Community members react as Uniswap proposes a $74 million initiative

A new proposal from a leading Decentralize Exchange, Uniswap, has been greeted with mixed reactions by community members. As revealed, the proposal would see a Uniswap Foundation established in the US. However, indications revealed that the development would cost about $74 million, increasing community members’ uproar. 

Though, the overall reaction of these community members has been mixed. A part of the community heaped praises on the DEX for attempting to broaden the Uniswap ecosystem. Meanwhile, those who lamented the proposal emphasized the price for the foundation in question. They admitted that the idea of establishing a foundation in the US is a good one. Yet, they faulted the price, claiming it’s too bulky to pay.

Former Chief of Staff Devin Walsh and Grant Program Lead Kenenth NG Of Uniswap proposed the initiative today. The Chief of Staff disclosed that the goal is to enhance Uniswap decentralized growth, revitalize governance, and stand as the protocol’s advocate.

The company will establish the foundation in Delaware if the proposal comes into effect. Wash and Ng will serve as the executive director and head of operations, respectively. Walsh requested $74 million in Uniswap native tokens to actualize this goal over three years. According to Walsh, $60 million from the funds would cover the Uniswap Grant Program (UGP). While the remaining will serve as an operational budget to establish a team of 12 experts.

The founder of Uniswap, Hayden Adams, revealed his excitement over the proposal via a tweet. The founder expressed his confidence in the passage of the proposal. He described the foundation as another team working towards a prospect where the protocol doesn’t just survive. Instead, it thrives. 

One of those who opposed the proposal is Adam Cochran, a partner at Cinneamhain Ventures. However, he supported the targets of the Uniswap foundation but described spending $60 million for the UGP as Misguided.

Cochran illustrated that at the moment, the UGP had spent about $7 million on underwhelming issues. Still, he admitted that some of the funds had been spent wisely, but he believes the current performance of the UGP doesn’t deserve the $74 million investment. 

Also, another critic, Scott Sunarto, a co-creator of the Dark Forest game, admitted that the UF goals are following Uniswap’s embracement for growth. He argued that the proposal contains too much “fluff”. Sunarto advised that the UF should focus on the protocol’s goal and R&D.

Lastly, the proposal will go into final voting on the snapshot governance voting platform by August 8. This is subjected to if it passes through the straw process that’s going on at the moment.

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