TREE NEWS update: The Compound Foundation denied allegations that it misused V2 reserves, after records showed 344,780 COMP was added to its voting power ahead of a $52 million V4 budget vote. The proposal already had enough support to pass without those tokens, the records indicate. The Foundation rejected the misuse claim.
Compound Foundation Denies Misusing V2 Reserves in $52M V4 Vote
The dispute matters less for the vote's outcome than for what it reveals about governance optics: a foundation accumulating voting power ahead of a treasury spend, even when the result was already secured, invites scrutiny of how protocol insiders marshal influence. The denial settles nothing on its own, since the underlying records and the Foundation's account are being weighed by the same community that governs the treasury. Whether this stays a one-off allegation or prompts a broader look at foundation voting practices is the open question.
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