PIP-0021: added notes section with clarification on 5.6, 5.7 & 5.8

PIP/PIP-0021.md

@@ -93,6 +93,8 @@ This document comprises the general agreement between parties receiving funding
 
     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, otherwise it is sent to the Contractor.
 
+    5.8 Foundation may override 5.6 and 5.7 for any reason and at any time with or without notice to the Contractor. 
+
 ### 6. LIABILITY
 
 **The Contractor agrees:**
@@ -107,12 +109,11 @@ This document comprises the general agreement between parties receiving funding
 
     7.1 to issue all invoices to the Foundation via the FAS and only the FAS.
 
-    7.2 that any invoice issued to the Foundation by the Contractor not generated via the FAS is automatically invalid and void.
+    7.2 that any invoice issued to the Foundation by the Contractor not generated via the FAS is automatically invalid and void, unless written permission from the Foundation is provided to the Contractor.
 
 **The Foundation agrees:**
 
-    7.3 to grant the Contractor access to the FAS
-provide a reasonable user-experience for the Contractor.
+    7.3 to grant the Contractor access to the FAS provide a reasonable user-experience for the Contractor.
 
 ### 8. WORKS
 
@@ -144,4 +145,49 @@ provide a reasonable user-experience for the Contractor.
 
     9.5 to provide a means to review the revision history of this Agreement (e.g. GitHub revision history).
 
-**END OF AGREEMENT **
+**END OF AGREEMENT **
+
+# Notes
+
+These notes provide insight on areas of the Agreement but are **NOT** part of the Agreement itself.
+
+## Clauses 5.6, 5.7, 5.8
+
+The purpose of these clauses are to provide an economic incentive-model to motivate more efficient delivery and genuine contributions, whilst filtering out Proposals unlikely to deliver. In simplified terms, a Contractor is required to hold a percentage of what they're asking for in order to receive Payments. If they do not have this amount, then a 50% portion of their Payments are withheld in a holding account until such time that this Reserve can be met, then the full payments are made. The amount withheld during a Proposal is released to the Contractor on succesful delivery. On failure to deliver, the withheld amount is retained by the Foundation.
+
+### Daily Payment Logic
+```
+Let TotalContractorPASC = Contractor Account Quantity + Contract Withheld Quantity
+if TotalContractorPASC >= Reserve Ratio * Proposal Quantity then
+   Contractor receives pull daily payment
+else
+   Contractor receives 50% of daily payment
+   Contractor withholding account receives 50% of daily Payment
+```
+
+### Reserve Release Logic
+```
+If a Proposal is ACTIVE and Current Date >= Proposal.FinishDate then 
+   Proposal is COMPLETED and Contractor receives the withheld amount
+else
+   Proposal is ABORTED and Foundation receives the withheld amount
+```
+
+The Foundation may intervene on a case-by-case basis, however (clause 5.8). 
+
+### Benefits include:
+
+* Provide an economic incentive for Contractors to deliver high-quality Works as efficiently as possible
+* Provide an economic incentive for successful Proposal termination (rather than a Community Abort) since Contractor will receive "Bonus"-style payment on succesful completion
+* Allow serious Contractors who already HODL PASC to bypass this requirement
+* Not limit the pool of available talent to only holders of PASC, but anyone who wants to earn PASC
+* Allow non-holders of PASC to participate in the PASC eco-system, but in a genuine and serious manner
+* Allow non-holders of PASC to HODL PASC, teaching sound investment techniques likely to create community of evangelists who promote PASC as price orbits the moons of neptune.
+* Filter out scammer and non-serious minor Proposals without requiring expensive community effort
+* 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).
+* Ensure large contracts are not awarded to Contractors who do not believe in PASC
+* Ensure at least 10% of total PIP-0011 funds are always reserved in the supply
+* 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)
+* Facilitate highly-decentralised and well-capitalised Staker set securing non-federated Layer-2 sidechains (sidechains "not owned by anyone")
+* Lowers supply-side liquidity on exchanges, adding slight upward price pressure for PASC
+