CIP-26: Solver bond funds switch
title: Solver bond funds switch
The CoW DAO owns and operates a solver bond (as per CIP-7: Allowing External Solvers and CIP-15: Reimbursement of Solver Bond & Transfer of ownership) which acts as a guarantee in the case of misbehavior by solvers that are part of the pool.
This CIP proposes a change to the funds part of the bond. The current solver bond funds have been KYC’ed and they originate from CoW DAO’s KYCed daughter Safe. The currently bonded USDC 500.000 shall be transferred back and swapped with USDC 500.000 in non-KYC’ed funds currently under active treasury management.
Following CIP-7 - Allowing External Solvers, a bonding pool was created to insure the Protocol against malicious solvers while at the same time fostering decentralisation.
CoW DAO itself owns and provides one of the active bonds — reducing the barrier of entry.
500.000 USDC of the funds allocated to this bond were taken from CoW DAO’s KYC’ed daughter Safe. The KYC’ed funds were purposefully set aside by CoW DAO for the service provision of the development of the CoW Suite.
With this purpose in mind, this CIP proposes a transfer of 500.000 USDC from one of the CoW DAO Treasury Safes to the CoW DAO-owned solver bond address first. As a second step, the current 500.000 USD part of the solver bond would be transferred back to the same CoW DAO Treasury Safe and will be actively managed by the Treasury Team.