BIP-80: Sonic Expansion – Approve Sonic LST Audit

Proposal

Approve payment of 15,000 USDC from Beethoven X DAO treasury for the audit of the new $S LST that will be deployed on Sonic network.

Motivation

In 2024 February Beethoven X assumed control of sFTMx, which is $FTM LST originally developed by Stader. Beethoven X contributors, Music Directors and community have seen it as a positive move for both branching out Beethoven X asset suite, increasing revenue and giving Beethoven X more exposure.

Based on this, Beethoven X has been set to launch LST of $S on Sonic network. Since staking of S on Sonic network will have changes compared to staking of FTM on Fantom network, then the LST contract itself needs to be rewritten as well. It is important to have an audit on the new LST contract, to both reduce the risk of users and increase confidence in the asset.

We are looking to have the audit conducted by Spearbit, which is one of the leading smart contract auditors and also audited the SFC contract that is used for S staking on Sonic. Based on our communications we have agreed on a reasonable cost and suitable timeline that we believe fits the needs of Beethoven X extremely well. The audit would cost Beethoven X DAO 15,000 USDC.

Impacts / Risk Assessment

Beethoven X DAO would pay 15,000 USDC from the DAO treasury on Ethereum. While this is a cost for the DAO, then we believe the amount to be very reasonable and find the audit itself required to reduce any potential risks and increase confidence of users and partners.

Specification / Execution Plan

With the passing of this BIP, Beethoven X DAO is set to pay 15,000 USDC from the DAO treasury on Ethereum.