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web3 with a16z crypto

Governance Attack!?

web3 with a16z crypto

Andreessen Horowitz

Gaming, Blockchain, Web 3, Blockchains, Open Source, Business, Decentralization, Visual Arts, Computer Science, Ownership, Art, Entrepreneurship, Entertainment, Cypherpunk, Web 3.0, Music, Internet, Cryptography, Crypto, Computing, Web3, Innovation, Distributed Computing, Culture, Public Goods, Creator Economy, Arts, Technology

4.466 Ratings

🗓️ 15 August 2024

⏱️ 62 minutes

🧾️ Download transcript

Summary

We breakdown the recent Compound “governance attack”, including discussing whether “governance attack” is the right label for it or not; how it’s different from other attacks; and the broader trend of online vs offline governance attacks in general. We also discuss how to avoid, prevent, and respond to such governance attacks -- highlighting key differences between on-chain/ token-based/ digital voting systems vs. physical-world political systems around the world. What happens when you have activity from actors that the majority doesn’t necessarily agree with? How do you distinguish between good-faith and bad-faith activity, especially on-chain? And other such tricky questions?

Transcript

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0:14.4

Hi everyone. Welcome to this week's episode of Web 3 with A6 and C. This is Sono and today we're covering a recent so-called governance attack with compound as well as a broader topic of Dow governance voting and treasury attacks how to avoid them, how to prevent them, even

0:18.6

how to respond to them, and much more. By the way, Dow stands for decentralized autonomous organizations and their importance since

0:25.3

decentralization is a key benefit of crypto and blockchains.

0:28.9

Check out our show notes for links and other resources mentioned in this episode.

0:32.7

As a reminder, none of the following should be taken as business,

0:35.1

investment, legal, or tax advice.

0:36.8

Please see A6 and Z.com slash disclosures for more important information,

0:40.4

including a link to a list of our investments. Anyway, what happens when, in a system of governance,

0:45.0

and this is also very common in political systems around the world,

0:48.0

when you have activity from actors that the majority doesn't necessarily agree with.

0:53.0

How do you distinguish between good faith and bad faith voting activity, especially on chain,

0:58.0

and other such tricky questions?

1:00.0

To discuss all this, our expert guests are A6 and C crypto's chief technology officer Eddie Lassarin,

1:06.0

our head of network ops, Ross Schule, and A6 and C crypto research collaborator and Stanford,

1:10.9

Professor of Political Science, Andrew Hall or Andy.

1:13.9

We spend the first few minutes quickly recapping the exact sequence of recent compound governance

1:18.6

attack event a few weeks ago, including discussing whether governance attack is a right label for it or not,

1:24.0

how it's different from other attacks and the broader trend of online

1:28.0

offline governance attacks in general,

1:30.0

before then going into specific solutions,

1:32.0

as well as also digging into behind the scenes

1:34.4

Tik-Tock on what happened, how people figured out things,

...

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