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‘Golden Boys’ Behind Compound ‘Governance Attack’ Retract Proposal Amid Community Backlash

Golden Boys rescind Compound proposal following community backlash. Credit: EconoTimes

The "Golden Boys" behind Compound's governance attack have rescinded their proposal after significant community pushback, introducing a revised plan to address concerns.

Golden Boys Withdraw Proposal

An alternate proposal has been put forward by the individuals responsible for the recent so-called "governance attack" on the lending and borrowing protocol Compound Finance. The first plan has been withdrawn.

Compound governance's "Golden Boys" proposal was accused of launching an attack on the group after it narrowly passed on July 28 in the face of community resistance.

Cointelegraph shares that the original plan, as outlined in Proposal 289, was to use 499,000 COMP tokens (worth about $25 million at the time) to construct a treasury and a wrapped "goldCOMP" token that would allow the Golden Boys to invest as they saw fit while still providing COMP holders with passive income.

On the other hand, as of July 30, it seems that one of the "Golden Boys," whose real name is "Humpy," has consented to withdraw the contentious plan and replace it with a new one.

Humpy requested that they reach an agreement, and on July 30th, Compound's growth team CEO at AlphaGrowth, Bryan Colligan, detailed a plan to do just that.

According to Colligan, the new idea is for a staking product that meets the concerns of the Golden Boys while ensuring the continued governance of Compound DAO is unaffected.

New Staking Plan Introduced

The new plan suggests that COMP stakeholders should receive 30% of the market reserves, both current and future, according to their ownership amount.

"The Compound Growth Program, with backing from major delegates in the Compound community, will execute on the commitments, given the immediate cancellation of Proposal 289," it declared.

With the words "I fully approve this message," "Humpy" responded to the suggestion in the space for comments.

Gauntlet, a blockchain service provider, and WintermuteGovernance, another major Compound stakeholder, also replied, saying that it "supports exploring a Compound staking product."

Consensys commented:

COMP Token Recovers

According to CoinGecko, the native token of the DeFi network, COMP, has recovered from the setback and is now trading at $51.55, an increase of 6% over the previous 12 hours.

Nevertheless, it has been severely affected in the past few years, just like the majority of DeFi tokens, and it has fallen 94% from its all-time high of $910 in May 2021.

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