grease sounds like a great idea. sounds kinda messy tho. not really a clutch type but if it works, nice! what kind of grease was it? do you think gel or another substance similar would work? i thought of this b4 but i never really thought it would work. i should give it a try.
back to the clutch idea. i soak the paper in baby oil. gives it a little more consistency. the paper really has 2 roles. it just pushes the side plates against the sides of the diff and provides a surface for the plate to slide against. in real cars clutch lsd's bang cluck and grind in low speed turns. not too pretty sounding. in xmods it sounds the same way. except its the sound of paper sliding against plastic when i wear in my diff.
right now i am running the 2nd type with 4 punches on each side. you can also adjust the diff by putting in more or less punches or just by loosening or tightening the screws . anyways. here are some pics(diagrams) of the lsd's i made. and just by inserting hole punches.
