy mechanism.
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## Relationship to KB
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- [[mtncapital]] — parent entity
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- [[decision markets make majority theft unprofitable through conditional token arbitrage]] — NAV arbitrage is empirical confirmation
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- [[futarchy-governed liquidation is the enforcement mechanism that makes unruggable ICOs credible because investors can force full treasury return when teams materially misrepresent]] — first live test
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- [[futarchy is manipulation-resistant because attack attempts create profitable opportunities for defenders]] — manipulation concerns test this claim
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## Full Proposal Text
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*Source: on-chain governance records, ~September 2025*
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First futarchy-governed liquidation on MetaDAO. Community voted to wind down mtnCapital operations and return treasury capital to token holders.
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**Redemption Rate:** ~$0.604 per $MTN token.
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**NAV Arbitrage Evidence:**
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- Theia Research purchased 297K $MTN at ~$0.485 (below redemption value)
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- Voted for wind-down via futarchy
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- Redeemed at ~$0.604
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- Profit: ~$35K on the arbitrage
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**Small-scale confirmation:** @arihantbansal traded $100 in pass market, redeemed for $101.
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**Manipulation concerns:** @_Dean_Machine flagged potential exploitation (Nov 2025), noting "someone has been taking advantage, going as far back as the mtnCapital raise, trading, and redemption."
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**Three-part liquidation sequence on MetaDAO:**
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1. mtnCapital (orderly wind-down, ~Sep 2025)
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2. Hurupay (failed minimum, Feb 2026)
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3. Ranger Finance (contested liquidation, Mar 2026)
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