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BalancerBalancerby0x107174D70b33523E83711EA4C3F4229cdB8A7Cb10x1071…7Cb1

Proposal to Remove DZAR from Whitelist

Voting ended over 5 years agoSucceeded

This proposal is also on Balancer's forum.

After some explanations from what looked like DZAR team, my conclusion about the discussion we had in bal-detectives channel on Discord is:

"DZAR tokens are backed by nothing. Buyers have no claims to Digital Rand (Pty) Ltd's assets which own the deposits that you make to get DZAR. The DZAR peg to ZAR (fiat currency) is kept at voluntary efforts of Digital Rand (Pty) Ltd. and the pegging can be terminated at any point in time at discretion of Digital Rand (Pty) Ltd."

DZAR can print unlimited amounts of tokens at their sole discretion.

DZAR gets pooled in many 8 asset pools. These pools are as safe as the weakest currency, DZAR going to 0 will drain these pools to 0. There are millions in these pools. If DZAR prints unlimited amount of tokens, it will drain all these pools, generate large losses and bad publicity.

I think that encouraging DZAR liquidity on Balancer creates a big risk for potential liquidity providers joining these pools.

Off-Chain Vote

Approve
147.91K 99.9%
Reject
77.46 0.1%
Download mobile app to vote

Timeline

Aug 22, 2020Proposal created
Aug 22, 2020Proposal vote started
Aug 23, 2020Proposal vote ended
Jan 23, 2024Proposal updated