In a notable update from the crypto world, VeChain has announced a remarkable achievement for its VeBetterDAO platform. Just nine weeks post-mainnet launch, VeBetterDAO has surpassed a significant milestone, recording over 2 million token transfers. The platform has seen 784,423 transfers of VOT3 tokens and 1,495,190 transfers of B3TR tokens, underscoring the rapid adoption and active use of its ecosystem.
This surge in activity highlights the growing traction of VeBetterDAO, reflecting an increasingly engaged user base. The swift uptake of the platform hints at its potential for even greater expansion in the future.
Impact Of Governance Changes
One of the pivotal factors contributing to this growth might be VeChain’s recent strategic shift. Sunny Lu, the founder and CEO of VeChain, recently announced the suspension of the Quadratic Voting (QV) and Quadratic Funding features within VeBetterDAO. This decision follows concerns over Sybil attacks—manipulative strategies where individuals create multiple fake identities to sway votes. Such attacks have posed a threat to the integrity of the QV system, prompting VeChain to take preemptive measures to preserve the stability of its DAO.
The QV system, designed to enhance voting accuracy by increasing the cost of subsequent votes, has been praised for its potential to refine decision-making processes. However, its susceptibility to Sybil attacks has raised alarms, leading to the temporary halt of QV features to prevent governance distortions and ensure that decisions remain reflective of the community’s true preferences.
The VeChain community has shown strong support for this proposal, with over 75% of the 11.33 million $VOT3 tokens cast in favor of pausing QV, indicating a consensus on the need for stability and security within the DAO.
VeChain’s Price Dynamics
In parallel with these developments, VeChain’s native token, VET, has been experiencing a positive price trend. Over the past week, VET’s price has surged by more than 10%, with its market capitalization reaching approximately $2.1 billion and daily trading volumes around $24 million. This bullish momentum is reinforced by technical indicators.
On the weekly chart, VET is forming a double bottom pattern against the US dollar, complemented by a bullish divergence in the Relative Strength Index (RSI). Support is noted around the $0.022 level, which could act as a base for a potential breakout. Additionally, the daily chart reveals a head and shoulders (H&S) formation, also showing bullish divergence on the RSI.
Also Read: VeChain’s (VET) Bullish Breakout Imminent As Technical Indicators Point to 20% Surge
Analysts suggest that if Bitcoin maintains its upward trajectory, VET could see further appreciation. As the anticipated altseason approaches, driven by Bitcoin’s dominance, a shift of funds to other cryptocurrencies, including VeChain, could drive VET towards its previous all-time high. With the 2024-2025 bull cycle on the horizon, VeChain might experience a significant surge, potentially setting new records as the market undergoes price discovery.
VeChain’s recent milestones and market movements underscore its growing influence in the crypto space, with promising signs of both ecosystem growth and price appreciation.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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