Snowdog DAO
Snowdog DAO was created by the same anonymous team behind Snowbank DAO, both of which are Avalanche-based forks of Olympus DAO. Snowdog was created with a seemingly fresh twist on the Olympus fork, it would use all treasury assets (sans the MIM liquidity) to execute a buyback of the protocol's token $SDOG.
History
Snowdog DAO was announced over the protocol's Twitter on November 14th, 2021.[1] The project was created as a memecoin sidekick to Snowbank DAO.[2]
Timeline
The $SDOG token was officially available to trade on November 17th.[3]
On the end of the minting period on November 22nd, Snowdog DAO converted their treasury and had $44,363,794 in MIM to buyback $SDOG with.[4]
Snowdog announced the pause of staking rewards on November 25th.[5]
The infamous buyback occurred on November 25th, around 9:00PM UTC.
Buyback and outcome
It was announced that the buyback would occur on Snowdog's own DEX Snowswap which was password protected. The publicly announced reason for this was to combat bots.
Prior to the buyback, $SDOG price had already increased in anticipation of the buyback. Pre-buyback prices were roughly $1,200 per $SDOG. After the buyback occured on Snowswap, the price reached $54,000 per token.
Two whales were able to frontrun everyone which led to an immediate decline in price.[6] One was able to sell 187 $SDOG for $10,380,264.65.[7]
According to Snowbank's now-deleted Medium post, users were required to be part of the first 7% of sells to at least breakeven.
Twitter criticism
Many crypto twitter users accused Snowdog's own developers of frontrunning the password requirement and causing the selloff, with some calling it a rugpull.[8][9][10]
Governance
After the consensus-failure that was the buyback, Snowdog began allowing the community to vote on proposals. Snowdog also seemingly severed ties with Snowbank DAO completely.[11] On December 5th, the first proposal to form the new Snowdog DAO passed by 94.02% vote.[12] The second proposal, SDIP-002, was amended and revised to SDIP-003. This proposal pertains to recovering investor funds, mostly through issuing another token called SD2. SDIP-003 also passed with 71.84% of the vote.
Present day
Since this proposal, Snowdog's website no longer functions. There have been no new Medium articles. The Twitter has not mentioned a new SD2 token or provided a timeline.
References
- ↑ https://twitter.com/SnowdogDAO/status/1460000864165376016
- ↑ https://twitter.com/SnowbankDAO/status/1464008222822522884
- ↑ https://twitter.com/SnowdogDAO/status/1461070699045470213
- ↑ https://twitter.com/SnowdogDAO/status/1463619923754856454
- ↑ https://twitter.com/SnowdogDAO/status/1463902089533399044
- ↑ https://chaindebrief.com/snowdog-avalanche-rugpull/
- ↑ https://snowtrace.io/tx/0x9207a13689617db6f4f88b3f512f2c7dbcfa87205a410556932f2d383cb38277
- ↑ https://twitter.com/DastardlyDaniel/status/1464001114181971975?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1464019169473667079%7Ctwgr%5E%7Ctwcon%5Es2_&ref_url=https%3A%2F%2Fchaindebrief.com%2Fsnowdog-avalanche-rugpull%2F
- ↑ https://twitter.com/artoriamaster/status/1463997950498123780
- ↑ https://twitter.com/LukeWalken/status/1464003272818270213
- ↑ https://snowdogdao.medium.com/on-the-path-to-recovery-snowdog-daos-first-proposal-8c8e70d34fc1
- ↑ https://snapshot.org/#/sdogdao.xyz/proposal/0xa66f3da17b4c0c1bd343e72e7baf75568124018f653a556ddf73d959165a91ca