Hello, Prof. Below is the official response of the team to the proposal.
We would first like to express our appreciation to the author for the time and effort invested in this proposal. While we understand the intent behind the proposal to dissolve the DAO, Laguna Games has been transparent in its position that it will not support any proposal that seeks to distribute funds among its members and shut down the DAO. Ultimately, we still hope that the community will step up and carry the DAO forward.
Certain members have raised concerns that the community will never truly be able to carry this forward in the current structure, noting that the Team and Investor block holds a significant portion of the voting power - potentially limiting the broader membership’s ability to influence decisions. In response to these concerns, we previously proposed the removal of supermajority and the introduction of Quadratic Voting Strategy to mitigate the influence of large holders. However, community members raised valid concerns about the potential risk of Sybil attacks under this system.
After consulting with our legal counsel, we have found a more effective solution. Rather than implementing the Quadratic Voting Strategy, we have concluded that the most effective way to address the distribution of voting power is to drastically reduce voting tokens within the team’s influence. To that end, we shall perform a series of token transactions to implement this.
Specifically, we will:
- Remove the 23,600,000 Team and Investor lsCU tokens we locked for voting.
- Rather than continuing to vote as a unified block, we will distribute the Investor and Private Sale tokens to their respective owners,
- Burn a total of 10,405,179.17 Team CU, comprising both the unallocated portion and unlocked sCU, permanently removing these tokens from circulation.
Once these transactions are completed, the supermajority previously held by the Team and Investor block will effectively be dissolved.
With the loss of the supermajority, 4 out of the 7 slots on the Safe multisig will be transferred to nominated DAO members, pending completion of identity verification and the signing of handover acknowledgments.
While we cannot support the current proposal, we believe this is the best path to complete the handover in an orderly fashion. By completing the handover, the DAO will be better positioned to exercise its will and operate per the community’s expectations moving forward.
The election to determine the representatives for the multisig handover will be conducted shortly, and we expect to complete the handover and lose supermajority by November 15, 2024. We look forward to this new chapter for the DAO and are eager to see what the community builds.
PS: I have closed all my existing proposals apart from the necessary Charter changes. This allows the DAO to do the changes it wants to do post-turnover instead of me insisting on my ideas.