Dharma’s Uniswap governance proposal risks giving it too much power

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Dharma, an open-source lending platform, which is also one of the top governors of Uniswap (UNI), as its one of the biggest holders of UNI token (Dharma reportedly holds over 15m UNI in one address alone), floated a proposal it claims is designed to foster inclusivity in the Uniswap ecosystem.

Dharma on Monday proposed to lower the threshold for submitting a proposal to alter the network from 10 million UNI (about $31 million, or a tenth of the market cap) to 3 million (about $1 million). It also wants to lower the amount of UNI the community must stake to pass a vote from 40 million UNI (~$120 million) to 30 million (about $90 million).

David Felton, an active Uniswap community member has strongly kicked against Dharma’s proposal via his Medium blog post, arguing that the proposal is a threat to Uniswap sovereignty, as its success will ultimately increase the power of Dharma and Gauntlet over Uniswap and make it easier for them to meet the quorum threshold with their combined 30m UNI holding.

Also, DeFi Watch founder Chris Blec claims to have been blocked by Dharma after questioning the motives behind the proposal.

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