# kaal:claim:3782216-018

**Claim.** From the viewpoint of consumers and regulators, encumbered reputation tokens serve as a substitute for capital, because they derive their value from the DAO's future cash flows.

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

**Holds when.**

- Underwriting DAO whose tokens are claims on future cash flows

**Source quote.**

> The key point is this: from the viewpoint of consumers and regulators, the encumbered tokens (which as we know derive their value from the DAO's future cash flows) essentially serve as a substitute for capital.

**From.** Craig Calcaterra, Wulf A. Kaal, *Decentralized Finance (DeFi)* (2021), Decentralized architecture

**Cite as.** Craig Calcaterra, Wulf A. Kaal, Decentralized Finance (DeFi) (2021). SSRN: https://ssrn.com/abstract=3782216

**Verify.** sha256 of source PDF `f1739743aa06bbc1641cd65da790d531b69d8628ea3f5cc3fcad1bf5a1242373` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Calcaterra%20and%20Kaal%20-%202021%20-%20Decentralized%20Finance%20%28DeFi%29.pdf

**Topics.** dao, defi, reputation, tokenomics

**Keywords.** capital-requirements, underwriting-dao, insurance-regulation, reputation-tokens

**Related claims.**

- restates: https://wulfkaal.github.io/claims/3396542-029
- restated_by: https://wulfkaal.github.io/claims/3962614-026
- extends: https://wulfkaal.github.io/claims/3396542-003
- restated_by: https://wulfkaal.github.io/claims/3949098-004

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