The Aragon Association Dissolves Itself, Allowing ANT Holders to Redeem for Ethereum
The Aragon Association, the organization behind the Aragon Project ($ANT), has made a significant decision to dissolve itself by deploying most of its treasury. This move will allow ANT token holders to redeem their tokens for Ethereum ($ETH) and is worth a total of $165.5 million.
According to a recent announcement, ANT token holders will be able to exchange their ANT for Ethereum at a rate of 0.0025376 ETH per ANT. This is made possible as the Aragon Association is deploying 86,343 ETH to a redemption contract, which is worth over $165 million.
The association stated that it found the best way to redeem all ANT holders by choosing a lawful and tax-friendly route that would safeguard and sustain the project. Due to legal limitations and regulatory risks caused by token speculation and market manipulation, this choice could not be subject to a public vote.
Aragon’s Journey and Challenges
Aragon was launched in 2016 with the goal of building transparent, borderless, onchain organizations and pioneered decentralized autonomous organizations (DAOs) with over $1 billion in assets under management.
However, tensions within the project led to challenges. After raising 275,000 ETH (around $25m) with the ANT sale in 2017, it was clear that there were issues with the distribution of ANT tokens. The association noted that “neither the AA nor ANT are currently suited to govern the project,” leading to its dissolution.
Commitment to Obligations and Regulatory Issues
As part of its dissolution process, the organization is also committing $1 million to cover its outstanding obligations and handle regulatory issues.
Hot Take: Aragon Association Dissolves Itself After Governance Struggles
The decision by the Aragon Association marks an important milestone in its journey. By allowing ANT holders to redeem their tokens for Ethereum, it aims to address governance struggles and ensure the sustainability of the project. The commitment to cover outstanding obligations and regulatory issues demonstrates responsible dissolution practices.
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