sunSBR Launch

SBR holders can now convert their SBR into sunSBR on sunny.ag. Staking sunSBR will give stakers various yields such as Saber governance rewards, a portion of the Sunny performance fee, and additional $SUNNY yields. This conversion process is a one-way process, and each sunSBR represents 1 permanently vote-locked SBR.

At the time of launch, rewards are not yet available, but will be added soon. By staking sunSBR, no further action is needed to earn more sunSBR and $SUNNY when those rewards are now.

The launch has also been accompanied by a website overhaul to enable the Sunny app to support a more diverse set of integrations with other DeFi protocols on Solana. The claim page in particular is now separated, preparing Sunny’s UI to scale to support more protocols. Under the hood, the internal app logic has also been optimized to run faster.

sunToken enables $SUNNY to become a governance aggregator

Users that stake sunTokens earn additional yield from multiple sources, but must give the governance power to the Sunny DAO. Many users are happy to make this tradeoff as they only wish to earn yields and are not interested in participating in governance. Sunny can gain governance influence through this symbiotic relationship in which Sunny helps users earn more yields.

Sunny’s sunTokens are part of a strategy to stockpile governance power into the Sunny DAO. Since the DAO is an entity governed by veSUNNY holders, the voting power is shared amongst the veSUNNY constituents. $SUNNY holders are able to convert the $SUNNY into veSUNNY, and are able to access this stockpiled governance power.

The more governance tokens that are locked into the sunToken system, the more power that veSUNNY controls. Since sunToken conversions are permanent, Sunny will only continue to gain more locked governance power.

In the future, the gauge votes on Sunny will be mirrored through the SBR accumulated through the sunSBR system. As a result, Sunny is a governance aggregator because those holding Sunny governance power also hold power in other protocols in which Sunny has stockpiled power.

Bacon tokens

For a limited time, converting one SBR into sunSBR also gives you one baconSBR. baconSBR represents having put a SBR token through Sunny. There is no monetary value associated with the token; however, it is a useful way for the protocol to track who deposited SBR into the system.

Future governance proposals may add utility to baconSBR to encourage more users to lock SBR into Sunny. Some ideas for proposals include:

• A bonding curve to earn Sunny for staking Saber, similar to Convex
• A Dutch auction-like mechanism which burns all baconSBR in exchange for a fixed allocation of SUNNY (or veSUNNY) tokens

We encourage the community to discuss these options on Discord or the Sunny Governance Forum.

Modular design with Tribeca and Crate Protocol

The sunToken system is implemented via Sunny’s Delock Program. It can generically wrap any vote-lockable token that uses the Tribeca governance protocol without needing to write new program code.

Under the hood, sunSBR is converted into yiSunSBR, which is an auto-compounding token that is handled by Crate Protocol. The way yiTokens works is similar to the yield-bearing functionalities of xSUSHI and EIP-4626 tokens. Then, the yiSunSBR is deposited into a Quarry to earn $SUNNY yields.

Learn more

An open source documentation site for Sunny was also recently launched. Learn more through the docs at docs.sunny.ag. Contributions can be made at github.com/SunnyAggregator/docs.