Vote to Support Status Network with the Status Community Fund
Status Network is approaching its most important moments yet.
After the Status community approved the mandate to build SNT staking and the Status L2 in 2024, development has moved steadily towards creating a groundbreaking new L2 blockchain and getting the SNT staking contract created and audited.
This is the story behind Status Network: a gasless, private, and yield-powered Layer 2 that replaces gas fees with a zero-knowledge reputation system, integrates a modular privacy layer that supports everyday apps, and shares organic L2 yield with users, developers and liquidity providers.
With the mainnet launch of Status Network now on the horizon, the next step is to unlock a portion of the Status Community Fund to seed the initial liquidity on the network and supercharge the utility of SNT and the broader Status ecosystem.
As described in the original Status whitepaper, the Status Community Fund comprises 29% of all SNT minted, which is held in a multisig wallet specifically for the purpose of fostering the growth and adoption of the network.
The last community vote, the one that led to the decision to build SNT staking and the Status L2, provided a mandate to build these features, but did not extend to activating funds for their development.
In the same spirit of transparency and decentralised governance, we will host a new community vote to activate a defined and limited portion of the tokens held in the Status Community Fund.
This new community vote proposes activating a portion of these tokens specifically for the launch of Status Network and migrating all remaining Community Fund tokens to a new, secure multisig that will remain transparent and under community control.
We have submitted a proposal to activate up to 700 million SNT from the Community Fund.
This will be bridged to the L2 and form the early liquidity for the first wave of users and builders. It also allows us to meet exchange and infrastructure requirements tied to SNT liquidity during launch.
The purpose of this activation is defined and limited. The unlocked SNT will be used to:
- Bridge SNT into the L2 through the pre-deposit vaults
- Support early user participation with SNT-denominated rewards
- Seed initial liquidity for the native DEX and lending markets
- Incentivise early builders, apps, and protocols to launch on the network
- Meet liquidity requirements for exchange integrations and partners
This is a strictly limited activation of a portion of Community Fund tokens (700M SNT) for explicitly defined activities to support the launch of Status Network. It is not a general release of Community Fund tokens.
To provide further clarity on the planned deployment of the activated SNT, we have supplied a breakdown below. Please note that this is not part of the vote and is provided for informational purposes only.
- Around 300M SNT will be deposited into the SNT pre-deposit vault shortly after it opens. This SNT allocation is separate from other vault reward pools and does not affect any future reward structures for other assets.
- Around 150M SNT will be pre-deposited in early Q1 2026 under the same conditions.
- Up to 25M SN=655665757=T will be reserved for liquid rewards on the L2, depending on traction and TVL.
- The remaining amount will be prepared for liquidity seeding when the L2 mainnet goes live.
Once the 700M SNT is unlocked, all remaining Community Fund tokens will be moved to a new multisig wallet with upgraded custody and clearer governance controls.
Future actions involving the Community Fund will still require community approval, as always. The same governance protections will apply, and no tokens will move without community visibility and engagement.
Activating the Community Fund now unlocks SNT liquidity, supports early activity, and lays the groundwork for SNT listings. It also upgrades the security and governance framework around the Community Fund itself.
The proposal is currently live and hosted on the Snapshot governance portal.
SNT holders can either vote YES or NO on this proposal:
- YES: Unlock 700M SNT for launch liquidity and approve the migration of the remaining Community Fund balance to a new secure multisig.
- NO: Keep all Community Fund tokens inactive for now.
To have your say on this proposal, simply visit the Snapshot page, connect the Ethereum wallet that holds your SNT balance, and place your vote!
This vote is the final governance step before Status Network moves from testnet to mainnet. Your support will help deliver a strong, credible, and community-owned L2 launch.
Stay tuned for exciting updates on Status and Status Network in the coming months. Follow us on X or join our Community in the Status app to get the latest updates!