SNXweave Weekly Review 151

August 28, 2024

The following post contains a recap of news, projects, and important updates from the Spartan Council, Core Contributors, and Ambassador Council from last week.

👉TLDR

🚨Election info: Nominations open this Friday, August 30th

Spartan Council Election Panel: Thursday, September 5th @9PM UTC. Fill out this google form to submit question suggestions for the panelists, and RSVP for the event here. If you plan to run for Spartan Council, be sure to get your nomination in as soon as possible to be included in the panel.

SNX chain: Deployed on Mainnet; the CCs are just wiring up the requirements to deploy Governance V3 there to host the upcoming election. Currently undergoing election testing, and wormhole guardians are in the process of getting synced up to support the cross-chain messaging features. Election results will tabulate and resolve on SNX Chain, which will then send messages back to all of the chains that Synthetix is deployed on to reassign the NFTs.

Arbitrum scaleup: Multi-collateral perps is on testnet but should be on Mainnet this week with zero caps initially; UIs to follow. Once integrators are ready, the caps will be raised. And in addition to the default margin (USDx), users will be able to deposit WETH and TBTC as margin as well.

L1 Perps: Released to testnet; the CCs are just finalizing requirements for a Mainnet release.

V3 migration: Looking good on testnet, and should be enabled for the public this week. The implementation is ready on the technical side, with the last piece being the migration front end. Once L1 Perps is ready to begin trading, migrated SNX will begin backing the L1 Perp on V3 as well as V2X perps. L1 Perps is just waiting for a UI — it is feature-complete and the Mainnet release is being planned, likely by the end of the month.

Why self-liquidations were disabled: In the original design, self-liquidating was offered as a feature to give stakers other options to strengthen their c-ratio if they were getting close to liquidation, in order to prevent cascading liquidations. This option was really only being utilized as a last resort and didn’t encourage the proactive debt management that it originally intended to support (and as a result, did not prevent cascading).

It was also a critical prerequisite for enabling the migrations to V3. For V2X users who self-liquidated, the debt from that transaction would have been socialized among V3 stakers, but the SNX would have only been distributed to stakers on V2 on L1. Disabling self-liquidations allows for the staked asset to be redistributed to the stakers who have assumed additional debt as a result of a liquidation.

Spartan Council and SIP updates

Present at the August 21, 2024 Spartan Council Weekly Project Sync:

Spartan Council: Cavalier, cyberduck, fifa, Jackson, Millie, ml_sudo, Snax Frens, snxmaximalists

Core Contributors: Fred, Kaleb, Matt, meb, Mike, Mithrandir, moss, Nikita, robin, Steve, troy

Elections are here! ICYMI, nominations open this Friday, August 30th. And if you plan to run for Spartan Council, be sure to get your nomination in as soon as possible to be included in the Spartan Council Election Panel. The Panel will be hosted by SNXweave on 🚨Thursday, September 5th🚨 in the governance stage. Fill out this google form where you can suggest questions for us to ask this epoch’s Spartan Council candidates at next week’s panel! RSVP for the event here.

And speaking of elections, SNX chain was deployed on Mainnet, and the CCs are just wiring up the requirements to deploy Governance V3 there to host the upcoming election. Snax chain is currently undergoing election testing, and wormhole guardians are in the process of getting synced up to support the cross-chain messaging features. The CCs are expecting to meet the August 30th deadline for nominations for the upcoming epoch. Then, the election results will tabulate and resolve on SNX Chain, which will then send messages back to all of the chains that Synthetix is deployed on to reassign the NFTs.

As for the Arbitrum scaleup, multi-collateral perps is on testnet but should be on Mainnet this week with zero caps initially and UIs to follow. Once integrators are ready, the caps will be raised. And in addition to the default margin (USDx), users will be able to deposit WETH and TBTC as margin as well.

Next, as we mentioned last week, L1 Perps was released to testnet, and the CCs are just finalizing requirements for a Mainnet release.

The migration from L1 SNX to V3 is also looking good on testnet, and should be enabled for the public this week. The implementation is ready on the technical side, with the last piece being the migration front end. Then, once L1 Perps is ready to begin trading, migrated SNX will begin backing the L1 Perp on V3 as well as V2X perps. L1 Perps is just waiting for a UI — it is feature-complete and the Mainnet release is being planned, likely by the end of the month.

Lastly, during last week’s meeting, there was a question in the chat about why self-liquidations were disabled. It was explained that in the original design, self-liquidating was offered as a feature to give stakers other options to strengthen their c-ratio if they were getting close to liquidation in order to prevent cascading liquidations. It became clear that this option was really only being utilized as a last resort and didn’t encourage the proactive debt management that it originally intended to support (and as a result, did not prevent cascading).

It was also a critical prerequisite for enabling the migrations to V3. For V2X users who self-liquidated, the debt from that transaction would have been socialized among V3 stakers, but the SNX would have only been distributed to stakers on V2 on L1. Disabling self-liquidations allows for the staked asset to be redistributed to the stakers who have assumed additional debt as a result of a liquidation.

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SIP/SCCP status tracker:

SIP-384: Launch Synthetix Chain (SNX Chain) Using the OP Stack for V3 Governance, Status: draft

SIP-383: Multi-Collateral Margin Support — Perps V3, Status: approved