General questions about C.A.P

[reposted from Stablecoin Mafia]

  • What mechanisms are in place to ensure agents remain transparent and accountable in their yield-generating strategies?

  • What strategies are in place to make the platform more accessible to non-technical users, who might struggle to understand complex DeFi mechanics?

  • What steps are being taken to prevent governance capture by large stakeholders, ensuring a fair and decentralized system?

  • How does the project plan to simplify the tracking of agent costs and fees for users? Will there be tools like dashboards ?

  • CAP regulates outcomes, as opposed to ongoing operations. This greatly increases the surface area of yield generation. Agents/Operators will have SLAs with restakers, just like in any other AVS. This will legally bound them to their strategies. But the protocol itself and the stablecoin holders are not exposed to the risk of those operations

  • CAP is meant to be a complete abstraction of DeFi. Users can simply deposit and forget - there’s nothing for them to do. And given the shared security model, it’s ethically permissible to offer it to a broad retail base

  • There is no governance control. We dont think the DAO-controlled decision making leads to efficient markets. Instead, CAP is regulated by a predictable set of incentives and penalties

  • The dashboard on our app page will track all active agent activity, the results of previous agent activity, agent profiles, delegations, and all other data needed to check on the health of the system

3 Likes

Gmega @Benjamin.lens, new here :wave:

Few questions for you:

“CAP is meant to be a complete abstraction of DeFi. Users can simply deposit and forget—there’s nothing for them to do. And given the shared security model, it’s ethically permissible to offer it to a broad retail base.”

Q1: Will there be different risk tranches (so users can choose the agent strategy they prefer), or is it just a deposit collat + mint & forget engine?

Q2: What will be the main bottlenecks for 0 to 1 adoption, and why do you think you’ll be able to solve them better than competitor solutions?

Q3: Will capUSD be an omnichain stablecoin from day 1?

Hi

I have a few technical questions to better understand some aspects:

  • How are SLAs defined and enforced? Is there a dispute resolution mechanism in case an agent fails to meet their commitments?
  • Who is responsible for evaluating and applying penalties for underperformance?

You mention that CAP is designed as a “complete abstraction of DeFi,” allowing users to simply deposit and forget.

  • What measures are in place to ensure protocol resilience in case of market instability or agent failure?

  • Is there a fail-safe mechanism that dynamically adjusts incentives/penalties based on market volatility or agent performance?

The CAP App dashboard will display agent performances in real time. Will this data be accessible via an API to allow advanced users to automate analytics and alerts?

Apart from the stablecoin issued by CAP Labs, is there any plan to launch a native token for the protocol? Since there is no DAO governance, would this token have a role in the incentive or security mechanism of the ecosystem?

I’d love to get more insights on these points. I believe your approach has the potential to redefine certain DeFi practices, and I’m curious to see how it evolves.

Thanks in advance for your time and work!

Thats a very nice and necessary question, i mean someone has to be accountable.
One thing about ai is that most cant be punished or truely held accountable for their action, their operators or creator must be held responsible