Governance - Limit the Voting Power of Whales

I know the governance feature is still in the works, but it might be a good idea to create a max voting power so no one entity can control voting on the platform. Binance and a16z have significant stakes in Uniswap governance (12.6% combined and growing), which can sway platform decisions.

It will not be a fair voting system if a few large wallets make most of the decisions for the platform. Maybe a 1-5% max voting power per wallet/entity? I believe limiting the voting power of whales will create a more decentralized voting solution.

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True, makes sense and I’m for that limit.

Do you have any ideas for enforcing this on chain? I believe this is the same problem as stake pools have. Multipool operators are abundant, and while it undermines the decentralization, there is also no good way to clamp down on it without undermining it even more.

The basic options are, have a centralized entity which decides who is and isn’t cheating the limit. Obviously goes against decentralization.

Or you could hold a vote to kick voters out… but the problem is people with too many votes in the first place, so that might not work so well… Also this enables brigading against people who aren’t popular, which again goes against decentralization. Decentralization is not just holding a vote, traditional organizations do that… It should mean no one can stop you from participating.

I acknowledge what you’re trying to solve but I don’t see the solution.

Minswap has a very fair distribution with no pre sale or VC. Early supporters who take more risk deserve more say in the future of the protocol. This seems like a fair situation to me.

2 Likes

not a bad idea! maybe you need to lock up MIN token to participate in voting (like Indigo does) and there you could set up a max cap? Sure whales could make 10 wallets for voting but it’s a bit of a hurdle :wink: