SushiSwap Votes For A Restructuring Proposal

SushiSwap, a decentralized exchange (DEX) will undergo a significant legal reorganisation after its decentralised autonomous organization (DAO) accepted a proposal with overwhelming support.

The goal of the entity structure and architecture is to give Sushi maximum freedom to move in whichever direction the DAO or governance chooses while limiting risk.” 

The restructuring was recommended during SushiSwap’s governance conference on September 23. The rising monitoring of DAOs by authorities, such as the Commodity Futures Trading Commission (CFTC), contributed significantly to the suggestion. The CFTC filed suit against fellow DeFi platform Ooki DAO on September 22 for allegedly breaking U.S. investment regulations.

One hundred percent of community members voted in support of the legal reform. According to the plan, three new entities will be established, each of which would be responsible for distinct aspects of the SushiSwap DAO.

In the Cayman Islands, the DAO Foundation will be established as the first entity. This organization will have a governing committee to supervise the management of Sushi DAO. This will entail monitoring of all affairs pertaining to the treasurer, as well as grants, proposals, and voting.

The second organization will be established in Panama called the Panamanian Foundation. This body will supervise all aspects pertaining to smart contracts, staking, Kashi, etc., as well as the current Sushi protocol.

The third organisation will likewise be established in Panama as a subsidiary of the Panamanian Foundation. 

In the near future, another proposal will be presented that will choose service providers for the protocol. With the chosen service providers, all entities will engage in service agreements.

Also Read: SEC Has Declined To Decide On Two Motions Filed In Favour Of Ripple In The XRP Litigation

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