Hey everyone, Simon here.
*Disclaimer* This only affects less than 1% of our user base so you likely are not impacted by this if you held StormX tokens on Voyager, Binance, Upbit, or have completed the swap. Last year we held a token swap converting the STORM tokens to the current StormX (STMX) tokens and we’ve had a few inquiries from some of our users to turn the swap on as they had missed the original swap dates. If you want to read more about why we had a swap you can read more about it in our blog from 28th May, 2020. But here is the general idea 👇
“With the new StormX tokens and smart contract we were able to add staking and remove the “God mode” feature which allowed us to mint or destroy tokens in case of a hack or emergencies. This allowed us to further decentralize the project.”
The original swap period was designed to last for four months, however, to allow last-minute users who had missed the swap period we extended the swap for an extra month as a gesture of goodwill. We had worked with our exchange partners such as Binance, Bittrex, Upbit, Kyber, and also communicated the swap via our social channels and emails on a regular basis to ensure our users were able to swap. As a result, more than 95% of the entire token supply were swapped successfully. However, a small percentage of users had missed the swap date and have been asking for the swap to reopen.
StormX is a community-driven project, and we definitely want our users to feel satisfied and empowered to use their tokens via the StormX app to earn crypto cashback from our hundreds of retailers. Normally, turning on the swap wouldn’t be too difficult and would allow users who had missed the swap a chance to swap during a short window.
However, after the swap had closed, we noticed several suspicious activities which would make turning the swap back on slightly more problematic. By monitoring the blockchain activity on the old smart contract we had identified that bad actors were purchasing the old STORM tokens and spamming our social channels with hundreds of bot accounts to force a swap to reopen. They were likely doing this to take advantage of arbitrage between the two tokens and trying to abuse the system rather than using the tokens as intended within the StormX ecosystem.
As a result, we have come up with a solution to handle this issue: We are going to allow our StormX users and community members to decide on how the swap should be handled.
StormX users and community members will be able to weigh in on their opinions and vote on how the process should be handled. Governance for StormX has been planned for Q2 and we will use that opportunity to allow the first decision to be made regarding how the swap should be handled. There are questions that a governance vote can help answer, such as: “Should there be restrictions on who can swap?”, “should anyone that moved their token balance after the swap period ended not be eligible?”.
We are excited to launch this feature as it allows us to grant the power-users of the application the ability to not only benefit from StormX, but make impactful decisions as to how StormX evolves going forward.
Users will also be able to vote on other matters such as:
- Changing the number of tokens required to hold membership levels
- Staking rates increases/decreases
- Which cryptocurrencies to add as reward methods
- Bonus amounts for certain stores
Plus, many more.
As someone who has been passionately building in blockchain for more than half a decade, I am personally most excited to allow our most active users to live our ethos of decentralization and help make product decisions rather than having decision making fully centralized. Decentralization is the future and we’re excited to bring this to you all.
Q2 is rapidly approaching, and we look forward to launching governance as well as reopening the swap effectively with your help.
Thank you for helping build StormX into a great community and we look forward to the future with you all.
CEO & Co-Founder