The Stellar project and ecosystem are renowned for their scale and utility. Numerous derivative crypto projects are currently underway in the market with the goal of properly harnessing the true power of the Stellar ecosystem. Lumenswap, a ground-breaking decentralised exchange, is another one of the Stellar network-based initiatives that offers swap and trade capabilities via a user-friendly interface.
The open-source client for the Stellar network recently celebrated a significant milestone with the release of their first product, DAO. This product is based on the premise that no decentralised project should be centralised in its governance. DAO is an acronym for Decentralized Autonomous Organization, which enables blockchain members to control their code jointly.
Consider DAO as a space where the entire community may come together to decide on a project’s destiny. All you need to do is own the governance token to have a meaningful say in how the project makes decisions. The reason why the Stellar network is one of the most suitable blockchain projects for this type of goods is because:
Transaction fees are minimal.
- Economical for the community
- The greatest user experience in the industry
- Lumenswap has joined the list of ambitious projects on the Stellar ecosystem following the announcement of its own DAO platform.
- The Lumenswap DAO Client in Detail
The Lumenswap DAO client is based on the Stellar network to maximise the efficiency of all of its regular functionalities. As a result, this DAO platform becomes a hub for community governance for other Stellar-based crypto initiatives.
The decision to open the DAO platform was made in order to prevent being sidelined by any movement that the crypto community cares about. A well-designed DAO platform enables project owners to delegate responsibility to community members and empower them to make critical decisions about the project’s future. Before selecting and communicating with the Lumenswap DAO client, the following information is critical:
All projects wishing to join the DAO client must pay LSP, the Lumenswap ecosystem’s incentive and governance token.
Lumenswap’s DAO services will require a total of 50,000 LSP tokens. The full charge would be burned to improve the worth of the individual through depreciation.
Eligible projects will be chosen based on a set of quality criteria developed by the Lumenswap team in order to accommodate only actual communities.
The DAO site will have a board part where users can check which crypto projects have successfully linked to the Lumenswap DAO client and created governance.
The governance information area would include information about the governance structure, the website, specific projects, and the total number of active community members.
On the Lumenswap DAO client, there are proposals that demonstrate relevant governance, and they can be classified according to their various statuses.
To submit a proposal, projects must secure a certain amount of the native asset designated by the project team for a period of five days. On the Lumenswap client, the time limit for creating proposals is fixed.
My actions is a helpful element of the Lumenswap client that allows users to keep track of their governance efforts across several projects.
Lumenswap has updated its community as a result of this, allowing it to incorporate additional Stellar-based projects into its DAO client. The debut of this product could easily result in future extension of the Stellar-based swap project.
Lumenswap was founded less than eight months ago and has since proved itself as a viable Stellar knockoff. Lumenswap’s governance guidelines have rendered it totally permissionless by devolving control to its community. According to a previously released statement, listing projects on the Lumenswap DAO client will now be done only via DAO. Additionally, projects slated for auctions would be subject to DAO formalities. Now, projects can more easily interface with Lumenswap.
Due to the increased importance placed on community-led governance in recent years, numerous projects are seeking the assistance that the Lumenswap DAO platform can provide. Lumenswap has paved the way for real decentralisation by releasing the DAO platform.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
