[BIP:76] Sunset $BIFI Migration Claims

TLDR: Close the window to claim for post-migration $BIFI that could not be distributed during the migration in October 2023. Set a final date in October 2024, after which all leftover $BIFI will be returned to treasury for use by the DAO.

Background

On 24 October 2023, Beefy concluded the migration of its $BIFI governance token, and distributed new tokens to over 15,000 holders previously spread across 20 different chains. The migration was a success, and the new governance token has been operating effectively for the last 6 or so months.

However, the migration process did give rise to complexities, which meant a limited number of $BIFI tokens were not distributed. More specifically, where tokens were held in smart contracts on blockchains other than the post-migration chains, the same address would not typically belong to the same owner on the post-migration chains. Sending $BIFI to these addresses would typically mean the owner’s tokens would either be lost or sent to someone else.

Beefy issued various warnings and notices about the migration in the months before execution, urging users to remove their $BIFI from smart contracts. In some cases, the team was also able to scrutinize contracts (e.g. liquidity pools) to identify the beneficial owners of the $BIFI it held and so sent the tokens to the owner’s EOA wallet instead. This effort was largely successful, but 0.05% of total supply (or just over 407 $BIFI tokens) were left undistributed.

These tokens were set aside in a separate Safe managed by the Treasury Council. The #🪙-bifi-claims channel was also set up in the Beefy Discord server to handle claims for affected users. All claims have been extensively vetted before the undistributed tokens were released to claimants. So far, 15 separate claims have been successful, and 120 distinct wallets have been returned their $BIFI. Claims have since slowed to a halt, with no new claims in the last 3 months or so. However, at the time of writing over 300 $BIFI tokens, or over $100,000, remain unused in the claims Safe.

Sunset

This proposal suggests that it is undesirable to hold large quantities of unclaimed $BIFI tokens in perpetuity, and that at some stage the unclaimed $BIFI tokens should be returned to the DAO’s treasury and put to use. The distribution of all $BIFI tokens among a wide and decentralized population of tokenholders is desirable, and keeping tokens unused and out of circulation brings no benefits to the project.

It is proposed that the $BIFI migration claims process is now sunsetted, by listing a final date for claims and publicizing details of the end of the program to draw out any further claims. Specifically, this proposal suggests that 24 October 2024 - i.e. exactly 1 year after migration - is an appropriate time to formally end the process, and return all remaining $BIFI tokens to treasury.

Once returned to treasury, the migration claims tokens will immediately expand the runway for the DAO’s operations, and provide additional scope for investment or deployment to further the DAO’s aims. The return of these tokens will not be classified as a form of revenue or earnings for the DAO, and once returned these tokens will thereafter be treated as an ordinary part of the treasury. No alternative or additional distribution will take place.

After 24 October 2024, no more claims will be independently facilitated by the Treasury Council or contributor team. Any further claims arising after this time must be raised for a DAO governance vote.

Proposal

Beefy should:

(i) formally sunset the $BIFI migration claims process with an end date of 24 October 2024, and publish details and announcements to solicit any final claims; and

(ii) return all unclaimed $BIFI from the migration claims Safe to the DAO treasury on 24 October 2024, to form part of the DAO’s regular funds.