- A first signal vote on a contentious Sushi DAO treasury plan was passed.
- The proposed governance plan calls for moving more than $40 million in treasury assets under DAO control to a brand-new Sushi Labs vault.
The controversial Sushi -7.13% DAO governance proposal, which calls for moving more than $40 million in treasury assets under DAO management to a new Labs model, has passed the community signal phase.
62.5% of voters supported the idea when the voting was over earlier today. The proposal was intended to serve as a signal vote that would determine whether or not the structural reform should move forward. Voting on implementation has already begun, with 83% of voters supporting it as of April 17.
However, Naïm Boubziz, a member of the SushiSwap Compensation Committee, has strongly rejected the idea, claiming that the core development team made new wallets in advance of the vote in order to boost the team’s voting power.
According to Boubziz, this proposal marks the first time the SushiSwap team address, sushigov.eth, has ever cast a vote.
The wallet is the largest voting block, despite the fact that the community never anticipated it would be utilized for governance, with 5.5 million SUSHIPOWAH votes and an additional 3.1 million allocated to it.
In the world of cryptocurrency, a DAO is a decentralized governance organization with decisions that are typically made without central authority, whereas a lab works on research and development to advance the protocol.
SushiSwap financing plan
The SushiSwap governance plan proposed moving assets from the DAO-controlled DeFi app treasury to a new Sushi Labs-controlled one, and making sure that going forward, all airdrops will go into the Sushi Labs vault.
SushiSwap developer Jiro stated in a post last month, “We request that Sushi DAO award a grant of 25 million Sushi tokens to Sushi Labs, including assets from the Arbitrum airdrop, business development and partner grants, Kanpai 2.0, Sushi 2.0, rewards, stablecoins, and ‘Sushi House’ funds.”
Furthermore, the proposal said that Sushi Labs, as the new organization, would be the only recipient of any future airdrops given to Sushi by partners and protocols.
By using a laboratories model, this proposal seeks to modernize Sushi by “restructuring the current organization to enhance operational efficiency and accelerate protocol development,” according to Jiro.
The developer went on to say that the present SushiSwap governance procedures “need more flexibility to accelerate our development pace,” which is why the change is required. “Empower Sushi Labs with exhaustive and sole operational responsibility for core product development” is another goal of the proposal.
According to Jared Grey, the “Head Chef” of SushiSwap, the idea is a necessary reorganization of the governance model that will benefit the DAO as well as the sushi holders.
“Optimizing the relationship between the operations element and the DAO is the aim of our proposal,” stated Grey. He continued by saying that the plan provides a way to transfer goods more quickly while maintaining DAO autonomy and operational continuity.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
