Draft CIP-02: Proposal to move unclaimed $COVER to the treasury

Background
COVER is a governance token of a protocol that is completing the open-finance puzzle: Unstoppable coverage, protecting participants against unexpected incidents.

COVER v2 by the team :

  • Specific, isolated risk within protocols (ex: each Yearn vault can have its own covToken coverage)
  • Bundled protocols (ex: CurveAaveYearn bundle)
  • Amplified liquidity
  • Dynamic fees
  • Expansion into real-world coverage (multiple CVC groups)

COVER v1.1 by Andre Cronje :

  • Perpetual coverage (audit is done, pending to launch)

COVER integration with Yearn v2 :

  • Integration with COVER API
  • Supported Cover Protocol lists updates automatically
  • Supports price/purchasing slippage calculations

Summary
While waiting for further releases on the above (Q1 - early Q2 2021), COVER holders can align the supply-demand of the governance token, incentivizing positive & constructive ideas while accumulating funds for sustainable development. The result of this proposal can be revisited whenever major changes affect the protocol or its governance holders.

Motivation
There are a set of COVER tokens which are yet to be claimed and they should not be just left being unused. These unclaimed COVER are better off used for future incentives and funding instead of just having them being unclaimed.

Specifications

Max Total Supply: 70,200
Total Claimed as of this proposal: 63,192.937772001273
Unclaimed: 7,008

Unclaimed COVER should be held by the treasury by 31st January 2021.
If you are reading this and have no redeemed your COVER tokens, please do so before 31st January 2021.

10 Likes

I am All in with this proposal its been quite some time all active cover user’s would have claimed their tokens and those who havent yet should be given another 5-7 days else it should be moved to treasury …

1 Like

Yes agreed , it’ll be great way to help solve those who had faced the exploited . Also by doing it this way the unclaimed tokens will be put to good use for greater purposes .

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Agree, let’s do this.

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I still hold “old” $COVER, with the migration portal not giving me any option to exchange them.

If there remain unclaimed tokens, I suggest that these be given preferentially to holders of $COVER who are currently out of pocket, due to the period of time between the hack and becoming aware of the announcement not to buy COVER.

I bought on 28th December, when a price alert I had set on CG indicated my target buy price had been hit. It is fundamentally wrong that, having bought ib good faith, that I should be out of pocket and left holding worthless tokens.

Any proposal for redress and remuneration would be gratefully received.

1 Like

I agree…lets move forward!

Any replies or acknowledgment of the issues I raised? A reply from Cover Protocol would be appreciated.

These tokens are not the treasury’s to take. Are we reclaiming satoshis “lost” coins and giving them to development? Maybe in a year this motion could gain suitable traction but currently Im not in favour of stealing tokens from peoples wallets - if it is even technically possible. A person could be on active duty, or in a coma, or tending to loved ones, or for whatever reason havent converted, they should be allowed time to do so.

Dead tokens only make the rest of the tokens more valuable. So I disagree that they should not be left unused.

I understand defi moves at a break neck speed but this is too swift after the new cover migration. If this date stays as is I will vote no.

2 Likes

This is a terrible idea.

Why should people who have not claimed yet have their tokens confiscated by the community?

This proposal sets an awful precedent and risks creating further negative PR for the project which is struggling to recover from the hack.

Who decides what is an appropriate claim period? Perhaps people have forgotten about the furore that occurred when there was a deadline to convert SAFE to SAFE2?

I find it hard to understand how anyone thinks this will benefit COVER or the community.

It is entirely in opposition to the principles of ownership and autonomy central to the cryptocurrency ethos.

The negative consequences outweigh any potential benefits.

2 Likes

If you bought after the hack and the portal says no claimable COVER then its final.