SIP Proposal: Transfer of SOV from Adoption Fund to Build on Bitcoin Mainnet

Considering risk (completely loosing these funds and also completely wreck our credibility) to reward (some shitcoin in return we don’t even control) and the premise of “we are in a stream of liquidity thats why we are doing BOB” plus that there are already funds that can be used means I stay as NO vote.
Probably just symbolic as usual but nonetheless.
I really hope the community will be part of these decisions and the behind the scenes processes at some point in the future. Other true DAOs are leading by example and are very successful. You have to give up control to truly reap the benefits of a larger community. Until then we are just half a DAO.

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After reading Yago’s responses and everyone’s opinions, I understand the risks and benefits clearly, and there is also an additional cost, which I will address in my comment.

This extra cost I refer to as the “community cost,” which relates to ignoring the community when making such important decisions. The community should never be underestimated, as Sovryn is nothing without it. It would be very beneficial to provide much more information than what is currently given, and to do so well in advance, allowing for a longer period of exchange or debate. There are unanswered, ignored questions. This is a “don’t verify, trust” situation.

What are the risks? It’s clear that SOVs would not be lost, but eSOVs could be lost, which would affect the reputation of Sovryn and BOB, perhaps permanently. It’s emphasized that this risk is almost negligible. Each of those 21 days is going to feel very long.

What are the benefits? Being in the right place at the right time in the right way can make Sovryn even greater. I understand the gamble, and I understand why support is sought for this use of the Adoption Fund.

Given all that has been said, I choose to support this SIP, because the risk of not doing so is greater than that of doing so.

I regret the methods used, which belittle the community, from my point of view.


I will sit this vote out. I do not feel I have enough information to make an informed decision on whether the risks outweigh the benefits or not.
That actually is a problem. It means the community was informed too late for sufficient debate, and also received too little information.

Another red flag I would like to raise is the purpose of locking up assets for 21 days only. The so-called Bitcoin Fusion will start in 4 days. However, the BOB mainnet will launch at halving day (~25 days left). what is the objective of having control over 13.8M eSOV :thinking:?


This is a good question.

Hello everyone,

Thanks for your inquiries.

The BOB reward program will kick off in just two days.

Let me break down how it works to address your concerns: The spice points, or BOB reward points, are dynamically allocated each day, based on the balances of depositors. This means your rewards grow even if your deposit doesn’t meaning that for each day missed, there’s a cost in reward points allocation for the 13.8M SOV deposit.

Now, if the SIP-0079 is approved, the funds will swiftly move to ethereum eSOV and be deposited into the BOB LockDrop contract early which allows to maximize rewards.

Post-program completion, the funds will transition to the BOB mainnet to receive rewards which then will be distributed to our DEX depositors. From there, the funds will journey back to Ethereum, then to Rootstock, and eventually circle back to the Adoption Fund.

Essentially, the SIP is a strategic move to leverage the Adoption Fund for additional value at no cost. And rest assured, the risk factor is incredibly low. In the rare event of any mishap, we have contingency plans in place. We can simply nullify the eSOV and reclaim the SOV for the Adoption Fund.


@lactarius what do you mean you regret the method used?

You say that someone is “ignoring the community”. Who?

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Maybe I don’t understand the question. The point is to deploy the funds during Fusion.

What additional information would you appreciate?

More important than the who is the why.

Who? If anyone is ignoring the Community, it is those who make decisions without the Community’s input.

Although you don’t ask why, I would like to ask the community. I do so and return to the forum.

Its important to remember that Sovryn is now on a path that relies more and more on partners. This is true for the launch on BOB and is true for BitcoinOS. This affords us many benefits, but sometimes requires us a project to move fast and take advantage of opportunities. When Sovryn first launched, there were very few Bitcoin native smart contract projects. Now there are MANY! The competitive environment is a lot more unforgiving and Sovryn, as a DAO, may need to move fast sometimes, even at the cost of giving the community more time to debate and review SIPs.


My main question: What happens to the funds earlier transferred to exchequer? Are they used, too? If not, why not , and why are new funds needed then ?


They will be used as well to maximize rewards

I think the question is : from BOB perspective, what is the business value that is created by locking the liquidity (SOV or whatever) for 21 days then giving it back ?
At least from my perspective I do not see the outcome.

For BOB there is a marketing benefit to showing significant flow of funds. This benefits Sovryn as well.


Ok. On one hand, that makes me feel better, but I still think we are taking on a lot of smart contract risk here.

What is the form of the benefit ? for example, at a certain point BOB is going to communicate smth like : “Look, here are the partners that trust us with X millions of $ locked on BOB” - then what is expected after 21 days ?
Apart the fact that everything went according to the plan (funds were not stolen…), and so trust is actually proven, what additionnal marketing impact is targeted ?

Personally, I support this degen strategy of deriving value from adoption funds. I would like to see the results of this strategy once the farming period has concluded and, of course, know what will be done with the rewards obtained. After all, I understand it as a way to finance ourselves to then begin spending again on product development and improvement. If we are heading towards BOB, we must necessarily be heavyweight there; Sovryn deserves nothing less.

I like that they are considering using the SOV we have previously deployed to maximize profit. Programmable money gave us the enormous advantage of being able to print money; I think we should take advantage of it.

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I found that there is a function to transfer native token, ERC20 tokens, and SOV in the “SafeDepositsSender”

Is the Sovryn Team planning to move more than just 13.8M SOV to the BOB LockDrop Contract (“0xb5e3dbaf69a46b71fe9c055e6fa36992ae6b2c1a”)?

What is the total? It should be included in the SIP.

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How exactly does this degen move benefit RSK Sovryn and its RSK stakers (who are not getting SOV rewards and therefore are not benefitting from higher SOV price directly)?
As the Risk is we loose all credibility forever what are we compensated with?

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