DeFi platform Kujira aims to establish a DAO to tackle substantial obstacles following the deployment of operational funds and enhance liquidity and activity within the ecosystem.
Market destabilization and rapid sell-offs resulted from “exploits, socially engineered attacks, and fallouts within the ecosystem” in response to this initiative.
The Kujira team has announced that it will submit a proposal to establish the Kujira Operational DAO, a decentralized autonomous organization (DAO), in an official X post.
Community backlash and the impact
The team clarified that they had “made a concerted effort” to maintain their positions; however, the sales rate rendered this untenable.
“Although this was by design by a select few, we of course take full responsibility for the position getting to this point, and we are truly sorry that it’s affected price.”
The Kujira team also denied any mentions from “certain influencers” on X, speculating that the current situation is a “rug.”
The DeFi platform team’s public statement elicited a mixed response from the community, with Blockchain Ecologists characterizing the decision as “extremely irresponsible management.”
Proposed solution for the Kujira Treasury status
In response to allegations that the entire treasury is at risk, the team clarified that 14 million native KUJI tokens are “safe and sound” in the treasury.
The Kujira Operational DAO proposal would entail the DAO assuming ownership of the Kujira Treasury and fundamental protocols, with an initial objective of safely reducing debt.
“We will do this with Fuzion’s Bonds product, allowing us to offer the community discounted $KUJI, with a range of maturities and vesting schedules to minimise long-term price impact.”
Kujira community pool proposal
The team also suggested that the Community Pool be transferred to the Operational DAO to facilitate “a more thorough and extended voting period for grant requests, as opposed to the standard 48 hours.”
“Over time, the Foundation staking positions will also be transferred to the DAO, providing a sustainable source of revenue into the future.”
Per the Kujira X announcement, the team intends to provide the roadmap for “BOW v2, USK v2, GHOST v2, and Perps” in the upcoming months.
