Tally has been closely monitoring this potential governance vulnerability at ENS along with similar vulnerabilities across the DAO ecosystem. We are excited about UniStaker as a primitive, but note that it’s important to consider token liquidity in any potential governance staking design. UniStaker itself does not solve the problem @dinesh.eth highlights of tokens used in DeFi competing with participation in governance. We also share @nick.eth’s concern that, while UniStaker incentivises delegation, it does not incentivise effective governance participation.
We advocate for implementing a UniStaker-like solution that incorporates staked token liquidity and a mechanism to incentivise effective governance by only paying out rewards to stakers who delegate to an effective (votes onchain AND adds value to the governance process) delegate. We’ve been thinking about this at Tally and would love to contribute to such a solution.