# kaal:claim:3949098-006

**Claim.** Over time the public market replaces the need for capital commitments by DAOIC members, who continue to earn from their staking work without contributing capital, so the reputation effect grows and uncoupling from capital increases.

**Type.** predictive  **Support.** argued

**Holds when.**

- long term operation of the DAOIC
- continued public market participation

**Source quote.**

> The long-term effect here is that the market replaces the need for capital commitments by DAOIC members. The members still continue to benefit from their staking work without the need to contribute capital. Over time, the reputation effect grows and the uncoupling from capital increases.

**From.** Wulf A. Kaal, *Reputation as Capital – How DAOs Upgrade Finance* (2021), II. Basic Concept, 1. Reputation Replaces Capital, page 6

**Cite as.** Wulf A. Kaal, Reputation as Capital – How DAOs Upgrade Finance (2021). SSRN: https://ssrn.com/abstract=3949098

**Verify.** sha256 of source PDF `04297905564a6092b2db7640561f58fd374d3114c79527357bad09d11b909819` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202021%20-%20Reputation%20as%20Capital%20%E2%80%93%20How%20DAOs%20Upgrade%20Finance.pdf

**Topics.** reputation

**Keywords.** capital-substitution, reputation-effects, daoic, long-term-dynamics

**Related claims.**

- restated_by: https://wulfkaal.github.io/claims/3962614-040

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