In a recent discussion on Reflexer Finance Discord, Ethereum founder Vitalik Buterin drew attention. The inventor of the leading altcoin ETH talked about the stablecoin named RAI and signaled that he was optimistic. Here are the details…
RAI statement from altcoin inventor
Vitalik Buterin talked about RAI, the leading stablecoin on the Reflexer platform. He also shared his views on the coin’s potential role as an advocate for minority liquid staking derivatives (LSDs). Buterin’s statements shed light on how RAI can reshape the landscape of the LSD ecosystem and reduce the dominance of Lido, which currently controls over 30% of LSDs in the crypto market. Buterin stressed that RAI’s path to activism does not necessarily require radical steps.
his thoughts are pretty aligned with what we (reflexer dao) have been thinking
in order to support minority LSDs
we need more governance
for more governance
we need to hit ‘reset’ on the system via global settlement
triggering global settlement is scary
but exciting pic.twitter.com/bZkCmrXcac
— reza.eth 🌥️ (@rezajafery) September 3, 2023
Instead, he stated that the RAI community could adopt a more activist governance to support staked ETH. He also suggested that he may deliberately prefer non-dominant forms of staked ETH. He believes that this approach could bring about significant changes in the LSD industry. It is noteworthy that Buterin’s current perspective differs from his previous views on stablecoin ecosystems. He predicts that RAI will occupy a minimalist niche and MakerDAO will continue to be the leader in the primary category. Buterin also predicts that if MakerDAO strays from its course, RAI could naturally shift to a more central role.
Buterin believes RAI will solve LSD problems
A member of the RAI team, known on Twitter as Reza.eth, welcomed Buterin’s ideas and confirmed that they were aligned with the project’s goals. The team member stressed the need for more governance to support minority LSDs, noting that a global agreement would be crucial to achieving this goal. Interestingly, Buterin’s comments coincided with an important development for RAI. A few days ago, the DAO submitted a proposal to Tally, a platform that powers on-chain protocols, treasuries and public goods.
The proposal sought funding for the creation of a global layout user interface (UI). Reza believes that creating a global settlement UI represents the first step towards facilitating a fair and seamless global settlement process. It underlines the commitment of the project to be a catalyst for change in the cryptocurrency environment by advocating the interests of minority LSDs. In summary, Ethereum inventor Vitalik Buterin’s endorsement of RAI as a potential advocate for LSD marks a significant development in the cryptocurrency space. As the RAI community embraces activist governance and pursues a global settlement UI, there can be a more inclusive and equitable LSD ecosystem in the future that challenges Lido’s dominance and paves the way for change.
