The impact of whales on uniswap governance is then again a hot topic Harvard Blockchain Group to cast a tremendous number of votes behind their own proposal.
The application, held on May 27th by the Blockchain and FinTech Initiative at Harvard Law School, It consists of creating a fund to finance existing and new political groups dedicated to crafting crypto policies and lobbying to defend decentralized funding against regulation.
The proposed fund would have a vault of 1 to 1.5 million IU with an approximate value of $ 28 to 42 million at current prices. At the time of this writing Harvard Law BFI has pledged 10.46 million UNI tokens, or 99% of the votes, for the proposal. So far there have only been 766,460 votes against.
The industry observer and critic of centralized governance DeFi Watch’s Chris Blec was one of the first to comment on the heavily weighted voting mechanism.
to?? I ?? @ HarvardLawBFI He has just cast a vote of 10.45 million IU on his own proposal to pay a group of lawyers 1.5 million IU from the treasury.
Your vote corresponds to 99.9% of the previous yes votes.
Here we go again. https://t.co/9M9Da6XyVz pic.twitter.com/r3axyG35QW
to???? Chris blec (@chris blec) May 27, 2021
The “Here we go again” event refers to Uniswap’s first governance vote in October 2020 proposed by the Dharma trading platform to lower the proposal submission threshold. The proposal would have given the two main token holders (Dharma and the blockchain simulation platform Gauntlet) the majority of the voting rights. The two dominated the vote with their own large holdings, which cast doubts about Uniswap’s governance. However, the vote was rejected by a narrow margin.
According to Harvard, if approved, the lobbying fund would have four main goals, namely to train policy makers to anticipate the regulatory, legal, political and tax threats that weigh on the DeFiSecond, to achieve regulatory clarity for DeFi-related activities. The third goal would be to advance the laws that support DeFi and decentralized governance, and ultimately encourage other DeFi protocol governance communities to contribute to these efforts.
The Harvard Law BFI responded affirmativeThat it was natural for them to vote for their own proposaland added:
“In addition, we have these voting rights from UNI officials who have delegated their votes to us (who can step down at any time).”
Said that There were enough votes to make a snapshot proposal, but you cannot unilaterally subject it to consensus review without a majority vote.
At this point, the proposal is in the “temperature test” modeThis means that you need at least 25,000 UNI support that you already have. To pass a full proposal after the “consensus check” phase, you need a quorum of UNI 40 million..