Questions can be answered
Now that I have given a virtual encyclopedia of how DKP systems work I will let you decide how to form your own. As I mentioned yesterday I did overlook some DKP systems. Aside from the Suicide Kings system there are also systems which give separate points for each class as well as an overall system (to fight collusion) and any other system in between. I felt that these systems were to fringe to really go into detail about (and I didn't want to promote any one system), but if you are looking for something different and sometimes more complicated check those systems out.
I will, however finally answer Darrens question and tell the details of No Vacancy's DKP system. NV's system has changed over the time we've existed, primarily because we have attempted to fix or avoid the pitfalls. Like may systems our largest issue has been inflation.
Currently we run a zero-sum DKP system with an hourly bonus. For every hour that a member raids they receive 5 DKP and each item which is won is zero-summed back into the raid. Out bid system is auction style with a minimum bid of 25 DKP (no maximum). The bidding process is open, meaning both the bid amount and the person's name is displayed to the guild upon bidding. All users DKP are only visible to the officers but each individual member is able to find out their DKP via our in-game DKP program. We will tell everyone who is atop the DKP list but we will not tell anyone another person DKP total. Initiates earn DKP through their process but are not allowed to bid on gear unless it rots in which case we'll put it back up for bid for offsets and initiates.
In tier 5 we started our system with a fixed price system (basing prices off of item level) but too many items rotted and inflation became our enemy (curse you T5 badge gear!!). During tier 6 we switched to the current system. Inflation is less of a problem but because of some collusion issues we have some members significantly higher than everyone else. Because of this we are thinking about institutinga DKP rot or cap.
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