LUCKNOW (CoinChapter.com) – The current governance controversy surrounding Compound Finance seems to be heading in the direction of a peaceable decision. The “Golden Boys,” a voting bloc accused of orchestrating a “governance attack” on the DeFi lending protocol, have agreed to withdraw their contentious proposal in favor of a extra community-friendly different.

The drama started on July 28 when a proposal from a bunch referred to as the “Golden Boys” narrowly handed. Their plan, often known as Proposal 289, aimed to create a brand new token referred to as “goldCOMP” utilizing $25 million value of COMP tokens from Compound Finance’s treasury. Whereas purportedly aimed toward offering passive revenue for COMP holders, the proposal granted vital discretionary funding energy to the Golden Boys. Many noticed this concept as a possible menace to Compound’s democratic governance.

Nevertheless, on July 30, a member of the Golden Boys, often known as “Humpy,” agreed to withdraw the proposal. This transformation of coronary heart got here after talks with Bryan Colligan, who leads Compound’s progress crew at AlphaGrowth.

Colligan offered a brand new concept that appears to make either side comfortable. The brand new plan suggests giving 30% of Compound’s present and future market reserves to COMP token holders who stake their tokens. This strategy goals to reward long-term supporters with out giving an excessive amount of management to anyone group.

“Humpy” publicly backed this new route, saying, “I fully approve this message.” Different massive gamers within the Compound neighborhood, like Gauntlet and WintermuteGovernance, additionally confirmed help for exploring this staking possibility.

The Compound crew and neighborhood members appear relieved by this final result. Consensys, one other main participant within the crypto world, mentioned, “We are pleased to see this issue nearing a reasonable closure and greatly appreciate the participation of all delegates in resolving this matter.”

COMP Soared by 10%

The information of this settlement has already had a optimistic impact on COMP’s price. The token’s worth jumped 10% in simply 12 hours after the announcement, reaching $51.55.

Nevertheless, it’s value noting that COMP, like many different DeFi tokens, remains to be far under its peak worth. The token stays 94% decrease than its all-time excessive of $910, set again in Could 2021.