Compound

Summary The Compound Foundation ("Foundation") and Compound Governance Working Group ("CGWG") are submitting this Snapshot to seek community approval for the renewal of Compound DAO's engagement with Cactus, the governance interface operated by ScopeLift, in its capacity as the DAO's dedicated Voting Service Provider, as described in the forum proposal: "Renewal of Cactus (ScopeLift) as Compound's Governance Interface". The renewal is proposed at $100,000 for a twelve-month term, a reduction of $50,000 from the $150,000 rate under the current agreement, with no corresponding reduction in scope or service levels. This Snapshot asks the Compound community to approve the renewal on terms materially consistent with the forum proposal, authorize CGWG to coordinate with the Foundation and relevant stakeholders to finalize the arrangements, and approve disbursement from funds administered under the Treasury Management Committee ("TMC") framework. Background The vendor Compound DAO contracted with in July 2025 no longer exists under that name. In mid-2025, the CGWG ran a competitive Request for Proposal for a dedicated Voting Service Provider. Delegates selected Tally Enterprise at $150,000 over twelve months, covering Compound-specific proposal user experience, voting user experience, governance resilience, transparency and reporting, and a defined set of service-level agreements. In March 2026, Tally announced that it was winding down as an organization, together with a commitment to complete its enterprise agreements rather than abandon its DAO customers mid-term. That commitment was honored. ScopeLift assumed the existing contract between Compound DAO and Tally in its entirety, and the governance interface continued to operate throughout. There was no migration, no change to Compound's governance contracts, and no disruption to delegate workflows. On June 17, 2026, ScopeLift announced that the platform had been rebranded to Cactus. This is a change of name, brand, and domain only. The product, the underlying data, and the team operating it are unchanged. The application is moving to cactushq.xyz, with tally.xyz continuing to resolve and redirect through a transition period. The DAO's primary governance interface has therefore passed through the insolvency of its original vendor and a subsequent rebrand without a service gap and without cost to the DAO. That continuity is the substance of what this proposal asks the DAO to extend. Cost The renewal represents a $50,000 annual reduction, or one third of the current cost, for the same scope of work and the same service-level commitments. The current rate was itself negotiated below standard enterprise pricing at the time of the RFP, so the reduction compounds an existing discount rather than correcting an inflated baseline. This reduction forms part of a broader effort by the Foundation to bring the DAO's recurring service-provider spend down where it can be done without weakening the workstreams the protocol depends upon. The term runs from August 1, 2026 to July 31, 2027. As the prior term expired on July 31, 2026, this term is backdated to August 1, 2026, and Cactus has continued to operate the interface in the intervening period. Scope of Engagement The scope is unchanged from the approved Voting Service Provider engagement. Rather than a fixed deliverable schedule, the Foundation and the CGWG set priorities on a quarterly basis and Cactus executes against them, which is the model that allowed the engagement to absorb a change of counterparty without renegotiation. Cactus will maintain the following as baseline obligations for the term: 1. Continued operation of the Compound governance interface through the domain transition, requiring no action from delegates or integrators. 2. Continued availability of the public governance API, with advance notice of any change affecting Compound integrators. 3. Support for proposal creation, voting, delegation, and execution across Compound's Governor contracts and cross-chain proposal formats. 4. The service levels specified in the original engagement, being 99% monthly uptime, a four-hour response time on high-priority incidents during United States working hours, and resolution of critical bugs within one business day. Cactus will publish a quarterly report before each payment period covering uptime, feature usage, priorities delivered, and support volume, hold monthly office hours open to Compound contributors, and continue to participate in community calls. A retrospective on the concluding term will be published in a new Cactus communications thread. Rationale for Renewal The cost has moved materially in the DAO's favour without a corresponding concession. The DAO is being asked to approve one third less spend for the same scope, the same service levels, and a counterparty that now holds a further year of Compound-specific context. Continuity of service has been well demonstrated by the ScopeLift team over the past 5 months since taking over the interface from the Tally team. The Foundation has been satisfied with ScopeLift's takeover of the platform and in many ways has actually seen support, performance and platform reliability of the governance interface materially improve. Compound-specific context is expensive to reconstitute. Cross-chain calldata decoding, support for Comet and cToken proposal formats, and the optimistic governance implementation all sit with a single team. Rebuilding that understanding elsewhere would cost more than the renewal and take longer than the term it would replace. Funding and Process Consistent with the process used for the Woof Year 3 renewal, funding will be disbursed from the pool administered under the TMC, subject to the onchain controls described in that framework. Upon approval, the TMC will allocate $100,000 in total for ScopeLift's August 1, 2026 - July 31, 2027 term. The portion accrued from August 1st through the start of the stream will be released upfront as back pay for the trailing period, with the remaining balance streamed over the rest of the term. A lapse in the DAO's primary governance interface would directly impair its capacity to govern, including its capacity to pass the proposal that would remedy the lapse. The engagement remains fully subject to the service levels, reporting obligations, and review mechanics described above, and ratification by Snapshot does not waive any of them. Approval Requested By voting "For," the community approves the renewal of the Cactus (ScopeLift) engagement as Compound's governance interface on terms materially consistent with the Foundation's forum proposal, authorizes the CGWG and Foundation, along with relevant stakeholders, to finalize documentation and operational arrangements, and authorizes the applicable $100,000 payment, or equivalent payment arrangement, to be funded from TMC-administered funds. Voting Options For: Approve the renewal and authorize funding from TMC-administered funds on the basis described above. Against: Do not approve the renewal or the proposed funding route. Abstain: Register no position on the proposal. Note: This vote will pass if "Yes" votes reach at least 400,000 COMP and outnumber the "No" votes.

