[GAP-3] Authorization for Security Council to Convert Recovered ETH into ZK

[alisha]

@Demacia

My suggestion is to keep the recovered ETH and allocate it to the proposal mentioned above. As a result, the TA would only need to sell $2 million worth of ZK tokens instead of $5 million.

@Demacia I completely understand the logic of your suggestion. I had the same reaction. The reason for swapping the ETH back to ZK instead of using funds for active and/or future TPPs is because the simplicity of swapping the ETH back to ZK aligns with the permitted purposes of the Security Council (SC), as set out in the bylaws for the entity. The bylaws empower the SC to take action to “reverse any exploits” under section 1.2.2 of the Security Council bylaws, which are linked in the Governance Procedures, under Section 2.1.b of Schedule 3: Security Council.