Abstract
This proposal seeks to introduce a governance-approved recovery mechanism for WCT holders whose wallets have been compromised while their tokens remain locked in the WCT staking contract. Since WCT is currently non-transferable, affected users cannot unstake or claim their tokens into a secure wallet. Once transferability is enabled, this proposal suggests a transparent, decentralized solution for these users to recover their funds safely.
Motivation
As WCT staking continues, users with compromised wallets face a high risk of losing access to their staked funds. This situation is critical for the following reasons:
Users cannot unstake or withdraw WCT if their wallets are compromised.
If transferability is enabled without recovery options, tokens may be lost forever.
A governance-backed solution ensures fairness while preventing abuse.
By introducing an official recovery process, the community can safeguard legitimate users’ assets while maintaining decentralization and security.
Specification
This proposal suggests implementing the following steps to facilitate WCT staking fund recovery:
- Governance-Approved Recovery Process
Eligible users must submit a recovery request with proof of ownership.
The community will vote on recovery cases in a fair and transparent way.
- Delegated Recovery Contracts
A governance-approved Staking Recovery Smart Contract will be deployed.
Users who provide proof of compromised wallets can pre-authorize a new wallet to receive their staked WCT.
Once unstaking becomes possible, the contract will execute transfers accordingly.
- Security & Verification
Only wallets with verifiable proof of ownership (e.g., old signatures, transaction history) will qualify.
Recovery requests must pass a community governance vote before execution.
The process will be fully transparent, preventing fraudulent claims.
Rationale
This solution balances security, fairness, and decentralization by:
Helping legitimate WCT holders recover staked tokens without centralized intervention.
Ensuring a fair and transparent governance process to prevent abuse.
Maintaining the integrity of the staking contract while allowing for fund recovery.
Conclusion
This proposal calls on the WalletConnect community to approve an official recovery mechanism for WCT stakers with compromised wallets. Establishing a structured, community-backed process will enhance security, trust, and accessibility while protecting the WCT ecosystem.