# Token auction

`kaal:entity:token-auction`

**Status.** derived

This node is assembled mechanically from the 3 claims that carry the concept tag `token-auction`. It is a roster of what the corpus says under this term. It is **not** an adjudicated definition: no single statement here has been ruled canonical, and no first-appearance call has been made. Read the claims and judge for yourself.

## Every claim under this term

3 claims across 1 works, 2019 to 2019.

**2019**

- [3396542-011](https://wulfkaal.github.io/claims/3396542-011) [mechanism/argued] -- If underwriters decline to reclaim their encumbered tokens, that breach is resolved by selling the encumbered tokens, plus additional freshly minted tokens as needed, in an auction open to current DAO participants and to outsiders wishing to join.
  > In such a case, the encumbered tokens, along with additional freshly minted tokens as needed, would be sold in an auction. All current DAO participants as well as outsiders interested in joining the DAO may bid for the tokens in this auction.
  Craig Calcaterra, Wulf A. Kaal, Vadhindran K. Rao, Decentralized Underwriting (2019). SSRN: https://ssrn.com/abstract=3396542
- [3396542-032](https://wulfkaal.github.io/claims/3396542-032) [mechanism/argued] -- Even where the underwriters of a policy breach the contract, the auction of the encumbered tokens together with the sale of additional tokens as needed ensures the policy holder's claim is fully met.
  > Even if the underwriters of a particular policy were to breach the contract, the auction of the encumbered tokens and the sale of additional tokens as needed ensures that the policy holder's claim is fully met.
  Craig Calcaterra, Wulf A. Kaal, Vadhindran K. Rao, Decentralized Underwriting (2019). SSRN: https://ssrn.com/abstract=3396542
- [3396542-037](https://wulfkaal.github.io/claims/3396542-037) [predictive/argued] -- The proposed DAO design is likely to lower barriers to entry in insurance, since non traditional firms and even individual investors can buy tokens at auction and then either underwrite with them or hold them passively.
  > In addition, the particular design outlined above is likely to facilitate the entry of new players to the insurance market. It is possible for a DAO to allow the participation of non-traditional firms and even individual investors.
  Craig Calcaterra, Wulf A. Kaal, Vadhindran K. Rao, Decentralized Underwriting (2019). SSRN: https://ssrn.com/abstract=3396542

## Verify

Every claim above resolves to a record carrying a verbatim source quote, the sha256 of the source PDF, and a preformatted citation. Nothing here asks to be taken on trust.

    curl -s https://wulfkaal.github.io/entities/token-auction.md | sha256sum

**Canonical form.** This markdown file is the canonical hashed representation of this entity node. Its sha256 is the content hash.