Treasury Management Program USDC Allocation The Treasury Management Committee (TMC) has concluded its manager selection process and is now seeking a sentiment check from delegates via this Snapshot vote. These proposed allocations are relegated to the DAO’s USDC and are intended for allocation across a Primary Allocation Sleeve (onchain-heavy) and an RWA Sleeve. The RWA Sleeve puts $4M of the DAO's USDC into two tokenized positions held directly in the DAO's escrow: $1M in USTB and $3M in CUSHY. Full RWA Sleeve Recommendation Memorandum accessible here. The Primary Allocation Sleeve places up to ~$12M with Steakhouse Financial as curator of a dedicated, single-chain noncustodial vault on Ethereum, with flexibility around allocation amount depending on accessible capital and revenue. The DAO holds the position and retains guardian rights, the fee is 0.5% of NAV with no performance fee and no lockup, and the mandate is terminable on 30 days' notice. The book is entirely onchain, holds no tokenized RWAs at launch, and runs an indicative 35/45/15/5 split across prime repo, high-yield repo, term, and turbo strategies. Full Primary Manager Recommendation Memorandum accessible here. Both memos set out how each manager and position was selected, what the vaults can and cannot do, how each sleeve earns its return, what the DAO is exposed to underneath, and the risks the TMC thinks are worth naming. We ask delegates to read them before voting and to comment on the forum threads/delegate platforms rather than only registering a preference here. On what this Snapshot does: The TMC already holds delegated authority to execute allocations under the Treasury Management Program as approved by governance, so this Snapshot is not a gate on deployment. We are running it because a program of this size should have a formal moment for delegates to weigh in as per the initial RFP outline. Any actions taken by the TMC-operated addresses will be published publicly in this thread. Voting Options: Support as Proposed — proceed with both sleeves as set out in the memos Suggest Changes — please comment with what you would change on the forum Abstain This vote will be live for three days, after which the TMC will begin mobilizing capital for allocation.

Summary The Compound Foundation ("Foundation") and Compound Governance Working Group ("CGWG") are submitting this Snapshot to seek community approval for the renewal of the Compound x Woof partnership described in Woof's forum proposal, "Compound x Woof - Year 3 Partnership". Woof's renewal contemplates a one-year engagement from May 26, 2026 to May 26, 2027, for a total fee of $2,000,000, streamed over the engagement period and subject to the accountability, KPI review, cure, and cancellation mechanics described in the forum proposal. This Snapshot asks the Compound community to approve the renewal on terms materially consistent with the forum proposal, authorize CGWG to coordinate with the Foundation and relevant stakeholders to finalize the arrangements, and approve disbursement from funds administered under the Treasury Management Committee ("TMC") framework rather than through a separate onchain treasury proposal. Background Woof has served as a core technical contributor to Compound V3 and related ecosystem infrastructure. Its current and proposed mandate includes protocol development, V3 interface and API reliability, protocol maintenance, risk-management support, integration infrastructure, governance and transparency tooling, and V4 kickoff support. During the prior engagement period, Woof supported or delivered market and collateral proposals, CAPO deployment, SVR/OEV integration, Compound Streamer, financial dashboards, UI bug fixes, integration tooling, and other Foundation- and DAO-requested initiatives. The Year 3 renewal is intended to preserve continuity across these workstreams while Compound advances its broader protocol roadmap and operational infrastructure plans. Strategic Rationale Compound is entering an important execution phase. V3 remains the active production protocol supporting users, integrators, revenue, and collateral markets, while the DAO and Foundation continue to advance longer-term protocol development initiatives. In parallel, the ecosystem is coordinating near-term continuity planning for user-facing protocol interfaces and related infrastructure. This work is operationally important and time-sensitive, requiring experienced contributors with existing context across Compound's protocol architecture, production infrastructure, integrations, governance workflows, and user-facing systems. It cannot be paused or deferred. A coverage gap of even a few weeks would create execution risk for the protocol, its integrators, and its users. The Foundation believes Woof is well-positioned to support this transition and continue advancing Compound V3. Renewing the engagement promptly is expected to reduce execution risk, preserve institutional knowledge, and support uninterrupted progress across protocol, interface, infrastructure, and integration workstreams. Scope of Renewal This Snapshot incorporates the scope described in Woof's forum post and asks the community to approve the renewal on terms