ENS Plans Large-Scale Expansion of Institutional Activity via Foundation Launch
The Ethereum Name Service ($ENS) DAO token holders ratified the "Next Era of $ENS DAO" proposal, leading to the launch of the $ENS Foundation on-chain as a legal operational entity with a paid executive director, staff, and a five-member board, according to an August 11 blog post by $ENS Labs.
This new foundation addresses limitations of the DAO structure, enabling activities like signing standardization agreements, hiring full-time staff, pursuing trademark infringements, and interacting with regulators and courts. $ENS Labs will now focus on technical development, including the ENSv2 upgrade, while the foundation handles off-chain operations, engages with bodies like ICANN and W3C, and pursues a .eth top-level domain.
The $ENS DAO retains 54.6% of the total token supply and control over the protocol. The foundation is funded by .eth domain registration revenues, with its transactions subject to a 9-day security council veto period. It is a separate legal entity from $ENS Labs.
The inaugural board includes Alexander Urbelis (Executive Director, former $ENS Labs CISO), founder Nick Johnson ($ENS Labs CEO), and three independent directors. Board terms last two years.
This update follows governance tensions earlier in the year, including a June proposal for a temporary security council restructure. CEO Nick Johnson's significant token holdings reportedly influenced a vote against extending prior security council agreements, leading to a new eight-member council.
Currently, the $ENS token is trading around $4.12, down over 95% from its November 2021 peak.
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