Compound Foundation has been accused of violating restrictions tied to Proposal 536, according to a disclosure cited by ChainCatcher and attributed to Compound community member ugurmersin. Under that proposal, 8.42 million DAI from the decentralized autonomous organization, or DAO, reserves was entrusted to the foundation for management. The proposal also set clear boundaries on how the funds could be used. It stated that the allocation was limited to supporting protocol operations, while independently trading or speculating with the funds was explicitly prohibited. The proposal also barred the foundation from using the DAI to finance its own business activities. The claim, as presented in the source, focuses on whether the foundation’s handling of the entrusted DAO reserves stayed within those stated limits. No additional details on the alleged conduct were provided in the input.
Compound Foundation is alleged to have violated the strict limits set out in Proposal 536, according to ChainCatcher, which cited a disclosure from Compound community member ugurmersin.
Under the proposal, 8.42 million DAI from the decentralized autonomous organization (DAO) reserves was entrusted to the foundation for management. The proposal stated that the funds could only be used to support protocol operations.
It also explicitly prohibited the foundation from independently trading or speculating with the funds, and barred the use of the allocation to finance the foundation’s own business operations.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
