Illuvium DAO prevents opening of NFT packs by Su Zhu, the founder of 3AC

The Illuvium community was worried about the potential risks of being connected with Zhu, who has been accused of engaging in unethical behaviour

By Shashank Bhardwaj

Published: Mar 1, 2023 05:53:48 PM IST

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The Illuvium community recently exhibited the potential of decentralised autonomous organisations (DAOs) when they prevented a planned event where the CEO of Illuvium, Kieran Warwick, and the founder of Three Arrows Capital (3AC), Su Zhu, were supposed to open a pack of non-fungible tokens (NFTs).

Kieran Warwick and Su Zhu were supposed to participate in an event called "Influencer Illuvitars D1sk Battle," where well-known figures in the crypto industry compete by opening NFT packs.

However, the Illuvium community became worried about the potential risks of being connected with Zhu, who has been accused of engaging in unethical behaviour, and therefore expressed their concerns about the scheduled event.

The CEO of Illuvium proposed that the decision about the scheduled event be left to a decentralised council. After the council members voted, they all agreed to cancel the event to prevent any connection with Su Zhu, as they were concerned about the accusations against him.

One of Illuvium's council members, Deraji, stated that the project aims to be at the forefront of decentralised governance and Web3 gaming. To achieve this goal, they need to stay clear of any association with unethical individuals or events that could hinder widespread adoption.

In this instance, the community voiced their concerns, and the council used their governance model to prevent Illuvium's reputation from being damaged. Deraji emphasised that cancelling the event was necessary to prevent Illuvium's most prominent figure from sharing a platform with Su Zhu.

The Illuvium CEO acknowledged the concerns raised by the community and accepted their decision to cancel the event involving Su Zhu. He expressed his confidence in the community's decision-making and stated that he would always respect the council's verdict.

Additionally, Warwick noted that the DAO has the power to veto any decisions made by the project, and while they had attempted to address potential issues beforehand, some situations may require prompt action. He also mentioned that cancelling the event was a unique circumstance.

The DAO's choice to avoid any affiliation with Three Arrows Capital (3AC) could have protected them from any potential negative outcomes. In early February, a crypto exchange project associated with 3AC faced backlash from members of the crypto community, with many individuals expressing anger and vowing to never use the exchange.

Furthermore, members of the Illuvium community have frequently expressed their disapproval of Su Zhu, citing his involvement in the bankruptcy of Three Arrows Capital (3AC). On January 3, Zhu made allegations against the Digital Currency Group, accusing them of collaborating with FTX to target Terra. However, the community urged Zhu to concentrate on his own wrongdoings.

Shashank is the founder of yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash