[RECAP] SUMR Transferability Community Call #1

Governance Governance Calls
1

Thanks to all who joined our first SUMR Transferability Community Call! It was a great session bringing together contributors, delegates, and community members to align on what’s next as we move toward SUMR token transferability and the Governance V2 upgrade.

Below is a summary of the key discussions and takeaways for those who couldn’t make it :backhand_index_pointing_down:

X/Twitter Threads:

  1. https://x.com/summerfinance_/status/1979153220132876767,
  2. https://x.com/summerfinance_/status/1979185266242789384

Recording: https://www.youtube.com/watch?v=ChTvNRQuQEs&t=2s

1. Governance V2 & SUMR Lock Mechanism

@halaprix walked us through the upcoming Governance V2 architecture, which turns SUMR from a passive governance token into a more active and conviction-based participation system.

There will be four main new contracts introduced:

  1. SUMR Governor: the upgraded governance contract (no more decay mechanics).
  2. TimeLock: unchanged from v1; holds all protocol funds and executes governance decisions.
  3. xSUMR (or sSUMR): a new governance token representing staked SUMR.
  • You lock SUMR to mint xSUMR, which grants voting power.
  • xSUMR can be minted/burned by staking or vesting contracts with special privileges.
  1. SUMR Deposit Module: where SUMR holders can deposit and lock their tokens to earn:
    • Increased Governance Weight (via time-based multipliers).
    • Distribution of Protocol Rewards (in stable assets), not just SUMR inflation.

Locking durations range from no lock (1x multiplier) to 3 years (~7x multiplier).
Withdrawal penalties decrease linearly over the lock period (max 20% → 0% once lock ends).
You can also split your assets into multiple positions to create your own locking strategy.

In short: Governance V2 rewards conviction, both through yield and governance power.

2. Why This Matters

We discussed how SUMR lock makes the token more than tradable governance:

  • For holders, it’s a chance to earn both SUMR and stablecoin yields while amplifying influence in protocol decisions.
  • For the protocol, it strengthens long-term alignment and creates a sustainable governance foundation, similar in spirit to how Maker’s Sky Protocol unlocks protocol-level rewards distribution.

As said on the call: It’s the full package, sustainable yield, conviction-based governance, and a stronger, more aligned DAO.

3. Audit Status & Readiness

The Governance V2 contracts were undergoing a Sherlock audit.

  • Contest period: Completed October 7.
  • Judging period: Concludes October 21.
  • Escalation phase: ~2 weeks after.
  • So far: No critical, high, or medium findings**, only low/info issues.

This puts the Lazy Summer Protocol in a good position to move toward deployment shortly after audit completion.

4. Liquidity Program & Transferability Prep

The DAO is preparing initial liquidity pools for transferability, likely:

  • SUMR–ETH
  • SUMR–USDC

These will be supported by dual incentives (SUMR + stable assets) to ensure smooth price discovery and trading.

Early LPs will receive boosted rewards for committing liquidity longer-term, reinforcing aligned participation from day one.

As @samehueasyou highlighted, this phase is about intentional launch, not chaos. Having pools seeded, incentives active, and participants ready will help SUMR enter the market smoothly and credibly.

5. Marketing Fund & Communications

@samehueasyou, also introduced the idea of a DAO Marketing Fund, a flexible, community-decided initiative to amplify the upcoming milestones:

  • Transferability
  • Governance V2
  • SUMR Lock

The discussion explored different “sizes” (small → supersized) depending on community appetite and risk/reward. The focus will be on clarity and awareness, not hype, emphasizing the real utility of SUMR and Lazy Summer Protocol’s unique yield model.

6. Next Steps & Timeline

Here’s what’s ahead before transferability can go live:

  1. Finalize Sherlock audit: (and fix any findings).
  2. Parameter freeze & verification: for Governance V2.
  3. Governance proposals: to confirm onchain migration settings.
  4. Vault ownership verification: for vesting wallets → ensure correct voting power migration.
  5. Treasury allocation vote: for initial liquidity incentives.
    • Treasury currently holds ~$185k and ~167M SUMR (and growing every month).
  6. Transferability vote: the final governance step to enable SUMR transfers.

7. Closing Thoughts

As I put it during the call:

Every day we are moving one step closer to SUMR transferability, Lazy Summer Protocol entering a new chapter, powered by all of us. Let’s hit the button and go forward.

Keep an eye out on the updates and announcement of the next governance call!

1 Like