SharedStake Updates
Hi everyone, It’s Ice Bear.
Updates (22nd July):
- Thanks to a community member a small miscalculation, that would cause us to double pay the current LPs, is resolved at the last day. Amounts didn’t change a lot, but this calculation is more accurate.
- We took a new snapshot and updated the charts please check it again and let us now if there are any problems: here. To address this fix, the below charts are also updated with the current balances info.
- Airdrop is happening on July 24, 8:00 am ET. Allowing claimers to check their updated balances.
- Airdrop will be old-style, no need to claim it. It will appear in your wallets.
If you haven’t read it yet, here is the post-mortem for the last Incident.
This report includes:
- Detailed Reimbursement Plan for the LPs affected by the Insider Exploit.
- Updates on vETH2.
- Personal Notes.
Reimbursement Plan for the LPs
Here is the code I used to extract the data. The Snapshots are taken from the block 12688511 as the first sell happened immediately afterward, in block 12688512. If you still have any LP positions on Uniswap, please withdraw them now.
- SGT - ETH Liquidity Pool on Uniswap: https://docs.google.com/spreadsheets/d/15fxBi3e47LlXhB0CpeFi7eSFGjGfyYPn5_2NG4LVx_8/edit#gid=217778797
- Total Loss is around 85.7 Ether.
- 30 Ether will be returned to the community. That is 35% of the amount lost by LPs.
- Remaining funds will stay as is for now. Core team is working on a new and more secure implementation right now, funds might be reimbursed again in the future.
2. SGT — vETH2 Liquidity Pool on Uniswap: https://docs.google.com/spreadsheets/d/15fxBi3e47LlXhB0CpeFi7eSFGjGfyYPn5_2NG4LVx_8/edit#gid=217778797
- Total Loss is around 113.4 vEth2.
- 101 vEth2 will be returned to the community. That is 90% of the amount lost by LPs.
- Remaining funds will not be reimbursed again in the future.
Reimbursement will happen through an airdrop on July 22nd. Please let us know as soon as possible if you think there is a miscalculation.
Updates on vETH2
While acknowledging the legitimate concerns, there are also a lot of FUD spreading across our Discord Channels. The Insider Exploit had nothing to do with vEth2. However, to address some of the concerns raised by the community, I met with Chimera for a dinner last week, and discussed possible solutions to further secure the vEth2 funds. We determined a few different possible routes which could be taken, however, these are not final thoughts, and are open for discussion within our community.
- If it is requested by the community, Chimera has no problem with giving up the responsibility of holding the withdrawal keys. However, key sharing is not feasible without a technical solution delivered by ETH2 Core developers. Even if the other party is trusted, 2 parties having access to the keys would only increase the risk.
- Overall, the risk is low towards the vEth2 funds, and there is no rush on implementing a solution for vEth2, as there is plenty of time until the Merge. After some small steps are taken, the core team will be working with other ETH2 developers to deliver a solution that might secure the funds further.
- When the Merge is imminent, I will travel to meet Chimera personally. We will withdraw the funds together, and distribute the Ether afterwards. This process is expected to happen in around 9 months, according to Eth2 developers, and will take around 2–3 weeks to complete.
Personal Notes
SharedStake Core team is voluntarily working on a solution that will provide a secure, and improved platform for ETH2 stakers. A platform that doesn’t rely on trust. Ultimately, it is possible for us to reimburse the pre-rug SGT owners, and/or launch a new Governance Token under the name of the new implementation, but the development process is only getting started, and we expect it will take around 2 months until completion. Expect to hear from us soon!