# kaal:claim:3949098-013

**Claim.** Exit by selling reputation tokens is more problematic for reputation than for other cryptocurrency tokens, because reputation is less fungible: a token's value is tied to the specific post in which the reputation was created and is subject to separate review.

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

**Holds when.**

- a member wants to exit by selling reputation tokens at fair market value

**Source quote.**

> This is more problematic for reputation than for most other cryptocurrency tokens, since reputation is less fungible because a token's value is tied to the post in which the reputation was created and subject to separate review. But in principle it could be algorithmically valued.

**From.** Wulf A. Kaal, *Reputation as Capital – How DAOs Upgrade Finance* (2021), II. Basic Concept, 2. Liquidity, page 9

**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

**Failure mode.** Reputation Exit Illiquidity  (family: token-transferability-defect)

**Topics.** defi, reputation, economics

**Keywords.** exit-liquidity, fungibility, reputation-valuation, secondary-market

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