| SOV Price |

## Transparency in Action: Post-Mortem of the SIP-0043 Staking Contract Fix

Community Call #43 was a security-focused session providing a full, transparent post-mortem of a recently discovered vulnerability in the Sovryn staking contract. The team detailed the bug, the rapid response that led to the emergency **SIP-0043**, and the security measures that prevented any loss of funds.

### The Vulnerability

The vulnerability was discovered by a security researcher through Sovryn’s bug bounty program with Immunefi. It was a flaw in the staking contract’s logic that could have allowed an attacker to manipulate their voting power, potentially gaining enough influence to pass a malicious governance proposal. It’s important to note that this bug **did not put any user funds at direct risk**.

### The Coordinated Response

Upon receiving the private disclosure, the team initiated a coordinated response:

1. **Verification and Patch:** The development team immediately worked to verify the vulnerability and develop a patch.
2. **Emergency Pause:** A previously implemented security feature allowed the Guardian multisig to pause certain functions of the staking contract, immediately neutralizing the threat.
3. **Emergency SIP:** Because a smart contract code change was required, an emergency governance proposal, **SIP-0043**, was fast-tracked. The SIP was put to a vote with a clear explanation of the need for the urgent fix.
4. **Community Vote and Execution:** The Sovryn community responded quickly, passing the SIP with overwhelming support. The patch was then deployed, permanently fixing the vulnerability.

### The Role of the Guardian

This incident also served as a real-world test of Sovryn’s governance safeguards. Even if an attacker had tried to exploit the bug to pass a malicious proposal, the **Guardian** multisig would have been able to veto the proposal, acting as a final line of defense. This demonstrates the importance of Sovryn’s multi-layered security model, which combines proactive bug bounties, technical failsafes, and robust governance processes.

The session was a powerful example of Sovryn’s commitment to transparency and security, turning a potential crisis into a demonstration of the protocol’s resilience and the effectiveness of its decentralized response procedures.