Monday saw the death of the first cross-chain governance proposal on decentralized finance (or DeFi), borrowing and lending platform Aave. DeFi Llama approximates that Aave holds around $12 billion in total value.
The Aave cross-chain governance Bridge contract got the data and translated it. It then queued the action pending a finalization timelock. The advancement team wrote:
Monday saw the passing of the first cross-chain governance proposal on decentralized financing (or DeFi), loaning and loaning platform Aave. DeFi Llama estimates that Aave holds approximately $12 billion in overall worth. According to its developers, a proposition on Aave was sent out to the Polygon MATIC FxPortal. The Aave cross-chain governance Bridge agreement received the information and translated it. Aave permits users to submit Aave Improvement Protocols (or AIPs) to target various features of the DeFi platform.
Vitalik Buterin, the co-founder of Ethereum, famously snubbed cross-chain applications. He cited irreparable breaches if a 51% attack were to occur on one network that is included in cross-chain transactions. The Ethereum co-founder likewise warned that scaling cross-chain applications might lead to system-wide vulnerabilities.
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@aavegotchis proposition is a significant step forward in multi-chain governance. New properties include GHST and DPI, crv and bal. A thread about this proposition:
— Aave (@AaveAave), January 31, 2022
Aave enables users to submit Aave Improvement Protocols (or AIPs) to target various features of the DeFi platform. Gauntlet Network submitted an example AIP last October to disable loaning functions for xSUSHI tokens and DeFi Pulse Index tokens. Gauntlet Network included an AIP to disable an automated market maker liquidity service provider token and the loaning function for xSUSHI tokens.