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RE: What if we used the SBDs created every day in the DAO to buy and burn STEEM?
Good questions. There is some more info in this post I just put out as well:
https://steemit.com/steem/@jondoe/using-the-dao-sbds-to-buy-and-burn-steem-how-we-can-make-it-happen
The funding for proposals in the DAO is decided by user's steem power. If you get your proposal above the return proposal, it gets funded.