A proposal that closes in less than twenty-four hours seeks to amend the token burn associated with the Decentraland naming process. This proposal comes from Yemel and suggests that instead of burning the fee (100 MANA) for minting a unique name, it should be sent to the Decentraland DAO treasury.
Decentraland names are decentralized web addresses that are human-readable: allowing for a more humanized sense of identity. Several investors have already begun buying Decentraland names with the expectation that when companies move into the Metaverse, they will pay a premium for the name associated with their brand, as seen by this NikeAir listing on OpenSea.
The thought kernel underpinning this proposal is that building the DAO treasury will be a better investment long-term than the price stability benefits from burning MANA. Increasing the DAO’s treasury allows it to engage in more expansionary policies, generating more income over an extended period.
This proposal has passed the 500,000 voting power threshold with 32 votes for and 33 votes against. Despite votes against having a higher number of individual voters, this proposal will likely pass, and at the time of writing, voting power for stands at 10,213,964, and voting power against stands at 2,352,385. This shows that larger MANA holders have backed this proposal and remain in favor of building the DAO’s treasury fund.
Voting power has three core sources: MANA, NAMES, and LAND, associated with the wallet address connected to the DAO. The Decentraland Docs provide a full breakdown of how voting power is calculated. These larger whales remain firmly in favor of building the treasury.
The burning of tokens often increases the token value by reducing its supply, but it can present an obstacle to the long-term growth of fundamental value. Funneling this fee to the DAO will allow further spending initiatives and grants, which will be more effective in developing and forwarding the Decentraland vision for the future.
Check BTC Peers guide of the most promising crypto