Uniswap New Proposal under Scrutiny

News • 2020/10/18 • by

Dharma can potentially overtake Uniswap leadership with new governance proposal.

Uniswap is presently accessing its initial open-source protocol governance vote, which was tendered by leading lending protocol, Dharma. However, several members are worried that the protocol will have a strong power over UNI if it succeeds.

Credit: Asia Crypto Today

Major Updates:

The voting closes on the 19th of October.
The proposal indicates a limit to token governance and quorum threshold, and this could give leaders like Dharma a strong control over UNI.
If successful, a quorum could be realized via only the leading candidates, Dharma and Gauntlet.
They both hold a total of 30M Uniswap among them, which is undoubtedly enough to realize the least quorum.
David Felton, a community member, explained in a post why decentralization could suffer as a result of this proposal.
He explained that Dharma currently has strong voting power and also in charge of about 15 million UNI in a single address. This alone poses a threat to UNI without a successful proposal.

Felton advised that the proposal be voted down to leave the quorum intended by the developers. If not, they could be stuck with UNI. This might ultimately lead to them having overall control over the Decentralized exchange.

Will the new Uniswap proposal pass or voted down? Share your thoughts in the comment section.

Source: Cointelegraph.

Comments (4)

Guest

exodusab

6 years ago

I think Uniswap continues to dominate the DeFi world both in terms of the total value locked and exchange volume.

visiblemoney

6 years ago

The initiative of bringing up protocol governance voting is wrong in the first place! That should have been on the reserved right of the company executive to decide with their developers as this seems more of a technical matter than democratic decision. If Dharma eventually secures the votes through its quorum, this shall impact negatively on the decentralized protocol of the UNIS establishment because the highest bidder would exercise his franchise rights to influence the board decision most time and that would subvert the system goals in the long run to the interests of a minority. On this note, going by Felton's opinion I can predict that the UNISWAP proposal would be voted down based on the imminent dangers attached to its ability to undermine decentralized system.

godgrace1

6 years ago

i stand with uniswap,

lilianchiamaka

6 years ago

They should have outlined this project before offering such proposal, I suggest going with David's opinion is better off as this seems more of a technical matter than democracy and good governance.