[bisq-network/proposals] Create financial reserves and fix a resource leak (#216)

Florian Reimair notifications at github.com
Wed Apr 29 08:10:48 UTC 2020


# Amendment
Although I said that implementation details are to be discussed separately, some of you pointed out that our DAO has limits we hit by deciding to keep funds.

## Problem
that although the Bisq DAO is an organization and theoretically can hold funds, we have no way of doing that other than entrusting these funds to one member of the DAO. This member would become a trusted third party and more importantly, a central point of failure facing potential threats.

(basically, our burning man)

## There might be something to solve that Problem
However, keybase is our friend and the community is awesome. @stejbac quickly layed out an idea about using multi-party signatures with threshold and @energyburn kicked in and posted a [great paper](https://eprint.iacr.org/2019/114.pdf) which seems to be almost tailored to our DAO.

The paper describes multi-party threshold signatures to sign off BTC transactions. "Multi-party threshold" means that there is a group of people (multi-party) and if a certain number of these people agree on doing a transaction (threshold), a transaction can be authorized. A single individual cannot authorize a transaction.

## Closing words

Of course that whole thing needs more tweaking and thinking, and the math isn't exactly straight forward and simple to grasp, and it would certainly require complex UI to do this if it is at all possible.

However, having such a thing might allow any DAO to hold funds without having a single point of failure. And that would be a huge breakthrough imho.

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