Uniswap DAO has taken a major step toward boosting governance participation, voting in favor of continuing its Treasury Delegation Program. The preliminary decision, which will now move on chain for final approval, could see up to 18 million UNI tokens (valued at approximately $113 million) allocated to 12 selected governance delegates.
The initiative aims to enhance active participation in Uniswap’s decision-making process, ensuring that trusted delegates have the necessary voting power to influence key protocol developments.
What is the Treasury Delegation Program?
The Uniswap Treasury Delegation Program is designed to empower active and engaged community members by delegating UNI tokens from the DAO’s treasury to trusted representatives. These delegates play a crucial role in shaping governance proposals, voting on protocol upgrades, and driving strategic initiatives within the Uniswap ecosystem.
Under the latest proposal, 18 million UNI tokens — roughly 3% of the total supply — will be distributed among 12 key governance delegates. This program extends an earlier governance initiative launched in 2022, which has helped strengthen community participation and decision-making efficiency.
Why Uniswap DAO is Expanding Delegation
1. Strengthening Governance Participation
Despite Uniswap being one of the largest decentralized exchanges, governance participation has remained relatively low. By delegating treasury-held UNI tokens to trusted and engaged community members, the DAO aims to increase voter turnout and ensure a more representative decision-making process.
2. Reducing Influence of Passive Holders
Many UNI token holders do not actively participate in governance decisions, leading to low voter engagement. Delegating treasury funds ensures that governance decisions are made by active contributors rather than large, passive token holders.
3. Supporting Experienced Delegates
The selected 12 delegates include protocol researchers, industry leaders, and governance-focused organizations that have a strong track record of participating in DeFi governance. By allocating tokens to these delegates, Uniswap ensures that important protocol decisions are guided by expertise and strategic vision.
What’s Next? Onchain Vote for Final Approval
While the DAO has preliminarily approved the delegation program, the decision must now be finalized through an on-chain vote. If passed, the 18 million UNI tokens will be distributed to the selected delegates, who will use their voting power to drive Uniswap’s governance forward.
This move highlights Uniswap DAO’s commitment to improving decentralized governance, ensuring that active and knowledgeable participants are at the forefront of key protocol decisions. As one of the largest DeFi protocols, Uniswap’s approach could serve as a model for other DAOs looking to enhance governance participation and efficiency.