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What Are the Limitations of On-Chain Voting for Complex Financial Decisions?

On-chain voting can be slow and expensive due to network transaction fees and block times, which is unsuitable for time-sensitive financial decisions. Furthermore, the complexity of financial proposals often requires deep technical expertise, which the average token holder may lack.

This can lead to uninformed votes or governance fatigue, hindering effective risk management.

What Are the Trade-Offs between On-Chain and Off-Chain Governance?
How Do Token Standards Evolve?
What Is the Technical Difference between a ‘Snapshot’ and On-Chain Voting?
How Does the Voting Power of a Governance Token Holder Relate to Their Token Balance?