LIP-0003: Firn Protocol Investment


What is LunarDAO

LunarDAO is a decentralised anonymous organisation. A lunarpunk squad allocating wealth to support novel, privacy technologies.

The privacy projects gain the support of a mission-driven, anonymous and engaged community who have vested interest in making these projects succeed. By doing so, LunarDAO builds a portfolio of privacy assets.

As the value created by the squad investment is conserved in the ecosystem, all parties benefit from these during the upcoming lunarpunk cycle.


Why Firn Protocol

Our research team looked into a possibility to fork Aztec's zk.money. This option seemed too risky in terms of maintenance costs given the reasons behind closing the service in the first place. LunarDAO accepts funds from Tornado Cash (TC) and we support the project and the developing team. However given the situation for US citizens, the recent attack against TC DAO and the overall situation of Ethereum, we firmly believe another solution is needed. Firn Protocol has built an account based solution for anonymizing transactions on Ethereum. After several weeks of discussions (links below), interviews and research, it's up to the LunarDAO Squad (the voting members) to decide whether to invest in Firn or not.

Firn is a state-of-the-art, zero-knowledge privacy utility for Ethereum and EVM-based rollups. Firn not only supports private payments, but also the private invocation of arbitrary smart contracts. Firn moreover allows deposits and withdrawals of arbitrary amounts of Ether, as well as private, peer-to-peer payments where both the identities of the sender and receiver, as well as the amount being transferred are all effectively concealed. In this light, Firn can be viewed as something like a general-purpose private wallet for EVM-based blockchains.

Source Firn Protocol developer @Grav's forum post

Summary of LIP-0003

Summary written by Firn Protocol anon developers stated in the investment proposal LIP-0003

Firn Protocol is offering LunarDAO an investment opportunity in the form of an OTC sale. The proposed investment is in the amount of $45,000(USD) worth of ETH in exchange for $67,500(USD) worth of FIRN Token. The investment will be brokered by a custom-designed smart contract, authored by the creators of Firn Protocol for the express purposes of this deal. If the proposal is accepted, the purchased FIRN Token will be locked into the escrow contract for exactly one year. During this lock period, the tokens will nonetheless accrue fees; these fees will be disbursed directly to the control of the LunarDAO treasury. LunarDAO and Firn Protocol will work closely to grow the value and reach of both parties.

Firn team will use the funds to get the protocol audited. As stated in the governance any executed investment proposal includes 0.5% management fee for LunarDAO Stewards. For an exact calculation of the proposal, please read LIP-0003.

The vote is open from June 1st, 22:30 UTC for 72h. Read the proposal and the resources shared below carefully, DYOR and engage in the governance!

Links

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