Some feedback on the details for who qualifies with how much signal in stage 1:
- My interpretation is that the first-come-first-serve-principle by signal date could potentially create a similar dynamic that we are currently trying to solve for in the current environment, in that it includes a front-running incentive within stage 1
- The introduction of a hard cap may potentially lead to the following dynamics:
- Indiscriminate Bidding: curators could be incentivized to bid on every validated subgraph that is deployed without preference. Thought being that you could set the ceiling equal to your bid, leading to minimized downside risk (curator essential bids the strategy of “if I’m the only one signaling, then I’m in. Otherwise I’m out”)
- Whale Attack Exposure: The open-ended form of a ceiling (everyone setting their own limit) may leave the exercise of setting that amount for each curator a difficult task to establish a number that matches his/her risk reward profile. Example: Curator A wants to signal a fixed amount on subgraph A, regardless of total signal amount in stage 1, hence sets ceiling of 1M GRT, assuming it’s a safe number. Curator B signals with 2M GRT, rejecting Curator A stage 1 signal.
Here an alternative thought on the details of the stage 1 bidding process that should still capture the spirit of the show room as it has been discussed here:
Curators set a minimum and maximum for their bid. The maximum signal is also accommodated with a ceiling number, difference being that any amount above that would reduce Curator’s bidding amount proportionately down until it reaches the set minimum. Example:
- Curators are required to commit to signaling to a subgraph, as even a minimum of zero would result in some signal (no indiscriminate bidding incentive)
- Straightforward method to commit to a fixed signal amount (if so desired by a curator) via setting minimum amount = maximum amount
- Eliminates need for time-based selection process within stage 1 that may crowd out some curators
I also see some additional general open questions regarding the showroom proposal to gain consensus around:
- Should aggregate bidding action be openly visible to everyone or should every curator do their bidding in isolation and without visibility to other bids?
- If a proposal for a deploy & signal would be implemented, would that signal amount be part of stage 1 or should it be considered as already existing (i.e. stage 0)? If already existing, would stage 1 amount then be the start of the bonding curve?