1. Summary:
This RFC proposes to wind down the legacy ARK set across the Lazy Summer Fleets (except for the exploited USDC LR/HR Vaults on Ethereum). For each affected Fleet we would remove the old ARKs that are already at deposit cap 0, unpause the Fleet so depositors can withdraw, and set the tip rate to 0. It is intended as a housekeeping / consolidation step; it does not migrate user funds or introduce new strategies. If the community is supportive, it would be promoted to a batch of SIPs (one vote per Fleet) under SIP2.59.X (ba-risk-managed) and SIP7.3.X (dao-risk-managed).
2. Context & Motivation:
The Fleets have accumulated a large number of legacy ARKs from earlier configuration. Many have already had their deposit caps set to 0, but remain registered on their FleetCommanders and are still counted in NAV precisely the state the exploit abused. While the two affected Mainnet USDC vaults are being remediated through their own separate votes (SIP1.7 & SIP1.8), the remaining Fleets still carry these dormant zero-cap Arks. All Vaults were paused protocol-wide as a precaution after the incident, and the post-mortem notes that removing old, unused Arks is likely a precondition for safely unpausing them.
Cleaning these up:
- Restores withdrawals. Unpausing the affected Fleets re-enables withdrawals for depositors.
- Simplifies the Fleets. Removing dormant zero-cap ARKs reduces surface area and keeps each Fleet’s registered strategy set current.
- Is low-risk. Only ARKs already at cap 0 are in scope, so no new deposit exposure is created and no funds are moved beyond making them withdrawable.
An important constraint shapes the scope: an ARK’s cap cannot be set to 0 while it is paused, so paused / non-zero ARKs cannot be bundled into this round. This RFC therefore covers only the ARKs already at cap 0; any remaining ARKs would be handled in a later round if the community wishes to continue.
3. Proposal:
Retire the legacy zero-cap ARKs across the Fleets below, unpausing each Fleet (where paused) and zeroing its tip rate.
Per-Fleet onchain actions: unpause() (where paused) → removeArk() for each legacy ARK → setTipRate(0). Proposals originate on the Base governor and relay via LayerZero to each destination-chain timelock (Base Fleets execute directly).
Scope for ba-risk-managed (→ SIP2.59.X):
| Fleet | Network | ARKs removed |
|---|---|---|
| LazyVault_HigherRisk_WETH | Mainnet | 17 |
| LazyVault_LowerRisk_USDT | Mainnet | 11 |
| LazyVault_LowerRisk_WETH | Mainnet | 10 |
| LazyVault_LowerRisk_USDC | Base | 15 |
| LazyVault_LowerRisk_WETH | Base | 10 |
| LazyVault_LowerRisk_EURC | Base | 5 |
| LazyVault_LowerRisk_USDC_2 | Arbitrum | 10 |
| LazyVault_LowerRisk_USDT | Arbitrum | 6 |
| LazyVault_LowerRisk_USDCe | Sonic | 7 |
| LazyVault_LowerRisk_USDC | HyperEVM | 4 (not paused — no unpause) |
| LazyVault_LowerRisk_USDT | HyperEVM | 6 (not paused — no unpause) |
Scope for dao-risk-managed (→ SIP7.3.X):
| Fleet | Network | ARKs removed |
|---|---|---|
| DAO_LazyVault_USDC_1 | Mainnet | 10 |
| DAO_LazyVault_WETH_1 | Mainnet | 5 |
That is 13 Fleets / ~116 ARKs in total. Each Fleet would be its own Tally vote, following per-Fleet SIPX.Y.Z convention.
4. Open Questions:
- Continuation: Do @Recognized_Delegates want to continue into a second round for the paused / non-zero ARKs after this batch, or stop at the zero-cap set?
- Exclusions: Should any listed Fleet be held back (e.g. kept paused) pending separate discussion?
5. Next Steps:
- Gather community feedback and delegate input.
- @BlockAnalitica to confirm all listed ARKs are at cap 0 and sign off the risk framing.
- Iterate on scope based on discussion.
- Promote to SIPs SIP2.59.1 – 11 (ba-managed) and SIP7.3.1 – 2 (dao-managed) — with per-Fleet specifications.
Tagging @Recognized_Delegates for you input.
–jensei