As Leo described, I provided a loan to Enzo and Leo so that their respective LLCs, Blue Ant LLC and Zarety LLC, could purchase nodes. I did so because it was a good investment opportunity. As a passive debt provider with no legal right to, or physical access to the nodes, I did not believe I was compromising the independence of the nodes.
That said, as community discussions evolved, it became clear Node Providers would not be permitted to provide debt financing to other Node Providers. Even though the rules still have not yet been established, after consulting with DFINITY, Enzo, Leo and I decided to proactively re-organize in order to comply with what we believe will be the future state of affairs.
I am pleased to announce the following:
Firstly, ParaFi Technologies LLC, a reputable infrastructure provider, will be purchasing nodes from Rivonia Holdings LLC. Rivonia Holdings LLC will begin the proceedings to offboard from the NNS, and ParaFi will begin the proceedings to onboard onto the NNS shortly. Once the NNS completes these steps, ParaFi will wholly own the nodes that were previously owned by Rivonia, and the data center lease will be transferred to them. While the legal documents have been signed, I expect the full NNS approval process to take 2-4 weeks which is required for the transaction to complete. Concretely, this means the NNS would adopt the proposals for ParaFi Technologies to register as a node provider, assume the 28-node allocation in JV1 and the 14-node allocation in NY1, and configure rewards for all 42 nodes accordingly. We would like to ask DFINITY DRE to remove Rivonia nodes from all the subnets.
Secondly, I bought Zarety LLC from Leo which owns a set of nodes in the Isle of Man. As part of the transaction, Leo will relinquish any right to Zarety LLC, including a managerial role, ownership of the nodes, and access to the data center. While we plan on updating the wiki page, we do not intend on submitting any NNS proposals as the entity (Zarety LLC) will remain intact.
And thirdly, Sisyphus AG, a Swiss crypto dev shop controlled by Enzo and Leo, where I am a minority 20% owner, purchased Blue Ant LLC from Enzo. Enzo will remain as manager, although the UBO will change. Nothing will change here from an entity or managerial perspective so similarly a NNS proposal will not be submitted, although the wiki page will update for the UBO.
As a passionate ICP community member, node provider, Synapse member, and ecosystem investor, I am extremely excited about all the good things brewing for ICP. Hopefully all the efforts to validate the independence of Node Providers will help instill more confidence in the security of the Internet Computer.