The Compound protocol has canceled Proposal #289, which aimed to allocate 499,000 COMP tokens (about $24 million) to the goldCOMP protocol. This decision, made by the community and key stakeholders, addresses risks of a Governance Attack.
Led by CEO Brian Colligan, Compound’s development team introduced a new staking product, Staked Compound, to mitigate these risks. The proposal will distribute 30% of existing and future reserves among participants based on their staking contributions.
The cancellation and new initiative received strong support from the community, including major stakeholders, and resulted in a surge in COMP token prices. This move is expected to enhance the security of Compound DAO’s governance and reduce the likelihood of future attacks.
