Mordor Testnet — Block 15,800,850

The Olympia Upgrade

A staged governance and funding system for Ethereum Classic. Redirects the EIP-1559 basefee into an on-chain Treasury, then builds governance layers to allocate funds transparently.

The Problem

Ethereum Classic faces four structural challenges that Olympia addresses from the bottom up.

Block Reward Decline

Era 4: 2.048 ETC/block. Each era is a 20% reduction. By Era 6, rewards drop to 1.31 ETC.

-20%per era

No Protocol Funding

ETC relies entirely on external donations for development, infrastructure, and tooling. Voluntary and fragile.

$0protocol revenue

Negligible Fee Revenue

At ~5 txs/block, tips represent 0.01% of miner income. The basefee is effectively zero.

0.01%of miner income

No Governance

Even if funds accumulate, there's no on-chain process to allocate them transparently.

0governance mechanisms

ECIP Suite

11 Ethereum Classic Improvement Proposals across 5 stages.

ECIPTitleStatus
1111
EIP-1559 + EIP-3198
Dynamic basefee pricing. Basefee redirected to Treasury instead of burned.
Implemented
1112
Treasury Contract
Immutable vault with AccessControlDefaultAdminRules for staged governance.
Deployed
1121
EVM Compatibility Sprint
15 EIPs: MCOPY, transient storage, BLS12-381, secp256r1, EOA delegation.
Implemented
1113
CoreDAO Governance
Governor → Timelock → Executor pipeline with modular voting modules.
In Progress
1114
ECFP Funding Proposals
Permissionless hash-bound proposal registry for transparent allocation.
Pending
1119
Sanctions Constraint
Three-layer defense: propose check, mid-lifecycle cancel, execution gate.
Pending
1117
Futarchy DAO
Prediction market governance with LMSR AMM and conditional markets.
Prototype
1118
Streaming Disbursements
Milestone-gated fund releases with governance-authorized clawback.
Planned
1115
L-Curve Smoothing
Governance-controlled miner incentive reshaping via smooth allocation curves.
Phase 4
1116
Basefee Split
Embed 5%/95% Treasury/miner split at consensus layer.
Deferred
1122
Miner Distribution
Protocol-native miner distribution curve. Supersedes ECIP-1120.
Deferred

Five Stages

Each stage addresses a specific concern and unlocks the next. Nothing is optional — each layer builds on the operational reality of the previous one.

Stage 1Implemented

Olympia Hard Fork

EIP-1559 basefee redirect to Treasury + 15 EVM compatibility EIPs. Three independent client implementations.

ECIPs: 1111, 1112, 1121 · Consensus

Implemented
Stage 2

CoreDAO Governance

Traditional DAO pipeline: OlympiaGovernor → Timelock → Executor → Treasury. NFT-based voting. Sanctions constraint.

ECIPs: 1113, 1114, 1119 · Contract

In Progress
Stage 3Planned

Futarchy DAO

Prediction market governance with LMSR AMM. Streaming disbursements with milestone-gated releases and clawback.

ECIPs: 1117, 1118 · Contract

Planned
Stage 4

Miner Distribution

L-curve smoothing experiments. Test curves, amounts, and strategies before hardcoding at protocol level.

ECIPs: 1115 · Contract

Planned
Stage 5Deferred

Protocol Hardcode

Embed validated basefee split (5%/95%) and miner distribution at consensus. Second hard fork.

ECIPs: 1116, 1122 · Consensus

Deferred

How It Works

Olympia builds from the bottom up: first accumulate, then govern, then experiment, then harden.

1

Basefee Collected

Every transaction pays a basefee via EIP-1559. On Ethereum, this is burned. On ETC, 100% is redirected to the Treasury.

~1 gwei/tx at current volumes

2

Treasury Accumulates

An immutable vault contract receives basefee via consensus state credit. Also accepts voluntary donations. No withdrawals during Stage 1.

OpenZeppelin AccessControlDefaultAdminRules

3

Governance Allocates

Stage 2 activates the CoreDAO pipeline. Proposals go through Governor → Timelock → Executor → Treasury with sanctions checks at every layer.

3-layer sanctions defense

Three Independent Clients

Cross-client verification completed March 2026. All consensus-critical bugs found and fixed. All 3 clients produce identical Treasury balances.

Activation Timeline

Mordor Testnet

Block 15,800,850

~March 28, 2026

All 3 clients will activate Olympia simultaneously on the Mordor testnet for validation before mainnet.

ETC Mainnet

Block ~24,751,337

~Mid-June 2026

Production activation after successful Mordor validation. Treasury begins accumulating basefee revenue.

Design Principles

Olympia is designed to be cautious, staged, and empirical.

Accumulate First, Govern Later

The Treasury starts as a receive-only vault. Governance matures separately. No withdrawals until the governance pipeline is battle-tested.

Contract Before Consensus

Experiment with parameters at the contract layer (adjustable via OIP) before embedding them at the consensus layer (requires a hard fork).

Layered Defense

Sanctions checking at three points — propose, cancel, execute — ensures no single failure mode bypasses screening.

Miner-First Economics

Block rewards and priority fees are untouched. The basefee redirect adds ~1 gwei/tx — negligible relative to the 2.048 ETC block reward.