$74 million price tag makes Uniswap Foundation proposal gets mixed reaction

Jamal Molla
Written By Jamal Molla
I write about cryptocurrency, with a special interest in NFT and metaverse in particular.

Uniswap Foundation proposal gets mixed reaction, with some applauding it for its endeavors to advertise and diversify Uniswap’s environment, while others object to the project cost. The community has previously discussed bids for a Uniswap Foundation in the United States; however, that will require $74 million.

According to Devin Walsh, Uniswap Labs’ former chief of staff, and Kenneth Ng, the program’s manager, the foundation’s main objective is to “promote [the] Protocol’s] decentralized growth, renew control, and function as a Protocol champion.”

Walsh will serve as the executive director of the Uniswap Foundation (UF), whereas Ng will be in charge of day-to-day activities. Walsh has demanded $74 million in Uniswap (UNI) within the next three years to realize her goal, with $60 million budgeted for the Uniswap Grant Program (UGP). In addition, $14 million will be allocated for an “operational budget” to develop a team comprising 12 people.

According to trade volume, Uniswap is the world’s largest decentralized exchange (DEX). There was $793.8 billion in trading activity on Uniswap’s third iteration of the DEX in the last 24 hours, placing it on a level with Huobi Global and KuCoin, according to CoinGecko.

“Sooo pleased about this concept,” Uniswap creator Hayden Adams tweeted on Thursday. After the proposal was approved, Adams said, “The Foundation will be yet another team working toward a future where the Protocol does not simply survive—flourishes!”

Even if Adams and other members of the Uniswap community have conveyed their backing for the plan thus far, it has encountered a substantial number of naysayers who argue that the price is too high.

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“The $60 million for the UGP is foolish at this phase,” Cinneamhain Ventures partner Adam Cochran wrote in a tweet on Thursday.

As Cochran noted, the current UGP has previously given out $7 million in awards for “underwhelming” projects. The UGP has invested in a few worthwhile enterprises, but “I don’t think the current performance supports giving us $60M Plus $14M to manage it for three years,” as he stated in his conclusion.

Developer with Dark Forest, a decentralized video game, agreed with the UF’s intentions, but he sensed that the plan had several “fluff” in it, despite the protocol’s prospective for development. He urged the university to focus on “protocol growth and research and development.”

On August 8, assuming the present straw poll is successful, the proposal will undergo a concluding vote in the Snapshot governance-voting platform. As reported by CoinGecko, UNI is presently trading at $9.04, an increase of 1.4 percent over the last 24 hours.

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