The highly anticipated vote on UNI staking and delegation rewards, which was scheduled for May 31, has been postponed by the Uniswap Foundation. The decision to delay the vote was made following concerns raised by a stakeholder, prompting a more thorough review of the proposal. This delay in the decision-making process has caused disappointment among the community.
The proposed upgrade would have brought the decentralized exchange one step closer to activating its “fee switch” and providing incentives to UNI tokenholders who staked and delegated their tokens. However, due to the sensitive and irreversible nature of the upgrade, the Uniswap DAO governance forum deemed it necessary to subject the proposal to rigorous vetting and scrutiny before proceeding.
The Uniswap DAO has been exploring the possibility of enabling a fee switch for several years, but previous proposals have been hindered by concerns about potential violations of U.S. securities laws. As a result, the foundation has taken a cautious approach, leading to delays in progress on this issue.
The Uniswap Foundation’s decision to postpone the vote has faced criticism from some members of the community. One user accused the foundation of succumbing to pressure from an unnamed venture capital firm. This has raised questions about the decentralized governance system and the influence of external entities on decision-making processes.
Before the postponement, UNI holders were required to delegate their tokens on the platform in order to participate in the voting process. The Uniswap Foundation had introduced a proposal in February to address previous concerns and had received community support through an advisory vote.
In terms of financials, the Uniswap Foundation disclosed holdings of $41.41 million in fiat and stablecoins, as well as 730,000 UNI tokens at the end of the first quarter. During this period, the foundation committed $4.34 million in new grants and disbursed $2.79 million in previously committed grants.
Overall, the postponement of the vote has created disappointment and raised questions about the decentralized governance system. The Uniswap Foundation will need to address concerns and conduct a thorough review before proceeding with the proposed upgrade.