CuBitDAO™ Voting Rules
In this segment we discuss the Universal Real Estate Stable Coin™ (URESCu™ or CuBit™) voting rules. When anyone acquires CuBit™ they become a member of the CuBitDAO™ (Member). So, it is most appropriate to refer to CuBit™ voting rules as voting rules of the CuBitDAO™.
We begin with what can trigger a vote.
Each voting event comes with a proposal and a recommendation submitted by Universal Real Estate Wealth Protection Solutions, LLC™ (UREWPS™, the Company). Proposals can only be submitted by the Company.
1.0 Voting Triggers
We have a very limited set of triggers that require a vote.
- Outside Audit: Once or twice each year an outside auditor is employed to verify that the values of assets stated in the Asset Ledger are supported by the assets held in the DAO Treasury. When the audit is complete the results are presented for acceptance by a vote of the DAO. In the same vein, each year the DAO will vote to accept a specific auditor for the next year.
- Asset Ledger change of State: Not all Ledger State changes trigger a For instance, changing from Initializing to Balanced doesn’t require a vote. However, a change from Balanced to either of the Out of Balance states will lead to a vote. One of the results of the vote, in those circumstances, is likely to put the ledger into an Initializing state. That state persists until the approved proposal is fully implemented.
- Minting of new CuBit™: This may happen as often as once each When the Company mints additional CuBit™, within the limits of the Minting Authorization Limit, we will adjust the amount of CuBit™ Reserves. Although this changes the value of a key field in the currency contract, it doesn’t require a CuBitDAO™ vote. It is built into the currently approved Administrator Contract. Changing the Minting Authorization Limit requires a vote of the DAO.
- Changing the Administrator: To change the Administrator of the DAO requires a vote of the DAO. Changing the Administrator would have many, very significant effects on the DAO and its assets. While it isn’t envisioned to happen, it is a right the DAO retains.
1.1 More Triggers
- Adjusting the Minting Authorization Limit: This change may happen every few years as we need to increase the upper limit of the available monetary supply of CuBit™. We expect this will always be a proposal to increase the number, but that isn’t a given. Because this situation is probably driven by a need for more CuBit ™ the proposal would likely spur a subsequent minting.
- Adjusting the Coin Cap: The current Coin Cap is envisioned to provide sufficient CuBit™ to enable the DAO to scale appropriately to meet the size of the real estate market in the USA. If the DAO opts to expand operations outside the USA, that would likely require the Coin Cap to be raised commensurate with the size of the expanded real estate markets.
- Burning CuBit™: We expect this to be a rare event. If we propose burning CuBit™ and the CuBitDAO™ agrees, then we would either buy back CuBit™ from Members and move it to the Burn Wallet, or move CuBit™ Reserves into the Burn Wallet, or both. Then, we would burn the CuBit™ in the Burn Wallet. Because these actions happen on the blockchain, the amount of CuBit™ in Circulation would automatically reflect the decrease in CuBit™ available to be used as receipts for deposits.
1.2 Out of Balance
If an out of balance condition prevails, before initiating a request for proposals from the Company, the contract verifies the public CuBitDAO™ Asset Ledger state against a secure version of the CuBitDAO™ Asset Ledger. This confirms that the publicly viewed CuBitDAO™ Asset Ledger state is legitimate. This is a security measure to thwart manipulation of the CuBitDAO™ through some exploitation against the public version of the CuBitDAO™ Asset Ledger.
If the secure version of the Asset Ledger assets shows either of the out-of-bound state, then the Company submits a proposal and recommendation. This initiates a vote by the CuBitDAO™. The voting period accompanies the proposal. Voting periods are 7 to 30 days. At the end of the voting period, the votes are tallied and reported. Votes that arrive after the voting period are not counted.
The proposal which holds the majority of votes cast will be carried. In addition to these CuBitDAO™ initiated requests, a vote can be set by action of the Company which puts specific motions before the CuBitDAO™. These measures include, but are not limited to, raising the Coin Cap, establishing a new CuBitDAO™ Asset Ledger connection with a different entity or other measures as deemed appropriate by the Company for a vote by the CuBitDAO™.
