By Alicia Maher
Litecoin’s governance ecosystem (Litecoin foundation) has revealed a new collaboration with an open-access crypto mining pool (AntPool). The primary objective of the agreement is to establish a crypto research lab (called LTC labs.). The lab will also be responsible for researching and gathering data on DeFi projects, expanding the digital asset adoption and LTC-based projects.
Forming A New Crypto Research Lab
According to the announcement on Litecoin’s website on April 6, the Litecoin-AntPool partnership aims to expand use cases for Litecoin for the present and the future through various developmental projects. AntPool will be contributing 50% of its earnings from the LTC pool mining to this cause monthly. Litecoin founder, Charlie Lee, tweeted about what led to the AntPool partnership when he released a Twitter thread about the LTC MimbeWimble extension block (MWEB) update.
Part of his tweet reads, “even though our initial intention of approaching AntPool was to discuss the MWEB signaling upgrade. However, they showed more enthusiasm about supporting Litecoin, and the outcome was the establishment of the LTC labs. It is an open secret that AntPool is the first pool to update and signal for MWEB.”
The partners have started working on creating a 10-member DAO with more members to be added in the future. However, 6 of these DAO members will be from AntPool, while the remaining will be from the Litecoin foundation. Thus, giving AntPool the controlling stake in the DAO.
Funding Projects In The LTC Labs
The LTC labs DAO will utilize two DeFi protocols (gnosis and snapshot) to monitor funds allocation for the LTC labs. Also, each member can submit a proposal for autonomous project funding, but the proposal will be approved via votes from other DAO members.
If at least five members vote in favor of such a proposal, the DAO will approve the proposal. In addition, the DAO plans to fund the right project by deploying reality.eth control oracle. The LTC founder also commented on ensuring transparency when funding projects saying, “the transparency in the funding process will be of immense value for the bitcoin community. I hope that future LTC projects and developments are funded using a similar process.”
Litecoin Keeps Innovating
The Litecoin team has been at the forefront of various innovations in the blockchain space in recent years. But this innovation and partnership will have a huge impact on growing the network. One such impact is the enhancement of the blockchain technology to allow the creation of more complex Dapps, whose popularity keeps growing daily among Litecoin users.
Also, it is the first time Litecoin will own or be involved in having a DAO. Thus, putting it on equal footing with MakerDAO and similar projects that have become more relevant in the fast-growing crypto space.
Furthermore, the spike in transaction volume is proof that the number of users in the network is also growing at a fast pace. While this positive news will affect LTC price positively, it hasn’t had an immediate impact as expected.