Enable a dedicated vesting contract to apply vesting schedules to contributors’ LDO tokens

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TL;DR

Lido contributors propose to add a limited vesting mechanism (LDORevesting Contract) for certain contributors’ LDO tokens to improve accountability and value alignment. It does not affect token supply or voting power on the addresses.

Note: The vesting for LDO tokens doesn’t fall under the TRP program terms and doesn’t require new Treasury allocation.

How the LDORevesting Contract Works

The contract operates via a single atomic method that assigns vesting to the LDO tokens held on an address. The vesting parameters match those used for new TRP contracts: 2 years total vesting with a 1-year cliff.

The contract has no impact on LDO token balances or LDO voting power held by addresses at the time of vesting assignment.

Deployed LDORevesting Contract address: 0xc2f50d3277539fbd54346278e7b92faa76dc7364

Security Checks

The contract includes the following limitations:

  1. The revesting method can be executed only by the TRP Committee 0x834560F580764Bc2e0B16925F8bF229bb00cB759. The TRP Committee is used for execution due to its existing vesting expertise and controls.
  2. Maximum amount processed: 50,000,000 LDO in total.
  3. Contract expiration: 3 months after deployment.

Invariants:

  • LDO total supply: unaffected 1,000,000,000 LDO.
  • Balance of the address: stays the same before and after assigning vesting.

Audits

The contract was externally audited by Mixbytes, the report is published on the audits repository.

Next Steps

  1. To activate this mechanism, an on-chain vote will be initiated. The vote is intended to grant all the necessary roles for assigning vesting on the Aragon Token Manager to the Revesting Contract.
  2. Upon completion of the contract execution, Lido contributors will share a summary of the state and results.
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