[PASSED] MIP-27: Clarification of $BIT to $MNT migration policy and service

This proposal is authored by Cateatpeanut.


$MNT is a product of the DAO-governed Mantle, and there is no guaranteed right of migration from $BIT to $MNT. FTX Group’s $BIT tokens should not automatically convert to $MNT due to various disqualifying factors.


By Voting “Yes”, you endorse the following terms:

  1. Pause the current on-chain migration smart contract.

  2. Implement a new $MNT migration smart contract or migration service that can restrict the automatic migratability of FTX Group’s $BIT tokens.

Note: the on-chain migration contract has been paused until the conclusion of this discussion and vote.


Agreed. The three-year no-sale commitment from BIP-4 should survive the bankruptcy of FTX Group.


I agree, FTX is bankrupt, the contract expires naturally, they cannot automatically migrate to MNT


Agreed, the failure of FTX should not be borne by all investors.


I believe this will be the first 100% agree proposal in Mantle


I disagree.

There is a massive asymmetry between actual risk and perceived risk about FTX because of misinformation. Let me explain:

  1. The FTX estate is incentivized for maximum creditor recovery and it inclues several big market makers and key players who will aggressively trade assets once FTX2.0 is launched. FTX “already” collapsed and is restarting clean. Complete new team, new management, more transparency, more compliant.
  2. The crypto industry now faces regulation. Binance lacks an external audit and is in a pretty bad position with cftc sec and other trials, Bybit just started its compliance steps, Kraken struggles to keep being a solvent entity, Coinbase tries its best to comply with the current SEC stance.
  3. In 2-3 years the crypto landscape may look very different. An exchange fully compliant from inception has an advantage over exchanges trying to retrofit compliance. FTX 2.0 could emerge as a safe haven for traders as regulatory pressure mounts.

We should aim to later list on FTX 2.0 as it may create value.

Advocating censorship could reduce value creation because it is unlikely that FTX2.0 will list the coin later on if such a move is done. When FTX collapsed we lost mostly nothing price wise, but censorship risks a part of future upside.

Let’s objectively weigh risks and rewards.


It is not about censorship, or supporting or not supporting the FTX estate, or FTX 2.0 for that matter.

The original agreed terms dictated a three-year lockup. There are still 439 days on that clock.


So explain:
“2. Implement a new $MNT migration smart contract or migration service that can restrict the automatic migratability of FTX Group’s $BIT tokens.”

The estate cant dump the BIT if there is a legal deed saying so.



i understand the concern, but the actual problem is that we don t want FTX token being dumped on the market…if we block FTX to convert now, we ll face many legal issues…we should give them veMNT tokens, redeemable at later stage.

The solution should be fair for everyone, even if FTX fell down…

We should keep the deal as it was, so they still got their tokens, but we need a way to be sure that they don t sell them before the deadline.

how can we achieve that?


It makes complete sense. I also understand the concern of the dump risk, despite, i honestly think interests are not at dumping the bag.

I have forwarded the concern to people that have more authority to handle this. If a team official member could dm please so the right people can get in touch together.


If they have a lockup on tokens anyway, is there any negative impact to allowing them to migrate their $BIT to $MNT whilst still honouring the lockup period?
If a new smart contract would blacklist FTX, then it could also be used to migrate FTX’s BIT to either a timelock on MNT or a different token contract that can later (at lockup end) be converted to MNT


Absolutely, FTX should not be able to migrate the BIT tokens to MNT tokens. They are bankrupt


I’ll vote “yes”.
FTX should fix all their problems by themselves first.


I agree with this proposal, FTX is bankrupt now and the terms in which BIT was sold cannot be held now. They should not be allowed to migrate to MNT automatically.


yes, I agree. Bit should not be automatically migrated by FTX… If that is allowed, current holders will be affected if they decide to sell their MNT holdings


I vote " Yes " Bit should not be automatically migrated by FTX !


I vote YES it should not be automaticcaly migrated


So they can sell our token to fund for FTX 2.0? Why should we aim for the value of FTX 2.0 if they broke the agreement before? What’s the benefit for the MNT holders?

They should be grateful that Mantle didn’t decide to sell the FTX after the breach of agreement.


So this would not be preventing FTX from converting their BIT tokens to MNT, rather ensuring the FTX tokens are convertible only after their original lockup period …sounds fair.

It depends on the exact terms of the investment contract with FTX, is a clause that allows an early unlock due to FTX’s current predicament?


I vote " Yes " Bit should not be automatically migrated by FTX !