BlocksInform
Crypto venture firm a16z has used its 15 million UNI token voting block to vote against a proposal that would use the Wormhole bridge for Uniswap V3 deployment on BNB Chain.
According to the ongoing results of the proposal vote, a16z’s overwhelming token stash enabled it to control around half of the votes so far, pushing the decision its way.
The proposal to deploy the latest Uniswap iteration on the BNB Chain was submitted on Feb. 2. it was produced by 0xplasma labs on behalf of the uniswap community as a result of a temperature control with 80% in favour of the proposal.
The voting period will end on February 10, and only 3% or 30.5 million votes were cast at the time the bill was drafted. For a vote to be adopted, the quorum has to be 4% or 40 million united chips. A16z has made every effort to make sure this doesn’t happen.
Uniswap Controlled through resumes.
The movement has the crypto community irritated and calling for responses to a protocol that purports to be decentralized.
You’re being lied to about the governance of UNI@a16z could control 41.5M UNI through 11 wallets, which represents more than 4% of the supply
4% is the required amount to pass any proposal ??v https://t.co/mVdTukYstD pic.twitter.com/u7l9kBFIWF
— Bubblemaps (@bubblemaps) February 5, 2023
The decision to cancel the vote seems to have been motivated by choosing the bridge between the channels in the proposal. 0xPlasma Labs chose Wormhole, while a16z supports LayerZero.
“Following a very complicated discussion and the instant vote, the community selected the Wormhole Bridge for the roll-out of Uniswap v3 on the BNB channel (with 28 million votes)," 0xPlasma Labs noted.
Furthermore, a16z led a $135 million investment round in the LayerZero blockchain interoperability protocol in March 2022.
Decentralization advocate Chris Blec commented, “We have real anti-competitive cartels.” After the vote, the owner of the Binance, Changpeng Zhao, said:
When it comes to channel voting, the big whales control the blockchain. Just like shareholders.”
?? @a16z just used its full voting weight to squash a $UNI proposal to launch Uniswap protocol on BNB chain using @wormholecrypto bridge.
a16z is a large investor in Wormhole competitor, @LayerZero_Labs.
Open your eyes. ??
Challenge anti-competitive cartels are TRUE. https://t.co/QwElvg5DOj pic.twitter.com/4b14LqWLRH
— Chris Blec (@ChrisBlec) February 5, 2023
UNI Price Outlook
Uniswap’s governance token lost 3.9% on the day. As we write, united was trading at $6.91 after an intraday high of $7.30.
The chip didn't win a lot of ground in January's comeback, winning only 25% in the last month.
Unit prices fell below $5 after the FTX crash in November and have been fairly stable since mid-August. In addition, UNI continues to show an 84.6% decline from its historic peak of just under $45 in May 2021.
