According to the findings of Etherscan, the Ethereum blockchain was able to facilitate the transfer of a staggering one billion dollars for only seven dollars in gas fees.
This transaction, which was possibly one of the largest ones seen on the Ethereum blockchain, consisted of 74.5 million SNX tokens migrating to the new Reward Escrow V2 contract. This action is said to be required in order to enable escrowed SNX to be migrated to OVM L2, so this transfer was possibly one of the largest ones seen on the Ethereum blockchain.
In accordance with SIP-60 and the most recent Castor release, Synthetix has made an announcement confirming that the newly negotiated escrow contract is now active.
The protocol stated that “SNX stakers who have escrowed SNX will need to migrate to the new contract before they can claim staking rewards or vest any escrowed SNX.” [Citation needed] Before they can claim staking rewards or vest any escrowed SNX.
According to Synthetix, the current SNX RewardEscrow contract has the restriction that it will only let the FeePool escrow SNX rewards that come from the inflationary supply. The protocol explained the constraints imposed by the active ‘RewardsEscrow’ contract in a document by stating, “It was not designed to be used as a general purpose escrow contract.” This was one of the examples given in the document.
The fact that the contract can only escrow SNX for a period of one year and that only FeePool has the authority to create escrow entries are two examples of these limitations.
The new ‘SythentixEscrow’ contract will make it possible to enable public escrowing as well as the addition of arbitrary escrow periods, which can range anywhere from three months to two years, for example.
In a blog post that was published yesterday, SNX Founder Kain Warwick outlined a number of potential challenges that users of SNX should be aware of as the platform transitions to Layer 2. He said,
“By implementing this change, we are attempting to strike a balance between minimising the risk to L1 and ensuring that the system remains consistent across both layers.”
In addition to this, Warwick emphasised the fact that,
“This conflict is fundamentally incompatible, so we have opted for initiating the transition with the absolute minimum risk to L1, and then adding functionality over the course of the next few months as we build confidence in Optimistic Ethereum.” [Citation needed] “This conflict is fundamentally incompatible, so we have opted for initiating the transition with the absolute minimum risk to L1.”