TechDeFi: Sushi Passes 2 Governance Votes to Strengthen Treasury

TechDeFi: Sushi Passes 2 Governance Votes to Strengthen Treasury

• The Sushi community has voted in favour of two separate proposals to strengthen the DeFi protocol’s treasury and long-term staying power.
• One proposal sought to direct all trading fees from xSushi holders to the Sushi treasury, while the other proposed a clawback of unclaimed SUSHI tokens from a distribution held in 2021 back to the treasury.
• Liquidity providers have until Apr. 23 to claim their rewards before all unclaimed tokens will be sent to the treasury.

The decentralized finance (DeFi) service known as SushiSwap recently passed two governance measures that are part of a larger plan to ensure its longevity and success. The proposals were put forward by token holders and subsequently approved with a majority vote by those staking sushipowah and xsushi – two important tokens within the ecosystem – on the project’s governance forums.

The first proposal, known as “Kanpai”, was created in order to direct all trading fees from xSushi holders into the SushiSwap treasury rather than rewarding them for participating in trades on the platform. This rule is scheduled to last for nearly one year until December 19th 2023 at which time another reward distribution model will be proposed and likely passed by members of the community.

The second proposal sought out an 8.2 million token (valued at over 11 million USD) clawback from an initial liquidity provider distribution that took place during Sushiswap’s launch in 2020. During this period, users who supplied assets were rewarded with sushi tokens, with 2/3rds of these rewards being locked up for six months after launch day which have since been fully unvested; however 8+ million remain unclaimed even today despite it being over one year since launch date – therefore this proposal calls for those remaining tokens being collected and added back into the projects treasury where they can be used more efficiently going forward towards development or other initiatives taken up by project teams or community members alike . All liquidity providers who are eligible have until April 23rd 2021 before any remaining unclaimed tokens will automatically be transferred into said fund – giving them just under two months left to collect their originally earned rewards if applicable .

Overall these two votes signify how serious many stakeholders take decentralised finance – meaning that through effective voting mechanisms utilising governance systems such as these, projects like Sushiswap can effectively plan ahead whilst also securing enough funds necessary for future growth plans or maintenance operations when needed .

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