I was reading about the Defi Money Market (DMM) being shut down by the SEC yesterday. I can’t help but think this is the first of many. I’m comfortable with the SCRT token based on the history of the token, the former SEC involvement with Enigma, the current distribution, etc.
Creating an entirely new token however would mean navigating those waters again. The democratic nature of its distribution helps, but fundamentally this will create a new unit of value out of thin air which seems to be in the crosshairs now.
This got me thinking; If the GOV token is meant to ensure responsible governance of the exchange, why should it be traded around like a stock or speculative asset? The value of the coin should only be related to the value people put on proper governance of the exchange, not crypto speculation.
So here’s my proposal. Is there a way to burn any tokens that aren’t being used to vote on governance issues? I’m thinking not, and I’m sure that’s a controversial idea, but for the health of the network and AMM would this not produce optimal governance?