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@@ -84,6 +84,25 @@ This document comprises the general agreement between parties receiving funding
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5.5 that the Funding is not guaranteed in any way, shape or form and that Payments may be terminated at any time by the DAO and/or Foundation without prejudice.
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5.5 that the Funding is not guaranteed in any way, shape or form and that Payments may be terminated at any time by the DAO and/or Foundation without prejudice.
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+ 5.6 If (Contractor PASA Quantity) + (Contractor Holding PASA Puantity) is less than (Reserve Ratio) x (Proposal Amount) then Foundation will disburse Payment as 0.5 * (Payment Amount) to (Contractor PASA) and 0.5 * (Payment Amount) to (Contractor Holding PASA).
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+
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+ 5.7 If Proposal is terminated for any reason other than successful delivery of the Works, then the balance of the Contractor Holding PASA is retained by the Foundation.
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+
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+**NOTE:** The purpose of the above 2 rules provide the following benefits:
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+- Provide an economic incentive for Contractors to deliver high-quality Works as efficiently as possible
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+- Provide an economic incentive for successful Proposal termination (rather than a Community Abort) since Contractor will receive "Bonus"-style payment on succesful completion.
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+- Allow serious Contractors who already HODL PASC to bypass this requirement.
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+- Not limit the pool of available talent to only holders of PASC, but anyone who wants to earn PASC.
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+- Allow non-holders of PASC to participate in the PASC eco-system, but in a genuine and serious manner.
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+- Allow non-holders of PASC to HODL PASC, teaching sound investment techniques likely to craete community of evangelists who promote PASC as price orbits the moons of neptune.
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+- Filter out scammer and non-serious minor Proposals without requiring expensive community effort.
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+- Automated filtering via this economic incentive model allows high-volume, high-frequency more granular proposals (spanning into the thousands and tens of thousands over time).
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+- Ensure large contracts are not awarded to Contractors who do not believe in PASC.
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+- Ensure at least 10% of total PIP-0011 funds are always reserved in the supply
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+- Reserve can be used by Contractors for earning income by staking it on Layer-2 sidechains, both securing Layer-2 sidechains via Proof-of-Stake and earning income from this reserved capital (can be used in Layer-2 nodes).
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+- Facilitate highly-decentralised and well-capitalised Staker set securing non-federated Layer-2 sidechains (sidechains "not owned by anyone")
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+- Lowers supply-side liquidity on exchanges, yielding adding slight upward price pressure for PASC.
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+
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### 6. LIABILITY
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### 6. LIABILITY
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**The Contractor agrees:**
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**The Contractor agrees:**
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@@ -135,4 +154,3 @@ provide a reasonable user-experience for the Contractor.
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9.5 to provide a means to review the revision history of this Agreement (e.g. GitHub revision history).
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9.5 to provide a means to review the revision history of this Agreement (e.g. GitHub revision history).
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-
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