- The official governance token for VeChain’s VeBetterDAO ecosystem, VOT3, has finally been unveiled weeks after the mainnet launch.
- VOT3 is expected to be backed by the B3TR token to encourage community participation in voting and funding decisions.
In February, VeChain (VET) launched its VeBetterDAO to lead the cross-industry sustainability dApp ecosystem while utilizing B3TR as an incentive token and VOT3 as a governance token. On June 28, the much-anticipated transition to the mainnet was executed as we extensively reported. After almost six weeks, VeChain has officially unveiled the VOT3 token.
According to the announcement on X, VOT3 would represent the voice and stake of individuals in the Decentralized Finance (DeFi) industry, empowering holders to effectively participate in the future of sustainable projects and initiatives. Specifically, holders of VOT3 would be able to vote on key proposals, influence the funding of projects, and be involved in major transformations within both the VeBetterDAO and the VeChain community.
This announcement was made by VeStation, a pioneering Decentralized Finance (DeFi) platform integrating VeBetterDAO for sustainability on VeChain.
An excerpt of the announcement reads:
At VeStation, we’re committed to leveraging tools like VOT3 to enhance community involvement and support the growth of sustainable finance. Join us in making impactful decisions and driving forward innovative solutions with VeStation and VeBetterDAO…VOT3 enables a collaborative approach to decision-making. It’s not just about investing; it’s about participating in the evolution of a more sustainable and transparent financial ecosystem.
Relevance of the VOT3 and the B3TR Tokens to the VeBetterDAO Ecosystem
Drawing insights from our earlier publications on the mainnet launch, the transition introduced new features that improve governance and encourage participation. The VeBetterDAO upgrade also came with the full-scale emission of B3TR and the beginning of its 12-year tokenomics structure. For a fair voting environment and the discouragement of large stakeholders’ domination, quadratic funding and voting mechanisms were introduced to democratize the voting process.
In addition to this, the ability of users to participate in Treasury Proposals via the VeBetterDAO governance dApp was unlocked. To be able to initiate a proposal and bring it up for voting, users were required to obtain an endorsement of at least 2% of the B3TR tokens’ circulating supply.
Once the proposal reaches this threshold, the proposal will be posted to a dedicated forum on VeBetterDAO. Individuals who vote on these proposals will be incentivised through additional rewards. Details on how to initiate the governance proposals for VeBetterDAO will be released closer to the mainnet launch.
In another post, VeChain’s VeStation described VeBetterDAO as a community-centric platform that rewards eco-friendly actions with the B3TR token. This cutting-edge project allows users to earn B3TR tokens for engaging in sustainable actions. In addition to participating in community governance decisions, users can support and grow new Decentralized Applications (DApps) and contribute to real-world eco-friendly initiatives.
With the launch of the VeBetterDAO, comes the necessary introduction of two new tokens to power the ecosystem. To accelerate the pace of adoption for VeChain through user-friendly dApps, VeBetterDAO is designed to directly complement the existing tokenomic structure by increasing transaction demand and usage.
At press time, the native token of VeChain, VET, was trading at $0.0234 after declining by 4.8% in the seven days.
