Just the other day I interviewed Sarah, a single mom. She poured her life savings into GMX, wanting to develop a safety net for her two children. The exploit hit her hard. She ultimately lost the bulk of her investment, cash she severely needed. It's easy to get lost in the technical details of DeFi, but we can't forget the real people behind the numbers. Sarah’s story isn’t an isolated story, it’s a stark reminder that these vulnerabilities have real world, direct impacts on daily lives. This vote isn’t just about GMX. Second, it lays a model for the way we ought to engage with each other in the decentralized future.

Can Crypto Be Truly "Community-Owned?"

It may not be a bug but it certainly is a feature, a test of the DeFi spirit. After all, aren’t we all trying to build the community-owned, democratic financial system of the future? Or are we just witnessing the same old hierarchy of power in a new outfit? The $42 million question boils down to this: Do we prioritize short-term individual gains, or do we invest in the long-term health and resilience of the community?

When faced with that choice, of course it’s easier to pick the stablecoin reimbursement. First off, it’s safe, it’s predictable and it puts money back in people’s pockets from day one. Selecting the GLV token option will help to send a positive signal. It’s a vote of confidence in GMX, an investment in its potential, and a collective commitment to rebuilding together. Consider it more like planting seeds with an expectation of a long-term harvest, and less like cashing in all your chips and leaving the table.

The GMX team has proposed two options for how to distribute the $42 million:

  • Option 1: Reimburse with Stablecoins: Provides immediate liquidity and reduces volatility for users.
  • Option 2: Reimburse with GLV Tokens: Offers potential appreciation and alignment with the GMX ecosystem.

Each proposal covers a $2 million upfront contribution from the GMX DAO which is excellent. Central to that decision should be a deliberative overall decision — one that lies with us, the community.

Solidarity or Self-Interest?

The artist tech response to the exploit was amazing and inspiring. I have read thousands of messages from users providing moral support, vital updates and help, and even pledging or delivering financial assistance to those impacted. This is the true potential of DeFi: a community stepping up to help its own. Selecting the GLV token option increases this sense of global community. It says, "We're in this together. We believe in GMX, and we'll work to make it stronger than ever."

Of course, there are risks involved. The value of GLV could fluctuate. Isn't that the nature of DeFi? Isn't that what we signed up for? The upside potential far exceeds the risk, and especially so when you look at the long-term positive impacts it can have on your community.

This is a bit like the early days of open-source software. To that end, developers openly shared their code with one another, adding to a growing, living, collaborative project that worked for everyone. It wasn't about individual profit; it was about building something bigger and better together. And that’s exactly the same spirit we need to try and ensure is fostered in DeFi.

DeFi's Chance For Equitable Systems

DeFi has the potential to help create a more equitable ecosystem. It improves equity by expanding access to financial services for those who have long been excluded. That potential will only be unlocked if we value the needs of our communities above profit. Imagine a thriving DeFi landscape where protocols are trained to assist each other proactively. It’s in this environment, when exploits go down, that the community really comes together and works collaboratively to create a more equitable financial system. That's the future I want to see.

It begins with governance-related decisions just like this GMX governance vote. It starts with choosing solidarity over self-interest. It begins with understanding that we are all in this together, and that our success is inherently tied to the success of the people around us.

The vote concludes on July 28th. This is not only great for GMX, but for the entire DeFi space. Choose wisely. Show your support for the community. Vote for the GLV token option. Let’s show the world that DeFi can be a compassionate place, not a whalepalooza for institutional investors. Let’s deepen this effort to create a genuinely community-owned and controlled financial system, one vote at a time. Let’s prove to the world that DeFi can truly outperform and outlast the woes of traditional finance.