a16z: The foundation model hinders Blockchain development and suggests switching to a corporate operation structure.

On June 5, it was reported that the foundation model of Ethereum, Solana and other projects has hindered the development of the industry. In a June 2 blog, Miles Jennings, head of policy at a16z Crypto, pointed out that there are four major flaws in the current foundation: 1) a lack of market accountability; 2) legal restrictions on commercial activities; 3) operational inefficiencies; 4) Evolve into a centralized manager. Martin de Rijke, Head of Growth at Maple Finance, added that corporatization is better suited to rapidly changing market demands.

a16z suggests adopting a regular development company model instead of a foundation model, believing that companies can allocate resources more efficiently and respond to market demands. A certain DEX foundation is seen as one of the few successful cases. Jennings proposed two alternatives: 1) a Decentralized Unincorporated Nonprofit Association (DUNA) to grant legal status to DAOs; 2) governance of “cyborg organizations” through on-chain tools. Analysts point out that as the regulatory environment in the U.S. improves, the offshore foundation model that conceals control needs to transform.