The monetary modeling platform Gauntlet was awarded a grant from the Uniswap Basis to enhance DAO incentive mechanisms, in accordance with a Gauntlet announcement.
Very excited to announce our engagement to @gauntletnetwork and their new Utilized Analysis Group!
Gauntlet will concentrate on designing and specifying incentive applications to leverage the Uniswap protocol. https://t.co/RjzV02hFhf
— Uniswap Basis (@UniswapFND) April 11, 2023
Gauntlet describes itself as a “crypto-native supplier of economic danger administration options.” Based on the announcement, it makes use of financial fashions to optimize charges and rewards for decentralized finance (DeFi) protocols. The corporate is creating a brand new division, Gauntlet Utilized Analysis, that may particularly concentrate on points associated to the rising decentralized autonomous group (DAO) ecosystem.
In its announcement, Gauntlet mentioned it could present three analysis outcomes to UniswapDAO. The primary can be a quantitative framework that the DAO can use to evaluate the success or failure of the Uniswap protocol. The second can be an evaluation of dealer and liquidity supplier habits and the third will encompass at the very least three proposals for incentive mechanisms that may enable the DAO to realize its targets.
Gauntlet mentioned it expects all three of these deliverables to be accomplished by June 2023.
Devin Walsh, Government Director of the Uniswap Basis, expressed hope that Gauntlet's analysis will assist enhance not solely the Uniswap protocol but additionally the crypto ecosystem as a complete, stating:
One in every of our targets on the Uniswap Basis is to construct long-term relationships with probably the most gifted and values-driven groups within the trade, and to work with them on probably the most advanced and attention-grabbing problems with the Uniswap protocol.
DAOs have turn out to be a elementary characteristic of the crypto economic system in recent times, at present with DAO analytics supplier DeepDAO listing over 2,300 present DAOs. Most DAOs are ruled by token holders who're allowed to vote straight on the blockchain to help or reject proposed adjustments to a protocol.
Nonetheless, the token-based DAO governance has additionally been criticized by some trade specialists, together with Ethereum founder Vitalik Buterin, who acknowledged that this method might result in "vote shopping for" and "open assaults".
In latest months, some DAOs have tried to supply higher incentive mechanisms in hopes of stopping vote-buying assaults. For instance, MakerDAO handed a structure on March 27 to formalize governance processes and supply controls to stop focus of energy.