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A new 5.05 million UNI airdrop could be a reality if the votes come through

Photo of: Dennis Ramos
by Dennis Ramos

It is that time in the month when Uniswap’s second governance proposal for Uniswap’s decentralized exchange is underway. With a little more than 30 hours to go, it has reached a mid-way quorum already. The voting of the Uniswap community is happening on its second-ever governance proposal to distribute 5 million governance tokens to users who have interacted with the Decentralized exchange through a third-party platform. 

If the proposal sees the light of the day, then a solid 12,619 wallet addresses that were in interaction with Uniswap through a proxy contract will be provided 400 UNI tokens each. So in total, 5.05 million UNI will be allocated to the diverse users of different platforms such as MyEtherWallet, Argent, Dharma, DeFi Saver, Nuo, Eidoo, Opyn, Furucombo, Monolith, and Rebalance.

The second governance proposal was an idea that was put forward by Compound-based lending and savings protocol Dharma. The initiation was a trigger of the void left by the initial distribution of the UNI tokens, in which many users felt left out of the process. 

“The cohort of proxies was chosen due to them being “less programmatically accessible,” suggesting “a lower likelihood of multiple addresses per end-user. The Phase determination was made based on how easy it is to programmatically hook a trading bot into them, as this is a proxy for what portion of these cohorts risk representing multiple addresses per end-user.”

The deadline for voting is till tomorrow and will end roughly at 8.00 am UTC. If the vote passes, Dharma will give a secondary proposal this time for retroactive distribution. If both the phases pass, it will not vote in favor of any further retroactive airdrops. As per the present observations, the voting seems to be successful in garnering support. There has been a discernible rise in the number of votes favoring, to 25.93 million votes compared to a measly figure of $1.26 million votes. In order to pass the proposal successfully a quorum of 40 million votes will be needed. 

But, if we speak of Uniswap’s first governance vote which was initiated by Dharma, it failed because it fell short of Quorum by a very marginal deadline slip of 1% despite 98% of the votes giving their support for the proposal. The number of votes registered against was low, but the problem came in when a considerable portion of the community refrained from voting itself. 

The second proposal also received a negative reaction and SpankChain CEO Ameen Soleimani came out in criticism of the retroactive distribution for not able to create enough wealth for UNI holders. He also claimed to have removed his funds from it to invest it elsewhere. But despite the earlier experience he also said that he would vote in favor of the second proposal if it is the “absolute last fund recovery ever.” He also warned that Uniswap should refrain from any such governance mush-ups and messes in the future.