The First Uniswap (UNI) Governance Vote Fails… Despite 98% Voting “For”
The Uniswap token (UNI) had recorded just as much volume as the largest cryptocurrencies after only 48 hours trading.
After the distribution of the
ballots tokens, it was time to vote, but this is where the electoral machine got stuck on Uniswap.
98% of the votes “For” were insufficient: an odd democracy
Uniswap held its first vote a few days ago, but the result was far from the expectations of some voters.
The vote concerned a reduction in the barriers to entry for the implementation of new protocols on Uniswap.
The first proposal concerned a reduction in the number of tokens needed to vote, from 40 million UNI to 30 million.
The second was to reduce the number of tokens required to submit proposals from 10 million UNI to 3 million.
The majority of UNI holders voting in favour of these proposals came from Dharma, the company that issued the proposals and Gauntlet, a company supporting Dharma.
The CEO of the Dharma, Nadav Hollander, said in a tweet that the outcome of the vote was disappointing, but demonstrated the impetus given to the proposal.
98% of the votes were in favour, but the quorum of 40 million required was not reached to validate the result.
A UNIon put to the test
The vote has caused tensions in the community – wait, you’re saying a UNI vote has failed to unite the UNI community?
Some point out that Dharma’s goal was to hijack the Uniswap network: the company makes no secret of its ambition to use Uniswap’s cash fund to distribute tokens to its customers.
Dharma also maintains that it should have been one of the beneficiaries of Uniswap’s latest airdrop: this airdrop rewarded users of the protocol with several thousand dollars in UNI.
After the vote, the number of UNI tokens staked for voting shot up from 47 million to 74 million.
The pieces must now be put back together to prevent this UNI vote from causing a fracture in the community. Will the next one put things right, or is it inevitably heading towards a long governance crisis? Dharma is trying to dictate the law on Uniswap – which is not surprising given the meaning of their name. This is the main advantage of Bitcoin (BTC): Satoshi Nakamoto had the intelligence to slip away and, since then, no one has been able to claim his place legitimately – Craig Wright tried to do so, John McAfee is in prison.
I am a designer by trade but my passion is crypto. I am a creative geek, that shows his creativity through the popularisation a sector that is not the easiest to understand.