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RE: Pragmatic solution for the Steemit Tron takeover fiasco 🤔

in Steem Governance5 years ago

Witnesses promise to implement a power-down solution for the Exchanges (Binance, Huobi, Poloniex) to save the Exchanges from their unfortunate situation.

I am strongly against this measure. It would undermine the sanctity and impartiality of the blockchain. Giving special treatment to certain accounts for political reasons would set terrible precedent and do lasting damage to the integrity of the protocol.

I also don't see why the exchanges need this. They can initiate a power down and get 1/13 of their STEEM liquid in 1 week. Given that the run on the bank is probably only a small portion of their total deposits they should be able to cover all withdrawals within a couple weeks. In fact, they could almost have their first installment of liquid STEEM back had they done this immediately.

No special treatment on the protocol level!

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Yes, it feels a bit like bailung out corrupt banks 😂 something immutable blockchains wanted to prevent in the first place. Maybe compromise is to lower power down to 4 weeks for everybody, which has also been discussed before.

I'm not convinced we need to change the power down at all. In fact, this situation shows why a long power down delay is beneficial. It's a disincentive for trading-entities (like exchanges) to make short-term interference is governance.

The exchanges powered up under a certain protocol. They should have known that Justin, a newcomer to the ecosystem, cannot promise a protocol hardfork giving them special treatment or making a major economic chain. They powered up with this knowledge.

Definitely. Just posted some more thoughts in The best protocol level solution to the Tron takeover impasse: DO NOTHING. Would love your feedback!

Already thought a bit about that, but I think doing nothing would not really help because our witnesses are also in a deadlock with the imminent risk exchanges to overthrow them again in order to execute Justin's plan. For a win-win we need to negotiate and make a deal in my opinion. Alternative is a contentious HF and fork JS/Tron/Steemit out, that would not be a win-win and will set us back several years with a high risk of complete failure.

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