1.3 Voting Rules
The DAO rules for voting were established after careful consideration of how voting rules for other DAOs have been exploited to harm the most DAO members to the advantage of the few. Consideration was also given regarding the amount of money at risk for each Member. Initially, we thought to limit voting to “one person, one vote.” Eventually, we came to consensus that although that sounded like a very high-minded principle, 1) it could be gamed, 2) thwarting the gaming would be complicated and expensive, and 3) those holding more CuBit™ have more to lose (or gain) from actions that might hurt or benefit the DAO.
The CuBitDAO™ is a slow DAO. This means that proposals are not put before the DAO directly on the blockchain by Members and an approval vote by Members, although recorded on a blockchain, does not trigger automated, programmatic changes. The Administrator manages the implementation of all approved DAO proposals. Depending on the complexity of a proposal, implementation may be done quickly or may require weeks or months to complete.
- The Administrator is the only entity which can submit proposals to the DAO for their vote. There are Member Advisory Committee which can put forward voting proposals for the Administrator to consider putting up for a vote of the DAO.
- Only holders of contracts that are older than 30 days from the start of the voting period are eligible to vote. This means that any CuBit™ which has changed hands less than 30 days before the start of the voting period is ineligible to vote.
- Contracts must be holding a quantity equal to or greater than 1 CuBit™ to be eligible to vote (CuBit ™ x 10 to the 9th).
- The vote of all eligible CuBit™ is proportional and is relative to the CuBit™ currently minted. This means that if a person has 1.5 eligible CuBit™ they can cast 1.5 votes. Another person with 1,000 CuBit™ is casting 1,000 votes. The Administrator votes all CuBit™ Reserves.
- No proxies for CuBit™ voting are
More Rules
- Each proposal has a time limit for voting which will not exceed 30 calendar days and won’t be less than 7
- Votes received after the time limit for a proposal are
- A plurality of the eligible votes submitted is a majority vote regardless of the number of eligible
- Each vote has a value of either “For”, “Against”, or “Abstain.” These values are mutually
- The Administrator can choose to count eligible submitted abstentions as votes “For” or “Against”, at their
- A “majority” is really a plurality of all voting CuBit™; however, it may not be the majority of all minted CuBit™, but it will be the majority of the votes
- If the number of votes “For” is greater than those “Against” the proposal is
- If the number of votes “Against” is greater than those “For” the proposal is
2.0 Conclusion
The CuBitDAO™ is a “slow DAO.” Votes take days or weeks, not seconds.
The CuBit™ currency contract (the Contract) comprises many essentials of the design of CuBit™ as a currency. We engineered the Contract to achieve several goals. First, we wanted to give you the ultimate control over the monetary supply of CuBit™. Second, we wanted to protect the wealth you have from pirates. Third, we created a structure that stores your wealth in much the same way putting your money in a bank does.
Voting on recommendations from the Company is an important right and responsibility for everyone who uses CuBit™. Voting on the monetary supply gives you a level of control over your wealth that you don’t have with currency managed by central banks.
Glossary: CuBit™ Glossary
About the Author: CuBit™ Roots
Disclaimers
This does not constitute an offer to sell or buy a security. Any such offer would be accompanied by all legally required documentation. CuBit™ is a receipt currency. Distributed Regional Affiliates shares are regulated under the securities laws of the United States of America.
Although the design of CuBit™ incorporates inherent protections against volatility and Universal Real Estate Wealth Protection Solutions, LLCTM (UREWPSTM, the Company) is committed to support the asset-based valuation of CuBit™, as with any currency there is nothing to prevent speculators from taking unforeseen actions which might cause the price of CuBit™ to vary without reference to the underlying value proposition. The Company cannot prevent and is not responsible for the actions or results of such speculative behaviors.
CuBit™ may lose value. Deposits in CuBit™ are not insured by the FDIC or any other entity. CuBit™ is not a bank product.
The graphics utilized the Universal Real Estate Wealth Protection Solutions, LLC™ (UREWPS™) and CuBitREvolutionTM websites and in the Company and product documentation include both AI-generated images and licensed content sourced from Deposit Photos and Shutterstock via TechSmith. While we strive to ensure the accuracy and relevance of all visuals, all graphics are intended for illustrative purposes and may not fully reflect actual products or services. The use of AI in graphic creation is subject to limitations, and we encourage users to verify information independently. The company disclaims any liability for decisions made based on the content provided. For specific inquiries or further information, please contact us directly.
