A governance proposal put forward by a member of the Ethereum Name Service ($ENS) DAO, decentralized autonomous organization, suggests liquidating 10,000 ether ($ETH) to cover operating costs over the next two years.
$ENS is a decentralized domain name protocol that recorded over 2.8 million domain registrations in 2022. The draft proposal, which was submitted on Jan. 18, is now being discussed among the $ENS community.
The DAO's treasury currently holds 40,746 $ETH and 2.46 million $USDC. The sale of 10,000 $ETH would generate a minimum of $13 million in the $USDC stablecoin via a Gnosis auction.
Since the launch of $ENS in November 2021, the price of ether has slumped by 68.6% from $4,850 to $1,526.
"While $ENS generates protocol revenue in $ETH, having so much exposure to a single volatile asset places the DAO in a vulnerable position," the proposal stated.
The value of the $ENS token has seen a resurgence since the turn of the year, rising from $10.73 to $13.68.
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