# kaal:claim:3441904-035

**Claim.** Static complex sets of DAO rules inevitably produce corruptive opportunistic gaming and arbitrage behavior, so effective DAO governance designs should be focused on dynamic elements.

**Type.** design  **Support.** argued

**Holds when.**

- open and democratic systems with complex static rule sets

**Source quote.**

> With static complex sets of DAO rules comes inevitable corruptive opportunistic gaming and arbitrage behavior.

**From.** Wulf A. Kaal, *Blockchain-Based Corporate Governance* (2019), V.1 Dynamic DAO Governance, page 31

**Cite as.** Wulf A. Kaal, Blockchain-Based Corporate Governance (2019). SSRN: https://ssrn.com/abstract=3441904

**Verify.** sha256 of source PDF `e6b562527f7f19accaa35491db0a0db168b6a936755e1dca424e9f30bee7a815` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202019%20-%20Blockchain-Based%20Corporate%20Governance.pdf

**Failure mode.** static-rule-arbitrage  (family: rule-obsolescence-and-ossification)

**Topics.** regulatory-failure, governance-design

**Keywords.** static-rules, gaming, arbitrage, dynamic-governance

**Related claims.**

- extended_by: https://wulfkaal.github.io/claims/3652481-027
- extended_by: https://wulfkaal.github.io/claims/3799320-026
- extended_by: https://wulfkaal.github.io/claims/3652481-026
- extended_by: https://wulfkaal.github.io/claims/3799320-025

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.