The infrastructure to infinitely scale Ethereum: build customized, programmable, decentralized rollups and sequencers. A community-owned internet starts here.
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Joined August 2020
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Syndicate Labs is winding down.
After five years building onchain developer infrastructure, the rollup market has fundamentally shifted, making this decision necessary.
Here's what this means for the network, token holders, and developers building with Syndicate.
A few clarifications worth making directly. The decision to wind down was not influenced by the recent bridge compromise, and the two are unrelated.
The affected customer and all SYND holders on Commons Chain have been made whole. Reimbursement was funded by treasury reserves set aside for this kind of scenario, and is not the reason for the wind down.
We've spent half a decade seeking to make this ecosystem successful. We sincerely wish that we had a different outcome, and have dedicated ourselves for years to helping onchain applications succeed.
We wish as much as everyone else that a different result were possible.
Syndicate has always focused on giving developers the customization and control to bring any app onchain, at scale.
Unfortunately, the rollup market has shrunk dramatically. For every new rollup spinning up, several more are quietly shutting down.
Not every part of a system needs to be onchain. The trust boundaries that need to be verifiable do, and Stylus by @Arbitrum made that practical for SyndDB.
An update on the Syndicate bridge compromise: All impacted SYND holders on Commons Chain have been reimbursed in full plus an additional 15% of the total amount lost.
These reimbursements have been sent directly to affected wallets on Base, with gas covered by Syndicate Labs. There is no claim portal and you do not need to take action to receive your reimbursement. (It is already transferred)
This entire reimbursement totals to 12,901,167.031748179832163173 SYND
The reimbursement proof can be viewed at this contract address: basescan.org/address/0x5AcaA…
Additionally, as part of the response to the Syndicate bridge compromise, Syndicate Labs has also opted to burn an equal amount of SYND (the total reimbursed amount) from its treasury allocation to offset any long term impact on the circulating supply.
This entire burn totals to 12,901,167.031748179832163173 SYND. This is identical to the reimbursement amount.
The burn proof can be viewed at this transaction hash: etherscan.io/tx/0xa58da82a98…
100% of affected holders and customers are now made whole after our bridge compromise. With this reimbursement, all impacted SYND holders have been made whole. One week ago, all impacted customers were made whole.
Syndicate Labs chose not to reimburse its own affected holdings, reducing the required reimbursement by ~5.5M SYND.
Syndicate Labs has used its own treasury to facilitate recovery for all parties. Our treasury management practices have always planned for these worst case scenarios, allowing us to use our funds to help everyone recover their tokens.
All affected SYND holders have come away from this incident with more tokens than they started with, and there has been no increase to total supply because of the token burn that Syndicate Labs volunteered from its treasury.
We have validated all holder and staker balances on Commons. We are importing them into our tool to send these balances to the corresponding addresses on Base. Before sending, we will perform further validation and simulations.
We will have updates soon as this work continues
An update on the Syndicate bridge compromise: Making users and customers whole is progressing quickly.
The affected customer has been made whole.
Making SYND holders on Commons whole is underway. Pre-compromise SYND balances on Commons have been snapshotted. We are double-checking these scripts prior to initiating transfers on Base.
Our intention is that customers and users will be made whole 1:1 (or better) based on the original tokens taken. This is already complete for the affected customer. We will share updates for Commons SYND holders soon on the recovery details and bonuses.
An update on the Syndicate bridge compromise: Making users and customers whole is progressing quickly.
The affected customer has been made whole.
Making SYND holders on Commons whole is underway. Pre-compromise SYND balances on Commons have been snapshotted. We are double-checking these scripts prior to initiating transfers on Base.
Our intention is that customers and users will be made whole 1:1 (or better) based on the original tokens taken. This is already complete for the affected customer. We will share updates for Commons SYND holders soon on the recovery details and bonuses.