DKP systems work themselves out so long as they aren't too terribly stupid.
I knew of one guild on live where items all had a set price and the person who put in for the item with the top DKP won the item for that minimum. Problem was after 9 years in the guild there were 3-4 people who could win BiS in each expansion and stay on top.
Expansion locked servers like P99, Al'Kabor and other emulated servers have an interesting problem to deal with in that your gear remains relevant even if you took a 3 year break. So you don't need a complete overhaul in your gear like you would on live to make your character useful after several expansions out of the loop. This makes there be a much more compelling case for some sort of decay system.
But I've always viewed DKP as a currency paid out for your time raiding or helping your guild. So taking it away because you've been gone about sounds pretty stupid. There are other ways to prevent people from disappearing and then coming back to snag all the best stuff from people who are new or continually active.
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