Dear Venus community，
Like many Venus community users, we have noticed that someone has initiated VIP40 and VIP42. In VIP40, they suggested increasing the Collateral factor of SXP and XVS so that people could borrow more money from their SXP and XVS. At the same time, they also proposed to increase the XVS reward of SXP by more than 20 times. In VIP42, they call themselves the bravo team, hoping to get the same treatment as the existing Venus team, and provide them with 1.9 million XVS while the current team doesn’t have any financial support yet, to execute their development plan (although no one knows what this plan is).
Most XVS investors and users quickly discovered that both of the proposals are very absurd.
The collateral factor reduction of SXP and XVS is based on the Risk Assessment Framework. Raising their parameters would make venus prone to the risks that happened before. If we increase the number of rewards for SXP, SXP users may be happy, but that would mean stealing from all the venus community members.
As we have mentioned before, Venus seeks long-term, stable, and overall growth. We should not initiate and pass VIPs that benefit only a small group of people, nor should we focus on short-term benefits and give up a bright and long future.
No matter who is behind these two rogue VIPs, we can be sure that they have bad intentions and are trying to benefit from stealing or destroying Venus.
As a community member who cares about Venus, if you have XVS in your wallet, please vote against VIP42 so that malicious and unknown bad actors realize that the Venus community does not welcome them. Although we believe that neither VIP42 nor any unreasonable VIP initiated by this person hiding behind the scenes will ever be approved by the community, this absurd VIP really demonstrates the importance of DAO.
Venus officially opened the DAO in February of this year. Almost all the important changes including new features, parameter adjustments, and the new asset listing, need to initiate VIP and get enough support from the community in both community forum and vote system.
However, Venus’s current DAO mechanism is not ideal, and there are some core issues that need to be resolved, e.g., What if some bad guys hold enough XVS but want to initiate a VIP that is only for personal benefit?VIP40 and VIP42 are real cases of this problem.
We will continuously improve Venus’s DAO to answer below questions:
- Can we bring in more talents and experts who love the Venus community to come up with good ideas and promote the progress of the project?
- What should we do when everyone has a disagreement, and what should we do to find the best path?
- How to balance the efficiency and decentralization of DAO governance?
- What kind of DAO is suitable for Venus? Should we use the Delegate Program or direct voting?
The XVS Vault is the first step to solve this issue, and more ideas should be proposed and discussed in the Venus community.
Let us unite and build a better Venus together.