A message to the Venus community: Unite and Fight Back against Destroyer and Build a better DAO Together

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.

Venus Team

2021.9.15

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You make some really valid points about the importance of DAO and how it should be utilised correctly as a community.

VIP40 and VIP42 are a joke tbh - but at least who ever it is is utilising the platform as it is intended which demonstrates the decentralised nature of it (if your a whale and you have enough XVS that is), however…

It was not too long ago that the ‘new team’ asked for community feedback on a two token economy, which they received. This did not go to a vote at all and the new Tokenomics have been layed out and vaults developed, still without a vote - leaning very much towards a centralised authority running venus - period.

Whilst I completely disagree with the persons intent behind VIP40 and VIP42, the venus team also needs to remember the voting aspect and listening to the community as a whole.

It takes a long time to earn trust in the crypto space and only a few seconds to loose it.

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Look at what ridiculous proposals VIP40 and VIP42 are. This also allows us to unite and speak out for everyone’s common interests. I support the VENUS team. The work in the past few months has allowed us to see results and convinced me that VENUS will move towards a better future one step at a time. Come on, we can win.

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I actually like the competition. I think it makes the network more secure.

Questions that havent been answered yet.

  1. Who is the team working on venus. Specifically who are these people?
  2. Who is funding the team at venus? How could it be decentralized if the funding is coming privately from binance or other sources? If funding is not disclosed, that would give the funders some sort of advantage in terms of price movements and early warning to new features. Hence why we see massive pumps days before VIPS.
  3. Why is everything in venus secret and private, and we have to wait for small information to trickle out? Thats not how decentralized coins work.
  4. Why is all the coding not done on the github? Why is there proprietary coding?

Venus would not pass the howie test.

You see, competition will allow this to be all open and disclosed. So i dont think there is anything to “fight back” about. I think everyones voice should be heard and if these people bought 1 million XVS, maybe they want to have a say in it regardless of how reckless it is?

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“competition”?!! This is what you want to say?
When someone wants to destroy a project so obviously you call it is a “competition”? !
Do you really know what’s the meaning about “competition”?!
You see and you know, how about the “Team Bravo” come forward in the sun to show themselves to the community who really they are and what they have done for the community and what they will bring to the community and how to benefit the community and project first as you said?!

Do you know what’s the meaning of “Terrorist”?

“howie test.”? It’s meaningless.

If this passes can a VIP be deployed to reverse it? If so how quickly?

Yes competition has no name. Vote against it. Its like free speech, just because someone disagrees with you, doesn’t mean they dont have the right to free speech.

Oh, “free speech”, oh, yes, some “Team Bravo” want to use the bomb and kill people to show their right of “free speech”, and someone shows “welcome” to this way, yes, that’s very fair.

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A VIP is action not just speech, they are actively trying to rob us.

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Anyone want to try answering this question now? Team Bravo just F’d us in the A

Edit: VIP has been cancelled what the hell just happened?

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I’m curious too.
If it’s an action from the current devs, so: bravo. No joke. I don’t care it’s not in the spirit of DAO, this VIP were obviously fraudulent and a forced cancellation would have been the good move.
A post-mortem of what happened (the millions of XVS each side and the Cancellation) would be welcome.

edit: Venus actually published a post-mortem
Credits to @fat for having pointed it out

edit: the mastermind wallet never had more than ~15000 XVS, how could he cast a 355K XVS vote? Am I missing something?

The VIP 42 proposal was initiated by an investigative law firm from the US, that was assisting US regulators seeking to prove that the Venus protocol was not decentralised as claimed, but instead a platform controlled by few vested entities, offering security investments to US investors without any transparency and disclosure of the risks involved to investors. After this vote was cancelled, the thesis of the investigation has been proven, and enough and irrefutable evidence has been collected that Venus Protocol was indeed a centralised platform where few entities controlled the entire protocol. Very soon, the SEC will be filing a securities fraud lawsuit against the Venus developers for running an unregistered securities platform that was open to US citizens.

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This shit its get better by the minute. So the protocol was saved by the mysterius invisible cancel hand. Wtf…

Could you list the regulated Securities you claim Venus is offering?
I see only generic tokens there, nothing close to a Stock, Bond or anything SEC-regulated.

Last days there where some mystery buys on XVS - weird pumps. I guess we have the answer now

Do you have a source for that?

I suspect this has something to do with vote delegation.

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Thanks @fat, i didn’t know about this feature.

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Oh, smart guy!
Is ETH decentralised?
Is Makerdao decentralised?
Are the most of the projects decentralised?
Do’t act like a fool and blah blah blah what SEC what US users what laws, if you these VAULT is decentralised? who did you want to FUD?

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Full write up is on the blog.

https://blog.venus.io/stop-vip42-hostile-takeover-e108e31786aa

1 Like