#32 LKSM Runtime Upgrade (Lifting staking cap, instant redeem options, improved unstaking period)

Karura Proposal
#1

Summary

This runtime upgrade consists of major improvements and breaking changes for the Liquid Staking protocol as follows

  • LKSM staking cap is now lifted with sub-account implementation
  • Minting fee and redeem fee are replaced by a uniform commission (1%) contributing to the Karura Treasury
  • Unstake normally will take maximum of 7 Days and 6 hours and no more. The predictability is expected to help asset planning for users.
  • Unstake instantly now can choose to use a redemption pool (with a fee at 1%) in combination with using Karura Swap to redeem KSM back instantly. This is expected to reduce costs and improve efficiency of redemption.

Upgrade Process

  1. On January 4, stake and unstake operations will be disabled temporarily to ensure data integrity etc. A referendums will then be created for runtime upgrade.
  2. On January 4, after #1 is done, the first runtime upgrade will be completed, subsequently the new liquid staking module will be configured with related parameters.
  3. On January 5, a second runtime upgrade will be executed to remove the old and deprecated module code.
  4. after #3 is completed, LKSM’s stake & unstake operations will be resumed.

Referendum

Details will be posted here

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