This post serves to inform the community about my engagements with KyberDAO in my Kyber ambassador role for the Coop. To get more of an idea on what my role will be like and what the community can expect from me as a protocol ambassador read my introduction here .
Kyber Network Governance & Metagovernance
To read more about how Kyber Governance works, read my first report here It also goes into potential metagovernance.
Kyber Governance Updates and Proposals
As part of my role as ambassador I have been actively following Kyber updates and have stayed in touch with the Kyber team. I will briefly summarize the updates within the KyberDAO.
This month’s community call was all about the deployment on Fantom, going to deploy on NEAR, the MIM pool going wild and last but not least, KyberDMM’s swap function is now greatly enhanced with Dynamic Trade Routing! This powerful feature enables users to source liquidity from different decentralized exchanges to achieve the best price for any token swap, on any supported network, in an entirely trustless manner!
This month was a very calm month for Kyber when it comes to voting. Last month was full of LM votes and turning the outcomes into practice, during the same month!
This month there was not a single vote within the DAO, perhaps the community needed a break.
Proposals however are being made and are gaining traction, in particular the join-LM proposal with dForce and Pegaxy.
The other interesting proposal is surrounding Kyber governance itself. A team member suggests moving from on-chain voting towards Snapshot.
The number of unique voters on KyberDAO has fallen over time as more KNC holders delegate their tokens to 3rd-party staking pools (although amount of KNC staked remains high). Since 3rd-party staking pools vote and collect rewards on their behalf, some KNC holders might become less interested in the progress and outcome of the voting campaigns. This is less likely if they are able to vote on their own via a cheap and convenient process.
I personally have always thought Kyber to be a pioneer when it comes to on-chain voting, so it is interesting to see this potential shift.
Kyber Treasury Diversification with DPI
It has become clear that there is no animo within the Kyber community or core team, at this time, to diversify the Kyber treasury with DPI. The main reason has been that DPI holds close competitors (UNI and SUSHI) in larger allocations. This has turned out to be a stumbling block for the proposal.
DPI Listing on Kyber DMM
However, DPI listing on their DMM has been once again ignited with some more energy. The Kyber team reached out recently to make this a reality. They have proposed a co-marketing campaign and joint LM incentive rewards. Since the DMM has been gaining good traction on multiple chains (Ethereum, Polygon, Avalanche and BSC), I personally argue for accepting this proposal.
The ambassador program has been running for a couple of months now, and so far it has been a slow process. As someone who interacts and contributes to multiple DAOs (Balancer, Prime, BanklessDAO, Fuse, etc.) I am not surprised. It is an attribute of DAOs and sometimes things take time, and then boom! It suddenly all comes together.
Since direct metagovernance is not possible on Kyber and DPI treasury diversification is unlikely to happen, I really hope that this listing and working together in a cooperative way will become reality. It would be a sign of the Coop that we as a community are actively working towards bringing value and building up our DPI investments. It would be encouragement to all other Coop ambassadors to step up and forge stronger bonds.