Metagovernance in Crypto

------------------------------------------------------------- Final words on metagovernance and governance in general I am optimistic about what metagovernance can bring to the crypto world and also to the human collaboration game. However, many concerns remain.

------------------------------------------------------------- Bringing it all back The Curve War and the actions taken by Fei Protocol and Index are distinctly different events. However, both fall under my definition of metagovernance - holding one DAO’s token gives you the power to influence decisions in another DAO.In the end, metagovernance is j... See more

------------------------------------------------------------- Firework Aave is just a few steps away from listing Fei Protocol. Matthew, a core contributor at Index Coop, handles most of the interactions:

1. Fei community will propose to use its $INDEX to propose on Index Coop.


2. Fei community will propose IIP-82: use its $AAVE to list $FEI on Aave.


3. Index

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Lobbying major holders of $AAVE can lead to bad PR and mercenary voters. Borrowing is akin to bribery. While lobbying is challenging, Fei Protocol's team is committed to it: it takes time and involves multiple rounds of calls with stakeholders. Lobbying has been less successful since Fei's recent de-pegging event.

Several months after Fei Protocol launches, Brianna posts an ARC on Aave's governance forum asking for $FEI to be listed. As a listing on one of the largest lending protocols requires a governance proposal process, a Snapshot is also created to gauge community sentiment. Both provide a sense of the community's perspective. Anyone can post an ARC on... See more

------------------------------------------------------------- Setting the stage

Aave is a decentralized non-custodial liquidity market protocol where users can participate as depositors or borrowers.

- Index Cooperative (Index Coop): Index Cooperative is incubated by Set Labs. Index Cooperative offers various investment vehicles to individuals and institutions – from token baskets (ETF-like) to leverage.

------------------------------------------------------------- Introducing the players - Fei Protocol: $FEI is one of the few truly decentralized stablecoins because it is mostly backed by $ETH. Fei Protocol’s Protocol Controlled Value (PCV) holds ~$653mn, providing a 206% collateralization ratio for all circulating $FEI.