# kaal:claim:3782217-016

**Claim.** Oracle DAOs and decentralized finance DAOs face a bootstrapping deadlock because each relies on the other for its very existence, a chicken and egg problem the authors address by having participants prove their worth in a development period before they can charge other DAOs fees.

**Type.** failure  **Support.** argued

**Holds when.**

- early stage decentralized finance ecosystems

**Source quote.**

> Unfortunately, oracle DAOs and deFi DAOs rely on each other for their very existence. Which will come first, the chicken or the egg?

**From.** Craig Calcaterra, Wulf A. Kaal, *The Importance of History In Decentralization* (2021), SchellingCoin protocol, page 6

**Cite as.** Craig Calcaterra, Wulf A. Kaal, The Importance of History In Decentralization (2021). SSRN: https://ssrn.com/abstract=3782217

**Verify.** sha256 of source PDF `358779557d8e7dcd101720ca0fad90b9146d24f1c7c03909eb431fcf1fb7e103` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Calcaterra%20and%20Kaal%20-%202021%20-%20The%20Importance%20of%20History%20In%20Decentralization.pdf

**Failure mode.** mutual-dependency-deadlock  (family: cold-start-and-bootstrapping)

**Topics.** defi, smart-contracts

**Keywords.** bootstrapping, defi, oracles, chicken-and-egg, adoption

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