$SARCO Community January 2022 Update
January Recap of What is Happening in the Sarcophagus World
The start of 2022 has already seen a lot of things in motion for the Sarcophagus DAO and the builders within the ecosystem. This month the biggest thing to happen is the in-person face-to-face meeting between various members of the community ranging in developers, ambassadors, and enthusiasts to name a few. The group got together at a symbolic location, the Jekyll Island Club, which is the same location that the powers in the early 20th century got together to lay the framework for what would be the United States Federal Reserve. The Sarcophagus team thought it was appropriate as the concept of allowing a decentralized, dead man’s switch enables the freedom of individuals to their own assets. The meeting mainly revolved around the plans for Sarcophagus for 2022, largely dominated around the v2 of the Sarcophagus dApp and the new features and improvements to implement. Admittedly, around the community, it has remained a little quiet while the planning for this meeting has been going on earlier this month, but with the plans laid out below expect a lot more engagement and news to come.
One other big change has been the completion of the liquidity mining incentive earlier in January, which has largely helped to attract members to the decentralized DMS cause. Further incentives that were discussed can be found below in the notes about what was discussed at Jekyll Island in SARCO v2 planning.
Below are some of the main things discussed how Sarcophagus can be improved to build robustness, security, and growth across the protocol and community.
Multi-Curse Architecture
One of the biggest proposed changes in the current Embalming process is moving from a single-curse archeologist scheme to a multi-curse scheme in which multiple archeologists can be used by embalmers during the cursing process. This will help with robustness and enhanced security to minimize the possibility of collusion that could potentially occur between bad actors in the system. The cursing scheme would consist of an embalmer having the curse performed across 5 randomized archeologists. They would each contain a shard of the private key, distributed equally across the archeologists, this will be performed using Shamir Sharing Sequence. During the unwrapping sequence, a quorum of 3 of 5 archeologists would be sufficient to combine the shard and unwrap the outer layer of the sarcophagus, making the inner wrapping available for the recipient to unwrap. This new change will have various network variables such as M of N required nodes to make a quorum, digging fees, and a potential blacklist threshold to limit the electability of poor-performing nodes. These network variables may be changed as the system and network mature and robustness, security, and incentivization can be optimized within the embalming process.
Archeologist Node Updates:
To help enable and simplify the way the new multi-curse scheme works, the Arweave transactions will be pulled from the responsibility of the archeologist and performed by a dedicated AR relay. During the wrapping sequence, when the Arweave transactions occur, they will pull the payload and the hash of the private key shards from the 5 archeologists and store those via Arweave. In the multi-curse scheme, since a quorum of a select number of the chosen archeologist is required, a reduced fee will be paid to those archeologists that are not in the quorum for their services, whereas the other nodes that are contributing to the unwrapping of the outer wrapping would receive a larger portion of the fees divided between them.
A second update for the archaeologist node that is going to be explored is simplifying the setup of the node. Potentially looking at containerization through a solution such as Docker for the Arch nodes and prompting to build and generate the config file are additional steps to make it easier to set up and run. Making the arch node setup easier, will enable building a strong network of nodes and remove technical barriers for anyone to be able to run a node. Any changes to the node setup will be accompanied by updated documentation and help videos for the setup process.
Governance and DAO Involvement
Part of what makes a DAO unique compared to other business organizational structures is the fact that every member of the DAO can participate in the steering of the organization through voting. One of the new concepts that the Sarcophagus DAO has enabled was the use of SubDAOs to enable more agility amongst select participants. This is to help make targeted decisions amongst a subgroup of token holders who are involved in tasks related to that subDAO. One such subDAO, is the Payroll subDAO. The payroll subDAO was created and consists of 100 total ERC20 (0 decimal) that are distributed to investors and builders/developers within Sarcophagus to help make and approve decisions surrounding the payroll. When builders submit proposals and requests for funds for the work they complete, this particular subDAO will be responsible for approving the request to pay for those members. The payroll subDAO will require a quorum of 4 votes to approve payroll requests and will initially house a total payroll budget of SARCO tokens equaling to $160,000 USD. IF the system is abused, the larger DAO can seek to disband and propose a new system in place.
In addition, another subDAO that will be created is a liquidity subDAO. The purpose of the liquidity subDAO is to monitor, track and optimize revenue generation through liquidity provisioning across various DeFi platforms. This is one way that Sarcophagus will be looking to utilize funding that has been raised as a means of generating consistent income that can be paid to SARCO-VR token holders. SARCO-VR tokens are a non-transferrable ERC20 token that is given to SARCO token holders that stake their tokens in the governance app and would be the beneficiary of the liquidity-generated revenue. The SARCO-VR token holders would be able to see rewards from this revenue by participating in DAO votes and also by holding the token over a staking period. Initially, $1MM of USDC tokens paired with $1MM USD equivalent SARCO tokens will be used in this liquidity offering, and as mentioned various liquidity models will be used to determine the optimal for strong and steady revenue generation. Added benefits of this are two-fold, the first being that it provides liquidity in the marketplace so that trade volume swings will not have a major effect on the token, and secondly the financial incentives to be active in votes and holding SARCO-VR tokens.
Multi-Chain Strategy
With the Sarcophagus dApp built on top of the EVM, L2’s that are EVM compatible will enable the dApp to be ported with relative ease to those L2’s. One important aspect to enable a L2 solution is to ensure that enough liquidity is available to allow users to get access to the token. For this reason, Sarcophagus will plan on supporting and owning the liquidity across multiple chains to ensure accessibility of the SARCO token on the other L2s. This is better than providing an LP incentive where the DAO will be giving away tokens since the DAO can afford to provide liquidity to the market from funds raised. One important aspect Sarcophagus would like to do, is to ensure that the v2 of the dApp will be completed before expanding the app across other L2s. This is strategic to ensure that a robust and scalable version of the dApp is ready to be ported.
New Features Planned
Killing a Sarcophagus
Enabling an embalmer to have the power to remove and effectively destroy a sarcophagus that they created
Web2 Notifications
Creating a way to notify via web2 means about rewrapping times to maintain a Sarcophagus. One method discussed was EPNS and Libp2p amongst others.
Scaling Features
Development of a SDK package that could be developed as a means to provide developers a way to utilize the services that the Sarcophagus dApp provides in the backend of new services to help scale and garner adoption of Sarcophagus. In essence, allow users to utilize Sarcophagus, without them even knowing it.
Potential Future Features:
Payment integrations
Services like Zapper and Stripe integrations can allow users to utilize Sarcophagus by enabling payments in fiat or other cryptocurrencies
Network Variable Optimization
As the network of nodes and the dApp matures, tweaks and modifications to the various network variables will be made to optimize the performance of the system and will be evaluated periodically
SARCO Community Numbers
SARCO Incentive Earning Metrics:
