Sunday, May 26, 2024

Cosmos community vote to seize JUNO tokens of one of its users.

The online blockchain community of Cosmos has voted to seize the JUNO tokens of one of its users. Analysts believe this move will have lasting ramifications for decentralized governance.

Takumi Asano, the 24-year-old member, has been accused of manipulating an airdrop to receive more JUNO tokens than he was entitled to. He claimed the tokens belonged to a co-investor group. As such, 72% of the community voted to confiscate the tokens. This is a landmark moment in the realm of on-chain governance. Moreover, this incident will be used as an example showing that a community can change a user’s balance. Proposal 16 was drafted in mid-March to gauge user sentiment regarding Asano’s situation. But it attracted public opposition with many saying that it would damage the system’s immutability or trust.

The proposal stated that Juno’s genesis-staked airdrop was brought about by a single entity. It said whether Asano intentionally looked to game the airdrop was considered irrelevant. In defense, Asano argued that the developers were manipulating the price of the JUNO. As such, it could not be trusted to continue working in the community. He claimed to have been ignored. Asano highlighted that the vote to adjust his token balance occurred in his disfavor, prompting a threat of legal action. He doesn’t intend legal action if the lock is based on the assumption that the asset will be returned to his clients. However, if its based on the premise of a burn (permanent lock), Asano will take legal action against each validator.

Sources revealed that Asano’s group of investors each staked ATOM tokens. As a result, it exceeded the maximum quota of 50,000 JUNO. The limit was implemented to prevent any user from having too much voting power. The accused’s group of investors accumulated 10% of the supply of JUNO across 50 wallets via the airdrop – Asano consolidated into one.

Juno is a blockchain in the Cosmos ecosystem. It provides a sandbox environment for implementing interoperable smart contracts. Cosmos says it eliminates the bottlenecks of first-generation smart contracts, like limited scalability and high implementation and execution costs. The creators awarded $JUNO tokens on its launch to those who staked ATOM tokens on the Cosmos Hub blockchain. The community pointed out that $JUNO’s tokenomics stimulates and promotes a self-sustaining economy of developers, validators, and delegators.

ATOM tokens are governance tokens responsible for community engagement development decisions in Cosmos.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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