Harmony Recovery: Round 10
Summary of Funding Round 10
July 2023 marked the tenth round of the Harmony Blockchain Recovery process, as well as the one-year anniversary of the Horizon Bridge hack. This round once again served as a vital step towards restoring the integrity of the Harmony Blockchain. The Harmony Treasury distributed funds to Modulo, Tranquil Finance, and Recovery One (R1), focusing their efforts on the elimination of depegged 1Assets.
In Round 10, all three burn partners — Modulo, Tranquil Finance, and Recovery One — participated efficiently. A total of $100,000 was allocated among these burn partners, with the round commencing on July 12, 2023.
In this round, the total value of the burned 1Assets amounted to $1,253,123. This marks continued progress since the Horizon Bridge hack. Below, we provide a detailed review of the contributions made by each burn partner.
Modulo: In this funding round, received $40,000 and successfully burned $495,353 worth of depegged 1Assets. Recently, Modulo introduced a new mechanism for burning tranquil assets (tqOne), which can be accessed via their portal at http://burner-tq.modulo.so/. Harmony Treasure allocated $20,000 to this mechanism. Thus far, Modulo has shown remarkable results in redemption ratios, having burned a total sum of $5,253,435.
Tranquil Finance: After receiving $20,000, Tranquil Finance successfully burned $297,170 1USDC. Their strategic market buy-and-burn approach, supplemented by other innovative tactics, led to this achievement. Tranquil Finance’s cumulative contribution to the recovery process now stands at an estimated $3,157,283.
Recovery One (R1): Staying true to its successful recovery strategy, R1 eliminated $460,600.88 worth of depegged 1Assets via Recovery.Exchange. (View: Historic Burn Data). On June 18, the team posted a new ARC proposal and plans to proceed with a new AAVE recovery proposal, which can be viewed in detail here. This is the second AAVE ARC plan following Tobes in October ’22. The team will adhere to AAVE’s proposal process as outlined on the Harmony talk forum. The next steps include ARC feedback, snapshot vote, adjustments, voting, and execution. R1 looks forward to working with the Emission DAO on this initiative. The team also announced the launch of the Fall 2023 Ambassador Program, aimed at enhancing community engagement, expanding awareness, and providing support for the ongoing recovery of depegged 1Assets. R1 has utilized the service fee to fund continuous Recovery Exchange operations, enhancements, and general communication management among recovery partners, Harmony, users, and the recovery process. To date, R1 has effectively eliminated 1Assets valued at approximately $4,373,279.
By the end of Round 10 in July 2023, the Harmony Treasury had distributed an estimated total of $1,250,000, with $120,000 directed to Tranquil’s “bad debt” and $20,000 to Modulo tqOne burn mechanism, across ten rounds to its three burn partners. Approximately $12,783,997 worth of 1Assets has been successfully eliminated, demonstrating the effectiveness and adaptability of the burn partners’ strategies.
The Harmony Blockchain Recovery process remains proactive in addressing the aftermath of the Horizon Bridge hack. The Harmony core team continues to refine the network, strengthen its vision and expand partnerships, while the burn partners keep refining their mechanisms based on community feedback. The involvement and insights of the Harmony community are crucial to these ongoing recovery efforts.
For summaries of past rounds visit: Recovery One | Medium.
— — — —
In the coming days, Hound Validator plans to share an update on the progress of the burning validators from Round 10, including Burning Validator, EasyNode, Repegging Node, Tracker, and Recovery Validator.
