Cooki's Corner

Futarchy sounds great until you think about it for more than two seconds

In the past we called it plutocracy, and no, it's not a good way to make governance decisions

the two big issues I see:

- more money equals more power, not great
- prediction markets ask the wrong question for this use-case; what will happen vs what should happen, but governance is all about the "should"

On the second point someone might say, "well we can frame the market poll as a normative question, e.g. should the DAO do A or B?" But notice that's still a descriptive prediction, sophisticated folks will realise the second-order implications of the market is still, will A or B win this poll? Unless you don't care about money it's irrational to vote for the outcome you think is better if it's clear it will lose the poll. Broken incentives.

microsub.

Solidity Engineer | Researcher | Onchain Degen | DMs Open | https://github.com/0xCooki