Svmuureports that Uniswap DAO is voting on a proposal to reclaim approximately 12.5 million UNI (about 42 million USD) previously lent to delegates and foundations. The voting period concludes on May 8, with approximately 53% in favor, 46% abstaining, and minimal opposition votes.
Between 2022 and 2023, the DAO had lent out these governance tokens to enhance governance participation. Uniswap Labs states that governance activity has now significantly improved, with average voting participation reaching approximately 75 million votes, indicating that the relevant mechanism has achieved its intended effect.
This retrieval also aims to address incentive misalignment issues—some delegates wielded considerable voting power without having their own economic exposure. Simultaneously, this move is seen as a response to external scrutiny regarding the degree of governance decentralization.
Furthermore, the Uniswap ecosystem has recently advanced reforms including fee mechanisms, token buyback and burn, and governance structure optimization to further enhance governance transparency and decentralization levels.