Community governance, or what is now called DAO (Decentralized Autonomous Organization), has become the meta for growth for most emerging blockchain projects because it brings all hands on deck to create and vote on initiatives for the entity. However, this model emerged from a rough Ethereum blockchain event in 2016.
This model emerged from a Decentralized Venture Capitalist project on Ethereum called The DAO. The project was exploited for a $60 million hack, an event that led to the division of the Ethereum blockchain. Let’s see how MakerDAO (MKR) has used it and how Uwerx can maximize the model.
MakerDAO (MKR) And Its Governance Model
MakerDAO (MKR) is a lending protocol on the Ethereum blockchain that allows users to lend and borrow cryptocurrencies. MakerDAO is primarily a lending protocol, and it borrows users’ funds in DAI stablecoin. Most DeFi protocols use stablecoin to protect users from loss due to volatility that could come with regular cryptocurrencies. However, borrowers will have to be overcollateralized when they borrow DAI, protecting lenders from defaulting debtors. Also, should the collateral fall to the same price as the borrowed amount, it will be liquidated to cover the borrowed funds on the protocol.
MakerDAO (MKR) operates like a decentralized reserve bank that issues its own currency (DAI) but is not under central control. It’s a community-governed project, and the DAO allows MKR holders to own a stake in governing the protocol. DAI is a decentralized stablecoin backed by several cryptocurrencies and real word assets.
MakerDAO just voted on a proposal to increase the protocol’s real-world asset vault debt ceiling to $1.25 billion from $500 million. This will allocate more funds to the protocol’s current US Treasury investments.
Uwerx (WERX) Community Governance
Uwerx is a decentralized freelance platform built on the Ethereum blockchain, and this novel approach allows for traditional features from the blockchain to be imported into a freelance platform. This ensures that more value stays within the community, and oftentimes the rewards from the platform are shared within the community, as compared to everything going to the private firm owning the freelance site.
Uwerx finds a way to help users make more money, keep more money to themselves without paying huge fees, and find better working opportunities. Uwerx rewards users for activity, and as the bunch of it is gamified, it’s a fun platform to use. Uwerx will only charge a 1% fee on contracts established on the site and will enable other unique features, including transparent pricing, personalized matching, and special tools for collaboration tools and dispute resolution.
The WERX token will act as a store of value and will allow holders to own a stake in governance. Uwerx will be renouncing the contract after launch to ditch the main bit of central control the team could have on the project. All decisions will be voted upon by the community, and with huge prospects on this, you should not miss out on being early.
This week, we’re launching the presale of our clickable prototype, which features both freelancer and client registration pages. Additionally, the much-anticipated Uwerx Vault feature will be introduced next week. We will also be running a survey to decide on the test airdrop date.
WERX presale offering is at $0.047725, and this is the lowest price you’ll be able to buy the token. Seize the opportunity now and claim 15% bonus tokens when you purchase.
Presale: invest.uwerx.network
Telegram: https://t.me/uwerx_network
Twitter: https://twitter.com/uwerx_network
Website: https://www.uwerx.network
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