The newly funded DeFi Education Fund (DEF) is caught up in a dispute, they dumped half of their UNI donations. DEF dumped 500K UNI for ~10.2 M into USDC with the help of Genesis.
In May, a student organization, Harvard Law Blockchain and Fintech Initiative raised a governance proposal to create an education fund with 1M to 1.5M. UNI to support decentralized finance efforts and lobby efforts for law and regulations on DeFi.
The proposal was successfully voted for earlier this month, and funds were transferred to the DeFi education fund.
However, Crypto researcher and journalist Igor Igamberdiev uncovered that one of the voting delegates. Larry Sukernik sold a significant amount of UNI before the DeFi Education Fund liquidated 500K UNI tokens -raising insider trading questions.
Larry swapped $50K worth of UNI tokens on Uniswap V3 five hours before the fund liquidated its $10 million UNI.
Larry responds with a tweet
He defended himself despite the on-chain transactions, claiming they “do not tell the full story.
Voting Process
Aiming for the best DeFi community, the voting process has come under huge scrutiny. Various top crypto heads questioned the “decentralized voting” that took place last month.
Chris Blec, one of the most critical voices in DeFi, opposed the voting on principle to “disgusting D.C. lobbying”. It shows Uniswap is not decentralized.
Also Read: Uniswap Foundation Unveils DeFi Educational Platform
First, Blec complained that the voting tokens are centralized to a few of the top influencers of Uniswap. Over 21.2% of the total UNI tokens are controlled by the team. Further, 18% of the token by early VC investors such as Andreessen Horowitz, also known as A16Z.
