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86 changes: 86 additions & 0 deletions reinstatement/nexode-2026-08-16.md
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# Featured App Reinstatement Request

## Summary

* Featured App name: Nexode
* Organization: Nexode
* Date of pause, UTC: 2026-08-11
* Link to pause announcement: https://lists.sync.global/g/tokenomics-announce/message/370
* Current stage:
- [x] Freshly paused, seeking reinstatement
* Primary basis of pause:
- [x] Other: paused "pending further review" for a stated lack of adequate clarity as to the nature of Nexode's recent on-chain activity (Accountability Committee recommendation #1262). No excess amount, ratio, or specific rule violation was cited.

## Key On-Chain Identifiers

* Featured App PartyId: `nexode::12208428f54ef01a64f520dc586a3876f8316b03f1ec40b3764142de89dc5d34acb9`
* Party receiving app rewards: `nexode::12208428f54ef01a64f520dc586a3876f8316b03f1ec40b3764142de89dc5d34acb9` (the FA party is also the reward beneficiary)
* Validator node / transaction-submitting PartyId: `nexode-validator-1::12208428f54ef01a64f520dc586a3876f8316b03f1ec40b3764142de89dc5d34acb9`, on Nexode's own participant node (fingerprint `1220...acb9`)
* Other transaction-submitting PartyId(s): N/A — all activity under the single Nexode PartyId above.

## Applicant Position

* What caused the issue: While performing an internal migration of market data in preparation for Nexode v2, a traffic-usage parameter in the migration tooling was misconfigured, producing bursty, higher-than-usual on-chain activity and burn over roughly a 12-hour window beginning 2026-08-11 UTC. Only transaction/burn volume increased — there was no excess CC reward claim beyond the 115% guidance.
* What has been corrected: The migration was a one-time event and has completed; the feature has been switched off and its configuration corrected and bounded so the same misconfiguration cannot recur. The underlying issues in Nexode's internal services have been fixed, rate limits are now in place to prevent high traffic usage, and monitoring has been added to alert on anomalous traffic/burn patterns.
* Date corrective measures took effect: On or about 2026-08-11 UTC, within hours of the activity being flagged. The feature has remained off since.
* Disputes the pause figures:
- [x] No — no figures were cited; the sole basis was a lack of clarity, which this request resolves.

## Excess and Burn Status

* Excess amount identified: N/A — no excess or over-issuance was alleged.
* Excess amount burned: N/A
* Burn tx hash: N/A
* If not yet burned: N/A — no excess identified.

## Shared Participant Node / Party Structure

* Shares a participant node with other Featured Apps?
- [x] No — Nexode operates under its own PartyId on its own participant node.
* Performs multiple major functions?
- [x] No — single Featured App function under a single PartyId.
* Separation complete:
- [x] Not applicable — single party, single function.

## Locking Status

* Required lock amount:
- [x] 5,000,000 CC for Featured App
* Amount segregated: 5,000,000 CC
* Lock holder:
- [x] Applicant
* Lock status:
- [x] Complete
* Party/address for verification: `nexode-lock::12208428f54ef01a64f520dc586a3876f8316b03f1ec40b3764142de89dc5d34acb9` - Cantonscan shows the balance as "locked balance": https://www.cantonscan.com/party/nexode-lock%3A%3A12208428f54ef01a64f520dc586a3876f8316b03f1ec40b3764142de89dc5d34acb9

## Exception Request

* Is an exception requested?
- [x] No

## Reviewer Notes

The migration responsible for the activity was a one-time event. The misconfigured traffic-usage parameter has been corrected, and rate limits and monitoring are now in place. The pause recommendation (#1262) did not identify any excess, ratio breach, or specific rule violation, only a lack of clarity, which this request addresses. There are no disputed figures, data discrepancies, or pending items to flag. Nexode has completed the CIP-0116 5,000,000 CC lock (verifiable at the Cantonscan link above) and is happy to provide any further clarification the committee requests.

## Checklist

- [x] Request file included
- [x] PartyIds exact
- [x] Basis explained
- [x] Cause described
- [x] Corrective measures + dates
- [x] Excess/burn (N/A — none alleged)
- [x] Data discrepancies (N/A)
- [x] Shared-node details
- [x] Party/function separation
- [x] CIP-0116 lock status
- [x] Exception (N/A)
- [x] N/A fields marked with a reason

## Applicant Confirmation

By submitting this request, the applicant confirms that the information provided is accurate to the best of its knowledge and that the applicant will provide clarifications or supporting information if requested.

* Name: Kevin Lu
* Organization: Nexode
* Date: 2026-08-17