⚡ Orca just merged. Its treasury is simultaneously voting to change hands
Solana’s five-year-old DEX Orca announced on October 7 that it is merging with fixed-rate lending protocol Loopscale. The new company is called Formation and is headquartered in New York. Loopscale co-founder Luke Truitt is CEO, fellow co-founder Mary Gooneratne is COO, and Christopher Montagano, who joined Orca in 2022, will oversee strategy and legal affairs.
The announcement gives these figures: since 2021, Orca has processed more than $550 billion in cumulative trading volume; Loopscale has facilitated more than $2 billion in loans, with deposits exceeding $150 million. No new token will be issued. ORCA and xORCA will be the only tokens in the merged network, while Loopscale points will be redeemable later this year. Users don’t need to migrate, sign anything, or do anything.
The same company has something else written on another page. Turn to the next page.
The proposal “Resourcing Orca for Its Next Phase,” posted to the governance forum on September 29, had already received unanimous endorsement from the governance committee on September 24. It changes three things. Stakers’ share of fees is cut from 40% to 10%; another 10% goes into a team-managed buyback account; the team’s operating allocation rises from 50% to 80%; and the 10% community-fee treasury allocation goes straight to zero. About 14.2 million ORCA—nearly 19% of the 75 million total supply and the largest single wallet on-chain—along with around 70,000 SOL, will be transferred to a team-controlled “strategic account,” to be used only for acquisitions. Then the governance committee will be dissolved, leaving tokenholders with just one power: voting to approve new token issuance.
At the current price of $2.28, those 14.2 million tokens are worth about $32.4 million.
Approval requires 3 million yes votes. No votes don’t count against it. Staked xORCA cannot vote, and unstaking has a seven-day cooldown. Someone on the forum called this “the illusion of democracy.”
The timeline is worth watching. Voting opened on October 5 and was originally scheduled to close on October 10. On October 8, in a forum update, the committee added the Loopscale merger under “The acquisition,” while announcing that the original vote was voided and the same proposal would reopen on October 11, close on the 16th, and then have a two-day cooldown period.
So now the target, treasury, and governance structure are all on the same ballot. The merger consideration hasn’t been disclosed. The two sides’ descriptions also don’t match: one says “merging,” while the other says “merger completed.”
The market had already priced in a premium once. ORCA rose from a September 29 close of $1.61 to a high of $3.32 on October 6. It doubled. On October 8, it gave back 18% in a single day. It’s now at $2.28, down 30% from its high.
Formation says it is already in talks with Figure, Shinhan Asset Management, Superstate, R3, and Securitize about listing assets, and plans to apply for a license to operate a tokenized securities venue under the SEC’s September 17 innovation exemption.
As I write this, four BTC price feeds put it between $83,253 and $83,377, up about 0.2% over 24 hours. ETH is at $2,542–$2,545, SOL at $110.8–$110.9. ORCA at $2.28.
The headline is about AI and defense capital markets. The part that actually changes tokenholders’ income is on the voting page. Check the vote count on October 16, then see what those 14.2 million ORCA ultimately buy back.
$ORCA $SOL $BTC
#中本聪国际社区Baoluo币商资本 #加密货币 #DeFi
Solana’s five-year-old DEX Orca announced on October 7 that it is merging with fixed-rate lending protocol Loopscale. The new company is called Formation and is headquartered in New York. Loopscale co-founder Luke Truitt is CEO, fellow co-founder Mary Gooneratne is COO, and Christopher Montagano, who joined Orca in 2022, will oversee strategy and legal affairs.
The announcement gives these figures: since 2021, Orca has processed more than $550 billion in cumulative trading volume; Loopscale has facilitated more than $2 billion in loans, with deposits exceeding $150 million. No new token will be issued. ORCA and xORCA will be the only tokens in the merged network, while Loopscale points will be redeemable later this year. Users don’t need to migrate, sign anything, or do anything.
The same company has something else written on another page. Turn to the next page.
The proposal “Resourcing Orca for Its Next Phase,” posted to the governance forum on September 29, had already received unanimous endorsement from the governance committee on September 24. It changes three things. Stakers’ share of fees is cut from 40% to 10%; another 10% goes into a team-managed buyback account; the team’s operating allocation rises from 50% to 80%; and the 10% community-fee treasury allocation goes straight to zero. About 14.2 million ORCA—nearly 19% of the 75 million total supply and the largest single wallet on-chain—along with around 70,000 SOL, will be transferred to a team-controlled “strategic account,” to be used only for acquisitions. Then the governance committee will be dissolved, leaving tokenholders with just one power: voting to approve new token issuance.
At the current price of $2.28, those 14.2 million tokens are worth about $32.4 million.
Approval requires 3 million yes votes. No votes don’t count against it. Staked xORCA cannot vote, and unstaking has a seven-day cooldown. Someone on the forum called this “the illusion of democracy.”
The timeline is worth watching. Voting opened on October 5 and was originally scheduled to close on October 10. On October 8, in a forum update, the committee added the Loopscale merger under “The acquisition,” while announcing that the original vote was voided and the same proposal would reopen on October 11, close on the 16th, and then have a two-day cooldown period.
So now the target, treasury, and governance structure are all on the same ballot. The merger consideration hasn’t been disclosed. The two sides’ descriptions also don’t match: one says “merging,” while the other says “merger completed.”
The market had already priced in a premium once. ORCA rose from a September 29 close of $1.61 to a high of $3.32 on October 6. It doubled. On October 8, it gave back 18% in a single day. It’s now at $2.28, down 30% from its high.
Formation says it is already in talks with Figure, Shinhan Asset Management, Superstate, R3, and Securitize about listing assets, and plans to apply for a license to operate a tokenized securities venue under the SEC’s September 17 innovation exemption.
As I write this, four BTC price feeds put it between $83,253 and $83,377, up about 0.2% over 24 hours. ETH is at $2,542–$2,545, SOL at $110.8–$110.9. ORCA at $2.28.
The headline is about AI and defense capital markets. The part that actually changes tokenholders’ income is on the voting page. Check the vote count on October 16, then see what those 14.2 million ORCA ultimately buy back.
$ORCA $SOL $BTC
#中本聪国际社区Baoluo币商资本 #加密货币 #DeFi