themorningcrypto

Binance Emerges out as UNISWAP DAO's Second Largest Token Holder

gaurav sharma
gaurav sharma

Updated on September 01, 2023 04:00 PM

Published on October 20, 2022 03:08 PM

A portion of the tokens assigned to the exchange, 13.2 million UNI tokens, or 5.9% of the total voting power, were delegated by Binance.

Binance Emerges out as UNISWAP DAO's Second Largest Token Holder

 On October 18, Binance distributed 13.2 million UNI (UNI) tokens from its own books. These tokens account for 5.9% of the exchange's voting power. According to the on-chain list of delegates, cryptocurrency exchange Binance is currently the second-largest entity by voting power in the Uniswap DAO, trailing the venture capital firm Andreessen Horowitz, or a16z. The amount allotted approximately 1.3% of the entire supply of UNI.

The requirement for proposing votes was recently lowered in a governance vote. Although the move exceeds a 0.25% threshold and falls below the 4% quorum needed to pass votes, it will still allow Binance to propose governance votes. The shift is a "very unique situation, as the UNI technically belongs to its users," Uniswap CEO Hayden Adams wrote on Twitter.

1582714218323017729

Adams asserted that it's unclear how Binance plans to interact with Uniswap judgments, stating that “Binance users would prob prefer to keep these gov rights (similar to what compound has done with cUNI).”

Changpeng "CZ" Zhao, CEO of Binance, was also contacted by Adams to discuss the company's plans "in the spirit of transparency." At the time this article was published, CZ had not responded to any queries from either Adams or other users.

1582724276553412609

Uniswap revealed a $165 million Series B funding round on October 13 with additional previous investors Andreessen Horowitz, Paradigm, Variant, and SV Angel. Polychain Capital served as the round's lead investor. The cash, according to the business, will be used to develop new online applications, developer tools, and a move toward mobile in order to enhance user experience and broaden its current product offerings. Additionally, the business plans to start nonfungible tokens (NFTs) initiatives in the future.

Adams further stated that the platform's total trading volume has reached $1.2 trillion and that the decentralized exchange rose to prominence in 2020 during the decentralized finance craze. In February 2021, Uniswap's total transaction volume reached $100 billion for the first time.

FAQs

On October 18, how many UNI tokens did Binance distribute from its own books, and what percentage of the exchange's voting power do these tokens represent?

On October 18, Binance distributed 13.2 million UNI tokens from its own books, which account for 5.9% of the exchange's voting power in the Uniswap DAO.

Which entity currently holds the highest voting power in the Uniswap DAO, according to the on-chain list of delegates?

According to the on-chain list of delegates, the venture capital firm Andreessen Horowitz (a16z) holds the highest voting power in the Uniswap DAO, making Binance the second-largest entity.

What percentage of the entire supply of UNI tokens did Binance's allocation represent?

Binance's allocation of 13.2 million UNI tokens represented approximately 1.3% of the entire supply of UNI.

How was the requirement for proposing votes in the Uniswap governance lowered recently, and what impact did this change have on Binance's ability to propose governance votes?

The requirement for proposing votes in Uniswap governance was lowered in a recent governance vote. Although the change did not meet the 4% quorum needed to pass votes, it exceeded the 0.25% threshold, allowing Binance to propose governance votes despite objections.

According to Uniswap CEO Hayden Adams, what unique situation does Binance's ownership of UNI tokens create, and how does he suggest Binance should handle it?

Uniswap CEO Hayden Adams described the situation as "very unique" because the UNI tokens technically belong to Binance's users. He suggested that Binance users would likely prefer to retain governance rights, similar to what Compound has done with cUNI.

Has Changpeng "CZ" Zhao, the CEO of Binance, responded to inquiries from Hayden Adams or other users regarding Binance's plans with its UNI tokens?

At the time the article was published, Changpeng "CZ" Zhao had not responded to inquiries from either Hayden Adams or other users about Binance's plans with its UNI tokens.

What significant funding announcement did Uniswap make on October 13, and who were the primary investors in this round?

On October 13, Uniswap announced a $165 million Series B funding round. Primary investors in this round included Andreessen Horowitz, Paradigm, Variant, SV Angel, with Polychain Capital serving as the lead investor.

How does Uniswap plan to use the funds raised in its Series B funding round?

Uniswap plans to use the funds to develop new online applications, developer tools, and enhance the user experience, including a move toward mobile. Additionally, the company intends to initiate nonfungible tokens (NFTs) projects in the future.

cryptoBinanceDeFi

Trending

Bank of Korea Collaborates With Local Institutions And BIS On A Wholesale CBDC Pilot
Bank of Korea Collaborates With Local Institutions And BIS On A Wholesale CBDC Pilot
October 10, 2023 07:00 AM