SNS Treasury
The SNS will manage a treasury comprised of BITO and ICP tokens. Following the decentralization sale, the treasury will possess an ICP ledger account filled with the ICP collected during the sale and a BITO ledger account containing 770 million tokens. While specific plans for utilizing these BITO tokens are outlined below, the DAO retains the flexibility to redirect the treasury through proposals as deemed necessary. The strategic uses of the treasury include user rewards, liquidity bootstrapping pools, fundraising, marketing initiatives, centralized exchange (CEX) listings, airdrops, engagement of third-party services, provisioning of cycles for hosting Bitomni canisters, and remuneration for the development team.
Plans for Utilizing the Treasury
BITO (77% of total supply)
User Rewards (46~54%): The treasury will allocate BITO tokens to incentivize user engagement and participation within the Bitomni ecosystem. These rewards aim to encourage active interaction with Bitomni's DApps and community initiatives.
Liquidity Bootstrapping Pools (2~3%): A portion of the BITO in the treasury will be used to establish liquidity pools on decentralized exchanges (DEXes). This is essential for initiating and enhancing the liquidity of BITO tokens, facilitating smoother trading experiences for users.
Fundraising (10~15%): The treasury will allocate BITO tokens to engage venture capitalists and other investment entities to secure additional financial resources. This capital will support the expansion and acceleration of Bitomni’s development, helping to scale operations and broaden the ecosystem’s capabilities.
Marketing (4%): Treasury funds will support comprehensive marketing campaigns with allocated BITO to increase Bitomni’s visibility and user base across various channels.
CEX Listing (3~5%): A portion of BITO in the treasury will be allocated to listing BITO tokens on prominent CEXes, expanding market access, and trading opportunities for Bitomni users.
Airdrops (4%): Part of the BITO in the treasury will fund airdrop campaigns to distribute BITO tokens to targeted users and communities, fostering broader engagement and adoption.
These strategic allocations are designed to support the growth, stability, and continuous improvement of the Bitomni ecosystem, ensuring it remains competitive and responsive to community needs and market dynamics.
ICP
Liquidity Bootstrapping Pools: A certain amount of ICP in the treasury corresponding to the market cap of the BITO for the LBP will be used to establish BITO <> ICP liquidity pools on DEXes. This is essential for enhancing the liquidity of BITO tokens, facilitating smoother trading experiences for users.
Marketing: Part of the ICP in the treasury funds will support comprehensive marketing campaigns to increase Bitomni’s visibility and user base across various channels.
CEX Listing: Part of the ICP will be allocated to the expenses related to listing BITO tokens on prominent CEXes.
Third-Party Services: The ICP in the treasury will also cover expenses for engaging third-party services essential for operational support, such as security audits, legal counsel, and technology partnerships.
Cycles for Hosting Bitomni Canisters: Part of ICP in the treasury will be used to purchase cycles on IC, ensuring that Bitomni canisters have sufficient resources to operate effectively and continuously.
Development Team: A portion of the ICP in the treasury will be directed towards compensating the development team, recognizing their efforts in maintaining and advancing the Bitomni protocol.
Mitigation Against a 51% Attack
The Bitomni SNS treasury remains vulnerable to potential attacks, including the risk of a significant assault aimed at seizing control of the treasury. In one conceivable scenario, an aggressor could purchase a substantial share of BITO tokens during the decentralization sale and promptly maximize the dissolve delay of their neurons to the maximum dissolve delay of one year, aiming to secure more than 50% of the SNS voting power. If they succeed, they could enact a proposal to misappropriate the ICP and BITO treasury. However, the Neurons’ Fund significantly counteracts this threat by capping any single participant's maximum voting power.
Illustrative of this, consider a hypothetical where an attacker acquires 80% of the tokens offered during the decentralization sale—a highly improbable scenario due to the broad distribution of the sale. Even if this attacker were to extend the dissolve delay of all their neurons to the maximum, they would still not amass sufficient voting power to assume control. Specifically, the diagram indicates that such an attacker would only achieve 49.46% of the voting power, which is insufficient to dominate the SNS.
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