Hi all , I have shared my thoughts regarding transferability in our discord channel but thought I’d post it here as well . Why I think its important to do it soon :
- Market Discovery and Liquidity,Until SUMR is tradeable, it has no price discovery—users can’t know its market value. Once listed, liquidity pools (e.g., on Aerodrome, Uniswap) will set a real-time price, letting users value rewards, governance power, and their positions.
- User Confidence and Engagement,users earning SUMR through staking, vaults, or Sonic vaults are holding an illiquid asset. If too much time passes without liquidity users may lose interest or move capital elsewhere. It creates uncertainty over the real value of points or rewards.
- Protocol Legitimacy and Governance Activation,SUMR is a governance token—but without liquidity or tradability, its utility is frozen. Transferability unlocks: Community voting DAO decision-making (e.g., emissions, parameters) Full transition into decentralized control
- Network Effects and Composability,Other protocols (e.g., lending markets, yield optimizers) can’t integrate SUMR unless it’s liquid and price-aware. Listing enables: SUMR-backed loans LP staking strategies Inclusion in DeFi indexes or derivatives
- Defensive Timing (Preventing Dump Risk),The longer SUMR remains untradeable, the more backlog of potential sellers accumulates. A gradual unlock strategy, paired with early tradability, helps: Smooth out selling pressure Foster early market makers Encourage long-term holders to participate in governance
just my two cents