Introduction
Greetings, everyone! It’s been quite a journey for Pegasys throughout 2023. We’ve achieved incredible milestones and have even more exciting updates on the horizon.
One of our notable accomplishments this year has been the development of a new User Interface (UI). We’ve dedicated significant resources to creating a much more user-friendly experience, presenting information in a clear, concise, and visually engaging manner. We trust this will allow both newcomers and seasoned DeFi enthusiasts to navigate our platform with ease and confidence.
We’ve also been hard at work developing PegasysV3, our latest version of the Automated Market Maker (AMM) that capitalizes on the innovative concept of concentrated liquidity. We’re excited about the upcoming release and look forward to sharing more details soon.
Furthermore, we have forged some strong partnerships that will be announced in the near future. These partnerships align closely with the new vision we are constructing for Pegasys, aiming to enhance our ecosystem and expand the possibilities for our users.
Vision for Scalability: Rollux
As you may know, the Syscoin Foundation, and now Syslabs, have been passionately working on a solution to address the scalability limitation of the NEVM. Their vision is embodied in Rollux, an official optimistic rollup solution. Rollux promises scalability without compromising on decentralization or security, a balance that has been a perennial challenge in blockchain ecosystems.
With Rollux’s imminent launch, an important discussion arises: Which layer should we maintain for on-chain governance?
Governance: Layer 1 or Layer 2?
Rollux, as the official hub for decentralized applications (dApps) within the Syscoin Ecosystem, is where Pegasys will concentrate most protocol efforts. However, it’s worth noting that the PSYS token genesis event occurred on Syscoin Layer 1, and we plan to continue conducting voting on this layer.
Our reasoning is grounded in the Syscoin vision: Layer 2 is intended for product scalability, whereas Layer 1 provides robust security and settlement mechanisms. Keeping governance on Layer 1, albeit less accessible, aligns more closely with the original Pegasys governance guidelines and caters to Syscoin’s modular design.
Prioritizing Layer 1 for governance is a strategic decision. While this may present certain accessibility challenges, it ensures the utmost level of security and settlement standards for the governance process. These are foundational principles for the Syscoin ecosystem, and we believe this approach will serve the best interests of our users and stakeholders in the long run.
Enhancing Accessibility
Although we understand that bridging PSYS tokens back and forth from Layer 2 may not be the most user-friendly experience, we are committed to improving this aspect. Our long-term vision is to make governance as accessible as possible, and we are actively researching and developing mechanisms to make this process smoother and more intuitive.
Exploring Cross-Layer Solutions
One potential solution could be leveraging the cross-layer messaging system that Rollux inherited from Bedrock. This approach could also lay the groundwork for possible Level 3 (L3) governance in the future, further extending the capabilities and reach of our platform.
Synthetic Assets for Governance
Another interesting possibility involves the creation of synthetic assets on Layer 1. These assets could represent governance power originating from Layer 2, providing a viable method for integrating the two layers in a more seamless manner.
Rationale for Layer 1 Governance
As we contemplate these ideas, we continue to believe that maintaining governance on Layer 1 is the right approach. Moving governance to Layer 2 prematurely could lead to unforeseen challenges. Instead, our goal is to gradually bring governance closer to Layer 2 in a measured and calculated manner. We are confident that PegasysV3, with its enhanced incentives on Layer 2, will play a pivotal role in this process.
Seeking Community Input
These thoughts and considerations come from our dedicated Core Maintainers team. However, Pegasys is a community-driven project, and we value your input immensely. We would be delighted to hear your perspectives on these matters and are more than willing to entertain new ideas.
Engaging in meaningful dialogues with our community is at the heart of our project. So please, feel free to share your thoughts, suggestions, and concerns. We’re all ears!
Whether you’re a developer, an end-user, a cryptocurrency enthusiast, or simply someone interested in the decentralized space, your contributions are invaluable. There are numerous ways to participate, each as important as the other.
We also encourage our community members to submit proposals for improvements and new features. Pegasys is a dynamic and ever-evolving platform, and many of our best developments have originated from ideas within our community. If you’ve identified potential areas of improvement or have ideas for new features, we’d love to hear from you.
Remember, everyone has something unique to bring to the table, and no contribution is too small. Let’s continue to shape the future of Pegasys together!
A Bright Future Ahead
As we continue to move forward, we are excited about what the future holds for Pegasys. There will be lots of thrilling news, insightful discussions, and impactful proposals to look forward to here in our Discourse forum. We’re eager to embark on this journey together, shaping the future of decentralized finance in a collective, inclusive, and forward-thinking manner.
