TL.DR

Purpose of this discussion post:

To discuss with the community how to resolve the issue of some users who participated in the EnergyWebX Crowdloan through SALP but were unable to receive their EWT rewards. The main points covered are:

SALP uses Bifrost parachain address to manage Crowdloan and execute Crowdloan Contribute on the relay chain. However, the EWT was ultimately sent to the parachain address on the Energy Web X chain, making it impossible to withdraw the EWT.
- The amount that cannot be withdrawn is 1,163.0960 EWT
Currently, there are no viable technical solutions to withdraw the EWT from the Energy Web X chain.
Possible execution plans for discussion:
- Continue waiting for Energy Web X chain to launch Governance
- Joint compensation by Bifrost and Energy Web X

Summary

Brief Review of SALP

SALP is a liquid-crowdloan product that delegates Crowdloan (parachain auction) contributions and issues representation tokens in return. The system operates on a fully decentralized logic through Bifrost chain, XCM, and parachain addresses. Learn more.

Long Story Short

In September 2023, Bifrost announced the launch of Energy Web X SALP.

On March 25, 2024, the Energy Web X team completed the reward distribution based on the contributor list from the relay chain Crowdloan.

However, since the contributor address for the SALP protocol is the Bifrost parachain address, the EWT rewards were sent to the parachain address on the Energy Web X chain (see attachment for on-chain verification steps).

This incident is not about assigning blame, but rather highlights the following issues:

Bifrost needs to remind projects to avoid sending rewards to parachain addresses
Projects should confirm with Bifrost before formal distribution

The root cause of this problem is insufficient communication between both parties.

Technical Solution is Infeasible

Since this is a keyless address, there are three technical solutions to transfer EWT:

Energy Web X uses SUDO (super admin privileges) to transfer funds.
Energy Web X enables on-chain governance functionality, and Bifrost calls Root through referendum.
Energy Web X establishes HRMP channel with Bifrost, and Bifrost retrieves EWT through cross-chain messaging.

However, due to compliance requirements, Energy Web X can neither use super admin privileges nor has plans to enable the governance module in the near future.

Solution to be dicussed

We can wait until governance live on Energy Web X, but it doesn’t have an ETA.
Bifrost or Energy Web X or we both do compensation for contributors.