ENS proposes 5 million-token delegation plan to break founder Johnson’s vote grip

Source Cryptopolitan

The Ethereum Name Service DAO is preparing to give away voting power over 5 million of its own governance tokens in a move designed to break a single delegate’s ability to decide DAO outcomes.

ENS co-founder Alex Van de Sande, posting as avsa.eth, uploaded the draft proposal to the ENS governance forum on July 6, calling for the DAO to delegate roughly $21 million worth of ENS tokens to vetted stakeholders across five categories rather than continuing to let them sit unused.

The one-delegate problem the plan is written to fix

On June 30, ENS founder Nick Johnson cast about 3.26 million ENS tokens against the on-chain renewal of the DAO’s Security Council, the emergency multisig that can cancel malicious proposals before they execute. The final tally sat near 82% against, per The Block.

Johnson’s stake represents only about 3% of the total 100 million ENS supply but roughly 50% of active delegated voting power, a gap that reflects how few tokenholders participate in ENS governance.

As Cryptopolitan earlier reported, Rotki founder Lefteris Karapetsas said Johnson had “delegated ~50% of the voting supply to himself, essentially becoming the DAO.” The Security Council’s veto authority lapses on July 24, 2026, leaving ENS a narrow window to seat a replacement council before it loses its primary emergency backstop against malicious proposals.

How the delegation plan actually works

The proposal moves 5 million tokens from a treasury holding more than 50 million ENS tokens into a delegation contract. The tokens themselves stay owned by the DAO.

Only the voting rights transfer. Recipients would be split into five categories with one million tokens each, according to the draft on the ENS forum: everyday users, app and exchange integrations, core developers, legacy domain and DNS providers, and DAO governance representatives.

The top ten candidates in each category would receive an equal share, selected by category-specific metrics. Delegates would have no ability to sell the tokens or claim their value. If they fail to vote for six months, their delegation ends and the tokens redistribute.

The verdict from one of DAO’s original architects

The proposal arrives as ENS also wrestles with a parallel plan from ENS Labs COO Katherine Wu to shift operational control and treasury management to the ENS Foundation. Brantly Millegan, an ENS constitution author who resigned from ENS Labs on July 4, called Wu’s plan “the equivalent of treasury capture by ENS Labs.” A sharper voice came from outside the ENS community entirely.

Christoph Jentzsch, who wrote code for the original 2016 “The DAO” project and now runs Tokenize.it, posted on X on July 1 that ENS should dissolve its DAO entirely and burn the key on the ENSv2 Universal Router.

Jentzsch’s status as a founder-generation DAO builder makes his call for dissolution the sharpest external verdict yet on where token-weighted governance ends up when one delegate holds decisive power.

Whichever route ENS picks now, other DAOs facing the same concentration problem will study the answer.

The smartest crypto minds already read our newsletter. Want in? Join them.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Gold Price Analysis (XAU/USD): Gold Falls to 6-Month Low as Inflation Fuels Rate Hike Bets, A Buying Opportunity or a Falling Knife? Gold hit a 6-month low on Fed rate hike bets. However, strong central bank buying and technical indicators suggest potential tactical bounces and long-term accumulation windows.
Author  Mitrade Team
6 Month 12 Day Fri
Gold hit a 6-month low on Fed rate hike bets. However, strong central bank buying and technical indicators suggest potential tactical bounces and long-term accumulation windows.
placeholder
XRP Price Prediction for July 2026: Can Buyers Finally Break the Downtrend?XRP (XRP) price trades near $1.05, caught between a year-long downtrend and a sudden burst of buying.July has historically rewarded XRP holders. This year the month arrives with on-chain accumulation
Author  Beincrypto
6 Month 30 Day Tue
XRP (XRP) price trades near $1.05, caught between a year-long downtrend and a sudden burst of buying.July has historically rewarded XRP holders. This year the month arrives with on-chain accumulation
placeholder
Smart Money is Leaving Nvidia for This AI Chip StockNvidia stock price keeps sliding, yet the usual dip buyers are missing. Institutional money flow on the stock is the most negative of any major chip name, which means big investors are stepping back i
Author  Beincrypto
6 Month 30 Day Tue
Nvidia stock price keeps sliding, yet the usual dip buyers are missing. Institutional money flow on the stock is the most negative of any major chip name, which means big investors are stepping back i
placeholder
What to Expect From Ethereum (ETH) in July 2026Ethereum (ETH) enters July 2026 trading near $1,570, close to multi-month lows, after recording its first run of three consecutive red quarterly candles in its history.On-chain data and price charts n
Author  Beincrypto
7 Month 01 Day Wed
Ethereum (ETH) enters July 2026 trading near $1,570, close to multi-month lows, after recording its first run of three consecutive red quarterly candles in its history.On-chain data and price charts n
placeholder
NVIDIA Price Forecast: Michael Burry Shorts NVDA, but Analysts See $299On July 1, NVIDIA (NASDAQ: NVDA) sits at $198.34, failing to break above the former support level that is now serving as resistance between $198 and $205 on the 2H chart's downward blue c
Author  TradingKey
7 Month 02 Day Thu
On July 1, NVIDIA (NASDAQ: NVDA) sits at $198.34, failing to break above the former support level that is now serving as resistance between $198 and $205 on the 2H chart's downward blue c
goTop
quote