Coin Cap – in this segment we discuss the DirtiCoin voting rules. We begin with what can trigger a vote.

Each voting event comes with a proposal and a recommendation submitted by the Company. Proposals can only be submitted by the Company.

Coin Cap – Voting Triggers

We have a very limited set of triggers that require a vote.

1. Outside Audit: This will occur once or twice each year. It is a specialized vote request. We present the DAO with the results of the outside audit of the Asset Ledger and ask you to accept the report.
2. Asset Ledger change of State: Not all state changes will trigger a DAO vote. For instance, changing from Initializing to Balanced doesn’t require a vote. However, a change from Balanced to either Out of Balance state will lead to a vote. One of the results of the vote, in those circumstances, is likely to put the ledger into an Initializing state. That state persists until the approved proposal is fully implemented.
3. Minting new DirtiCoin: This may happen as often as once each year. When the Company mints additional DirtiCoin, within the limits of the Coin Cap, we will adjust the amount of DirtiCoin in circulation. Although this changes the value of a key field in the currency contract, it doesn’t require a DAO vote. It is built into the currently approved Coin Cap. This will also alter the Ledger State to Initializing.

Coin Cap – More Triggers

1. Adjusting the Coin Cap: This change may happen every few years as we need to increase the upper limit of the monetary supply of DirtiCoin. We expect this will always be a proposal to increase the number. Because this situation is probably driven by a need for more DirtiCoin the proposal would likely include a minting event which puts the Ledger State into Initializing.
2. Burning DirtiCoin: We expect this to be a rare event. If we propose burning DirtiCoin and the DAO agrees, then we would decrease the amount in Circulation, reflecting the decrease.

Coin Cap – Out of Balance

If an out of balance condition prevails, before initiating a request for proposals from the Company, the contract verifies the public Asset Ledger state against a secure version of the Asset Ledger. This confirms that the publicly viewed Asset Ledger state is legitimate. This is a security measure to thwart manipulation of the DAO through some exploit against the public version of the Asset Ledger.

If the secure version of the Asset Ledger assets shows either of the out-of-bounds states. Then the Company submits a proposal and recommendation. This initiates a vote of the DAO. The voting period accompanies the proposal. Voting periods are 7 to 30 days. At the end of the voting period, the votes are tallied and reported. Votes that arrive after the voting period are not counted.

The proposal which holds the majority of votes cast will be carried. 

In addition to these DAO initiated requests; a vote can be set by action of the Company which puts specific motions before the DAO. These measures include, but are not limited to raising the Coin Cap. Establishing a new Asset Ledger connection with a different entity. Such other measures as the Company deems appropriate for a vote by the DAO.

Voting Rules

1. The Company is the only entity which can submit proposals to the DAO for their vote.
2. Only contracts that are older than 30 days from the start of the voting period are eligible to vote.
3. Contracts must be holding a quantity equal to or greater than 1 DiD are eligible to vote (DirtiCoin x 10 to the 9th).
4. Each eligible contract gets one vote, regardless of the quantity of DiD held in the contract.
5. No proxies for DirtiCoin voting are acceptable.

Coin Cap – More Rules

1. Each proposal has a time limit for voting which will not exceed 30 calendar days and won’t be less than 7 days.
2. Votes received after the time limit for a proposal are ignored.
3. A plurality of the eligible votes submitted is a majority vote regardless of the number of eligible contracts.
4. Each vote has a value of either “For”, “Against”, or “Abstain.” These values are mutually exclusive.
5. The Company can choose to count eligible submitted abstentions as votes “For” or “Against”, at their discretion.
6. A “majority” is really a plurality. It may not be the majority of all eligible votes. However, it will be the majority of the votes cast.
7. If the number of votes “For” is greater than those “Against” the proposal is accepted.
8. If the number of votes “Against” is greater than those “For” the proposal is rejected.

Conclusions

The DAO is a “slow DAO.” Votes take days or weeks, not seconds.

The DirtiCoin currency contract (the Contract) comprises many essentials of the design of DirtiCoin as a currency. We engineered the Contract to achieve several goals. First, we wanted to give you the ultimate control over the monetary supply of DirtiCoin. Second, we wanted to protect your wealth from pirates. Third, we created a structure that stores your wealth in much the same way putting your money in a bank does.

Voting on recommendations from the Company is an important right and responsibility for everyone who uses DirtiCoin. Voting on the monetary supply gives you a level of control over your wealth that you don’t have with currency managed by central banks.

Disclaimers