In the realm of decentralized finance (DeFi), governance and community engagement play pivotal roles in the success and sustainability of any protocol. Jupiter Exchange, with its innovative JUP token and governance model, exemplifies these principles. Currently, staked JUP tokens are subject to a 30-day lock period, which is integral for voting on governance proposals. While I fully support this lock period as a means to ensure stability and commitment among stakeholders, it raises valid concerns regarding wallet security and the overall user experience.
Problem Description
In an increasingly digital PvP world, the security of cryptocurrency wallets is paramount. Regularly updating and recycling wallets and private keys is a recommended practice to mitigate risks associated with hacking and unauthorized access. However, the current 30-day lock on staked JUP tokens can inadvertently deter users from engaging in this essential security practice. By locking their tokens, users may feel compelled to maintain a static wallet setup in order to not lose voting power, thus increasing their vulnerability over time. I believe that cadets should not have to choose between governance and security, and thus I bring this proposal to the community.
Proposal: Transferring Staked JUP Tokens
To address the security concerns associated with the current lock period while maintaining the integrity of our governance model, I propose a solution that allows for the transfer of staked JUP tokens to another wallet. This proposal envisions that when staked tokens are transferred, the receiving wallet will also inherit the staked status of the JUP tokens, thereby respecting the existing 30-day lock period.
This approach offers several advantages:
Enhanced Security: Users can periodically transfer their staked tokens to new wallets, allowing them to update their keys and reduce the risk of long-term exposure to potential threats. This practice aligns with recommended security protocols while preserving their ability to participate in governance.
Retention of Governance Rights: The proposed mechanism ensures that governance rights remain intact during the transfer process. The 30-day lock period remains applicable, thereby preserving the integrity of our voting system and preventing any potential manipulation of governance outcomes.
Final Thoughts
I urge my fellow Cadets to consider this proposal as a step towards a more secure and flexible framework that prioritizes both user safety and active engagement in our community.
I look forward to the community’s feedback and remain open to ideas that can help solve the core issue.
This seems to be a very good idea, I personally wouldn’t mind moving my tokens around for better security as I always like to have a burner wallet as I always like to connect initially with the burner just in case I get hacked. This way any token I have in the burner I can move to the new wallet and maintain the status quo.
I think for people doing JUP staking it would be good if they could get a loan so they don’t have to wait 30 days unstaking. It would be more complicated but would contribute less unstaking pressure.
It would be a function to transfer ownership to a different address. We currently do call functions to deposit, to start the unstaking process and withdrawals.
@Slorg@meow If you don’t mind, we would love to hear your thoughts on this one as I believe the team must’ve done the analysis to come up with the currently structure.
Additionally, your take around technical feasibility would be greatly appreciated as well. Thank you!
I would also love for this to happen. I have been trying to transition to cold storage and would like to be able to move my staked JUP to that wallet while still being able to vote.
However, there could be a potential issue with people voting and moving their staked JUP from wallet to wallet in an attempt to accrue more voting power. To address this, the staked JUP might need to be frozen or locked during voting periods.
While I would love for this feature to be implemented, I am not sure how worthwhile it would be for the team to do so. I am not knowledgeable enough to understand how easy or difficult it would be to implement this feature.
This is an interesting suggestion, but I think 30 days would be better.
If the wallet is stolen, the stake will also be transferred
Increased risk of theft
This idea addresses a real challenge for many users. I am not sure this would be the best approach, but it is definitely good to start talking about it, thanks OP for bringing this up to the community
Pretty Solid idea in my opinion. Didn’t even know this existed. More apt than my proposal. I would say we do this. Cos it would really go a long way to help us have a little more leverage over our tokens in case of a wallet compromise…
Also would be helpful for someone to easily onboard someone else into using jup for governance and Asr rewards. To further get a few people’s interest to the DAO.
I’ve encountered this issue several times this year. We really need a better way of transferring $JUP staking accounts than simply unstaking it which means voters can’t participate in ASR for 30 days.
