The Solana-based Parrot Protocol team has submitted a proposal to the DAO to buy back PRT tokens using treasury funds.
According to the developers, the solution will ensure the continuous operation of the protocol, which will continue it without a governance token and decentralized governance. They also stated that many users “would like to trade their PRTs for their treasury value.”
The buyback price is assumed to be $0.0045, which is close to the current quotes of the asset.
According to CryptoRank, the protocol raised a total of about $89 million in 2021. For those who bought tokens during IDO And IEO investors’ investment losses are almost 90%.
According to users, the team owns 81% of the total 14.2 billion PRT. The commentators also pointed out that the developers have unlocked their 5.3 billion tokens ahead of schedule, which makes voting pointless.
The Spreek Twitter account noted that the protocol team is trying to divide $12 million among the token holders from the available funds worth $72 million, and distribute $60 million to itself.
Some users, accusing the team of financial fraud, said they would support the proposal. Some explained this decision as an opportunity to break with a failed project, others – the predetermined outcome of the vote. It will end on July 27, and at the time of writing, 99.5% of the votes (1.4 billion PRT) are in support of the token buyback.
Recall that ForkLog explained in educational cards what governance tokens are and how they differ from utility tokens.
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