- VeChain’s VeBetterDAO has reached over 2 million token transfers just nine weeks after its mainnet launch.
- Sunny Lu proposed suspending Quadratic Voting due to Sybil’s attack concerns, with over 75% community support.
In a recent post on X, VeChain announced that VeBetterDAO has reached a significant milestone just nine weeks after its mainnet launch. The platform has witnessed more than 784,423 VOT3 token transfers and 1,495,190 B3TR token transfers, making more than 2 million transfers. The ecosystem has been adopted at a very fast rate, and people have been using it actively, which shows that this ecosystem is still growing and might grow even more.
It’s been 9 weeks since VeBetterDAO went live on mainnet! Since then, there have been over 784,423 transfers of VOT3 and over 1,495,190 transfers of B3TR. That’s over 2 million transactions contributing to a more sustainable future.
Join our collective effort to create a Better… pic.twitter.com/jV1MXOLozh
— VeChain (@vechainofficial) August 26, 2024
VeChain Addresses Quadratic Voting Vulnerabilities
This spike in activity could be attributed to Sunny Lu, the founder and CEO of VeChain, ‘s recent statement suggesting the halting of its Quadratic Voting (QV) and Quadratic Funding features. The decision comes after evaluating how Sybil’s attacks have affected the functioning of QV in VeBetterDAO.
In the QV system, more than one vote can be placed by a voter, and each subsequent vote costs more. This structure aims to capture the strength of voters’ preferences and come up with a better outcome than the current systems. However, one major vulnerability of QV that has raised concern, especially for DAOs that have adopted this system, is the Sybil attacks, which are instances where attackers create multiple identities in order to control votes.
The proposal also outlines the importance of responding to the vulnerabilities that have been exposed by these attacks. Sybil’s attacks endanger the validity of VeBetterDAO’s governance processes and may result in distorted decisions that are not reflective of the community’s wishes. VeChain is seeking to avoid further abuse by suspending QV and ensuring the DAO’s stability. The community has responded positively to the proposal, with over 75% of the 11.33 million $VOT3 tokens voting in favor of temporarily halting QV.
VeChain Price Shows Signs of Reversal
VeChain’s price has been on the rise again, rising by more than 10% within the past week. VET’s market capitalization is approximately $2.1 billion, while the trading volume per day is approximately $24 million, indicating a bullish trend.
On the technical front, VET has been creating a double bottom pattern on the weekly chart against the US dollar, with RSI showing a bullish divergence. The support has a price level of about $0. 022 can be considered as the base for this potential breakout. Also, the daily chart shows what can be interpreted as a head and shoulders (H&S) formation with bullish divergence on the RSI.
Let’s do this $Vet pic.twitter.com/iuDTw06YwW
— FLASH (@THEFLASHTRADING) August 24, 2024
Due to the recent market trends, analysts have suggested that if Bitcoin keeps on rising, VET is likely to experience further appreciation. The long-awaited altseason, fueled by the growth of Bitcoin dominance, may result in a large flow of funds from Bitcoin to other cryptocurrencies, including VeChain. VET’s price might revisit its previous all-time high as the 2024-2025 bull cycle nears its pinnacle, with the potential of a parabolic surge due to price discovery.
