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.
