Sweat Economy, the leading web3 platform that tokenizes physical activity, recently conducted a groundbreaking governance proposal vote, granting its community members the power to shape the project’s future. The vote centered around the recovery of idle $SWEAT tokens held in inactive user accounts, which accounts for approximately 2.5 billion tokens, or roughly 13% of the total supply.
Traditionally, such tokens would be irretrievable under normal circumstances. However, due to the unique lockup contract holding 90% of the tokens at the time of token generation event (TGE), Sweat Economy had the opportunity to repurpose these “abandoned” tokens.
Sweat Economy proposal unfolded in two steps
The proposal unfolded in two steps, with the first step being the vote on whether to reclaim the 2 billion idle SWEAT tokens and transfer them back to the Sweat Treasury for potential future distribution or other designated purposes. The community showed tremendous engagement and participation during this step, with the vote receiving overwhelming support.
Community feedback prior to the vote expressed appreciation for the transparency surrounding the proposal, highlighting the anticipation of the potential use of over 2 billion $SWEAT tokens. The final results were released after the voting period, showing that 83% of the 355,506 votes cast were in favor of reclaiming the idle tokens locked in inactive user accounts.
To honor the community’s decision, Sweat Economy will transfer approximately 2.4 billion SWEAT tokens from the TGE lockup contract to the governance treasury. These tokens will be held in the governance treasury and will not be utilized until the completion of the second part of the proposal.
Looking ahead, the next vote will propose allocating the 2 billion tokens to the Sweat Economy’s US launch scheduled for September 2023. Additional details will be provided in due course.
CEO comments on the participation
Reflecting on the remarkable participation in the governance vote, Oleg Fomenko, Co-founder of Sweat Economy, stated,
With more than 350,000 members taking part in the governance vote, Sweat Economy has become not only the biggest on-ramp in web3 history but is also evolving into the largest decentralized autonomous organization (DAO) with the mission to tokenize YOUR physical activity and make it valuable through the $SWEAT token.
Sweat Economy’s governance principle revolves around one token holder having one vote, enabling everyone who owns SWEAT tokens to influence the project’s direction.
During the vote’s execution, the technical team implemented updates to the lockup contracts, resulting in significant traffic on the NEAR blockchain. Sweat Economy worked closely with the NEAR team to ensure stability on the mainnet.
The community’s strong engagement during the vote demonstrated an approximate 130% increase in participation compared to previous governance votes. Sweat Economy attributed this surge to the significance of the SWEAT tokens involved, proactive socialization of the proposal through Discord AMA sessions, and improved user experience within the app.
For more information about Sweat Economy and its governance initiatives, please visit here.
About Sweat Economy
Sweat Economy is a leading web3 platform that aims to tokenize physical activity, making it valuable through the $SWEAT token. By incentivizing individuals to participate in various fitness activities, Sweat Economy seeks to revolutionize the fitness industry and promote a healthier lifestyle.
