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The proposal for Compound to allocate $24 million in COMP to the "Golden Boys" has sparked allegations of governance attacks.

Sep 11, 2024 22:23:48

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ChainCatcher news, according to The Block, a proposal passed by Compound Finance has sparked accusations of governance attacks within the community, claiming that a small group was able to force the implementation of the proposal by acquiring a large amount of tokens on the open market.

Last Sunday, Proposal 289 was narrowly approved with 682,191 votes to 633,636 votes, allocating 5% of the Compound treasury funds (499,000 COMP tokens, worth approximately $24 million) to a year-long interest-bearing protocol designed by the "Golden Boys." Voting on the proposal began at 11:40 PM local time on Thursday and continued through the weekend.

However, community members allege that there are hidden circumstances behind these vote totals. Michael Lewellen, a security architect at OpenZeppelin and a security advisor for Compound Finance, stated in a post on X that some accounts accumulating COMP tokens on the open market are linked to several proposals aimed at transferring COMP assets to the goldCOMP product created by the "Golden Boys."

In response to Lewellen's security alert, several community members, including Wintermute Governance, Columbia Blockchain, Penn Blockchain, and StableLab, expressed similar concerns.

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