Uniswap CEO Weighs In On Ethical Token Distribution
Uniswap founder and CEO Hayden Adams has expressed his views on effective token distribution. This comes just days after the crypto community raised concerns about the transparency and fairness of token distribution on EigenLayer.
In XPost, Adams emphasized that he was discussing tokens, not points. Then he criticized the practice of mocking and creating ambiguity during the token distribution to increase the participation parameters.
Adams primarily cautioned against public speculation when the group is uncertain about future developments. If he has information about token distribution but doesn't intend to reveal the details, he advises not to mock.
Users who felt left out of the recently announced EigenLayer spoke out at Monday's announcement of the reboot protocol — its non-transferable token structure, aggressive geo-restrictions and seemingly short snapshot times.
A Uniswap executive vehemently rejects low-float signals, considering them tricky and his biggest pet peeve. He believes that projects can effectively distribute tokens without relying on exchanges or market makers. The best approach is to openly distribute tokens, he says, with true value discovery on decentralized exchanges (DEX).
Adams criticized the practice of creating an excessively high supply of tokens to exploit the biases of a segment of the population, stating that such an approach was unnecessary. Additionally, Adams advises token distributors not to be too conservative, encouraging large-stake tokens to be offered for distribution.
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Hayden Adams warns of insufficient token distribution, especially if the issuer doesn't believe the community deserves it. They also emphasized the importance of not disclosing inflation during distribution or before distribution. Any attempt to do so, by influencers or marketing firms, casts doubt on the project.
According to Adams, this approach shows that the giver prioritizes quick wealth over building real value. Token issuers and distributors are encouraged to continue with the direct distribution process, echoing concerns raised by recent industry carpet dragging.
Finally, the Uniswap executive urged token issuers to be thoughtful and transparent about their projects. He stressed the importance of releasing a token that you can be proud of and stand behind to avoid ridicule in the crypto community.
EigenLayer, Ethereum's renegotiation protocol, distributed an additional 28 million EIGEN tokens to more than 280,000 wallets after its first airdrop, due to user limitations of the program.
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