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Most DAOs are abandoning decentralized governance

CN
Ignas | DeFi Research
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3 months ago
AI summarizes in 5 seconds.

Most DAOs are abandoning decentralized governance.

Aave is resisting this trend for the benefit of all DAOs and their token holders.

Acquisitions like Axelar's, which completely disregard token holders, set a terrible precedent.

It makes DeFi tokens uninvestable: token holders face all the risks but gain little upside.

At the same time, DAOs can't be vulnerable for extraction by supposedly aligned entities.

Case in question is Compound: despite being a leader in lending in the past, it's falling into irrelevance as 3-rd party service providers extra all the value from $COMP and Compound.

Thus Aave Labs, ACI, BGD Labs etc. should find alignment that incentivizes building for 'Aave' together while making $AAVE the owner of everything-Aave.


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