One market observer noted, "ENS’s approval of the new Security Council signals a step forward in protecting governance from malicious proposals." The Ethereum Name Service (ENS) token price rallied approximately 3.7% within 24 hours, trading around $4.58 following the DAO's approval to activate its Security Council for a two-year term ending July 16, 2028. The token recovered after intraday lows below $4.40 and briefly surpassed $4.70 before facing resistance near that level.
Trading volumes surged by nearly 42% to $20.62 million, indicating heightened market activity alongside a 3.75% increase in market capitalization reaching $187.92 million. Analysts highlight that ENS needs to break and sustain above $4.70 to continue momentum toward the $4.80 resistance mark, while immediate supports stand around $4.50 and $4.40.
The newly activated Security Council consists of eight members with a mandate limited to vetoing harmful governance proposals during the two-day timelock period before execution. This oversight aims to prevent fraud, stolen credentials, vote manipulation, and covert malicious code. Importantly, cancellation of proposals requires the approval of at least five council members, raising the previous threshold of four from the outgoing council. The new council’s tenure overlaps with the current one until July 24, 2026, to ensure continuous governance safeguards. Council members undergo background checks, KYC, and adhere to a public charter and appointment agreements with the ENS Foundation.
The council’s powers exclude submitting or amending proposals, moving treasury funds, or other governance decisions, which remain under control of ENS delegates and token holders. Regular governance issues, including budget and protocol direction, fall outside its remit. This recent governance update strengthens ENS’s defense against exploitative actions within its decentralized autonomous organization framework.
