[lazzlazzlazz]

The analogy with the Prisoners' Dilemma is interesting here, but doesn't feel quite right. In the comments, BenWang summarizes it like: "the effects of the attacker will happen to all token holders regardless of what you decide to do with your tokens, therefore, you might as well rent them out."

It seems that the MKR holder in this case could rent them out... or sell MKR and exit their position entirely. And this seriously discounts the fact that eroding Maker security is immediately obvious and can get priced into the MKR token very quickly, defeating the point of a few percentage points of yield.

It makes sense on some conceptual level, but it's not clear that the magnitudes of the incentives result in this toxic game theoretic equilibrium.