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1/6 As far as I can tell the $SUSHI guys are sitting on $27M USD worth of their own token that could be dumped or used to dump against LP tokens.
When I first looked through the contract, I assumed that the dev fund was going to a wallet that was locked by gov vote or timelock. https://twitter.com/cicnos1/status/1300856128444788736
When I first looked through the contract, I assumed that the dev fund was going to a wallet that was locked by gov vote or timelock. https://twitter.com/cicnos1/status/1300856128444788736
2/6
It seems however it is just a generic wallet that the SushiSwap admin has keys for.
That means without warning you could be dumped on.
Now, I've been impressed with the results of SushiSwap and the teams professionalism so far, but, let's take a step back
It seems however it is just a generic wallet that the SushiSwap admin has keys for.
That means without warning you could be dumped on.
Now, I've been impressed with the results of SushiSwap and the teams professionalism so far, but, let's take a step back
3/6
Consider you just made a project that earned you $27M in revenue, and was worth $2B fully diluted.
Would you take a little bit of money off the table?
If Nomi announced that and took even 10% off the table, people would likely be ok with it.
Consider you just made a project that earned you $27M in revenue, and was worth $2B fully diluted.
Would you take a little bit of money off the table?
If Nomi announced that and took even 10% off the table, people would likely be ok with it.
4/6
But in my mind, not touching a $27M unlocked dev fund is almost more suspect.
It's pretty obvious that the project isn't worth a $2B fully diluted marketcap today. So someone as smart as Nomi likely isn't banking on the token price going higher.
But in my mind, not touching a $27M unlocked dev fund is almost more suspect.
It's pretty obvious that the project isn't worth a $2B fully diluted marketcap today. So someone as smart as Nomi likely isn't banking on the token price going higher.
5/6
So what counter economic incentives exist to not touch $27M?
Giving the benefit of the doubt to @NomiChef I imagine this was just an overlooked aspect of the ecosystem.
But, these funds should be immediately moved to a governance vote locked wallet
So what counter economic incentives exist to not touch $27M?
Giving the benefit of the doubt to @NomiChef I imagine this was just an overlooked aspect of the ecosystem.
But, these funds should be immediately moved to a governance vote locked wallet
6/6
otherwise they pose systemic ecosystem risk.
I don't think the community would mind if Nomi cashed out a bit along the way, but that pool can't just sit there in a generic admin key wallet.
otherwise they pose systemic ecosystem risk.
I don't think the community would mind if Nomi cashed out a bit along the way, but that pool can't just sit there in a generic admin key wallet.
