Uniswap’s First Governance Proposal Ends In Defeat, Despite The Support Of 98% Of Votes Cast
Uniswap’s First Governance Proposal Ends In Defeat, Despite The Support Of 98% Of Votes Cast
October 21, 2020
Uniswap’s First Governance Proposal Ends In Defeat, Despite The Support Of 98% Of Votes Cast
Uniswap’s First Governance Proposal Ends In Defeat, Despite The Support Of 98% Of Votes Cast
October 21, 2020

Uniswap’s first governance proposal has ended in defeat, despite the support of 98% of votes cast. Instead of this, it fell around 1% short of the 40 million vote threshold needed for approval by the close of voting.

It has been reported that the poll ended on October 20, with almost 39.6 million UNI staked in favor, compared to around 700,000 opposed.

DeFi blogger Danger ”Safetythird” Zhang described the vote as “the DeFi equivalent of winning the popular vote but losing the electoral college.”

However, the proposal sought to reduce the number of tokens needed to submit and pass proposals, as it was put forward by open-source lending protocol and major UNI token holder, Dharma.

The report said that currently, proposals can only be made by entities holding at least 1% of UNI’s circulating supply (10 million UNI, worth around $30 million), and need to surpass 40 million total votes (worth $130 million) to pass.

ALSO READ :  Unilever To Use Blockchain To Achieve Deforestation-Free Supply Chain By 2023

Dharma’s recommendations would lower the thresholds so holders of at least 3 million ($9 million) UNI could suggest upgrades, and only require 30 million supporting votes ($100 million) for a proposal to pass.

Responding to the vote’s conclusion, Nadav Hollander, the CEO and co-founder of Dharma, described the result as “a disappointing outcome that demonstrates the impetus for the proposal in the first place.”

Likewise, Dharma’s proposal was not welcomed by all within the DeFi space, with critics pointing out that if it passed just two entities, Dharma and blockchain simulation platform Gauntlet would almost have the number of tokens needed to find quorum between them.

ALSO READ :  Romanian Authorities Set To Host Their First-Ever Auction Of Cryptocurrency

Dharma currently controls 15 million UNI in a single address.

Thus, some onlookers hailed the vote as a success, with crypto developer Agustin Aguilar arguing that voter abstinence should be understood as a barometer of opposition to the proposal.

Source: Cointelegraph


Crypto News Point a news platform of Digital Notice Media Labs is primarily a regular publication of information, commentary and articles focused extensively on fintech, blockchain technology, cryptocurrency, blockchain-based tokens, cryptocurrency market trends, and trading strategies. We do not provide individually tailored investment advice and does not take a subscriber’s or anyone’s circumstances into consideration when discussing investments, nor is Crypto News Point registered as an investment adviser or broker-dealer in any jurisdiction. Information contained herein is not an offer or solicitation to buy, hold, or sell any digital assets.

Affiliate Disclosure: To help support the work we do here at CNP, we often link to products and deals from around the web. Should you buy some of these, we may get a portion of the sale.

We in generally gather content from the major websites. In every article there is always a clear link and attribution to the source publication. If you have any issue with any of our published content taken from your site, kindly let us know so that we can take appropriate action. In any case, the content of the pages of this website is for your general information and use only. It is subject to change without notice.

You May Also like

Ishita Bora

Ishita Bora is a Senior Content Creator at Digital Notice Media Labs with an experience of 1 year. She has completed her Master's Degree in Language and Linguistics in 2019 from Gauhati University, India. Her interest lies in blockchain technology and cryptocurrency space, as she loves writing about blockchain and other blockchain-related articles. Currently, she is working on blockchain-based news, reviews, featured articles, and guides.