materially consistent with that proposal. Key workstreams include: revenue expansion initiatives (including user-facing revenue features); continued V3 evolution and competitiveness improvements; maintenance and reliability of the V3 interface, backend API, and supporting infrastructure; protocol maintenance, operational support, and risk-management coordination; integration and distribution infrastructure (API, SDK, documentation); governance, transparency, and treasury-management tooling; and V4 kickoff support, including knowledge transfer and technical collaboration with the Foundation and incoming contributors. The engagement will remain subject to the KPI framework, reporting obligations, review process, and remedy mechanics described in Woof's forum proposal. Funding and Process In the ordinary course, a renewal of this nature would proceed through a full onchain governance proposal with funding drawn directly from DAO treasury assets. For this renewal, CGWG and the Foundation are proposing a narrower and more time-sensitive process: community approval by Snapshot, followed by disbursement from funds administered under the TMC framework. This is appropriate here because the renewal supports operational continuity for protocol-facing infrastructure; the work is time-sensitive and benefits from avoiding contributor coverage gaps; Woof's proposal has already been publicly posted for community review; the TMC framework was recently approved to provide structured oversight over treasury operations; and the engagement includes ongoing reporting, KPI review, and cancellation/remedy mechanics that preserve accountability. This should be understood as a targeted operational measure in response to a compressed execution timeline, not a general replacement for onchain governance approvals for material DAO expenditures. Approval Requested By voting "For," the community approves renewal of the Compound x Woof Year 3 engagement on terms materially consistent with Woof's forum proposal, authorizes the CGWG and Foundation, along with relevant stakeholders, to finalize documentation and operational arrangements, and authorizes the applicable $2,000,000 payment stream, or equivalent payment arrangement, to be funded from TMC-administered funds. The renewal includes the accountability, KPI review, cure, and cancellation mechanics described in Woof's renewal proposal, together with periodic community updates regarding progress under the renewed mandate. Voting Options For: Approve the renewal and authorize funding from TMC-administered funds on the basis described above. Against: Do not approve the renewal or the proposed funding route. Abstain: Register no position on the proposal. Note: This vote will pass if "Yes" votes reach at least 400,000 COMP and outnumber the "No" votes; else, the vote fails.

Compound Contribution to DeFi United Recovery Effort (Snapshot 2) Co-authored by Compound Foundation and CGWG Background On May 2, 2026, Snapshot 1 passed, with delegates signaling support for Compound DAO contributing to the DeFi United recovery effort in principle, subject to the Conditions to Contribution outlined in the forum proposal. This Snapshot 2 addresses the execution question deferred from Snapshot 1: at what size should Compound contribute? The DeFi United initiative has continued to develop in the days following Snapshot 1. As of this Snapshot, the coalition has secured commitments expected to be sufficient to fully restore rsETH backing, conditional on remaining governance votes and pledges materializing as anticipated. Purpose of Second Snapshot Snapshot 1 established the principle of participation. This Snapshot asks delegates to approve or reject a contribution of approximately 1,860 ETH to the DeFi United recovery effort, drawn solely from recovery of the attacker's position on Compound. A multiple-choice format presenting various contribution amounts was considered, but recent delegate conversations have surfaced a clear preference for sourcing any contribution exclusively from funds connected to the exploit itself, rather than from broader treasury reserves. A binary structure allows the DAO to confirm or reject that preference cleanly, without diluting the signal across multiple amounts. This contribution structure reflects two principles surfaced by delegates: Compound should not profit from the exploit. The attacker's frozen position on Compound is expected to yield surplus value upon resolution of the rsETH backing situation. Returning that surplus to the recovery effort, rather than retaining it in Compound's reserves, ensures Compound does not derive economic benefit from this exploit. The contribution should be appropriately sized to Compound's circumstances and the structure of the incident. Sourcing from the attacker's position provides a natural basis for that sizing while supporting meaningful participation in the overall recovery process. Hence, a "Yes" vote authorizes a contribution of approximately 1,860 ETH sourced from the attacker's position recovery, subject to the Conditions to Contribution. A "No" vote signals that delegates do not support a contribution at this size or from this source. Contribution Structure The proposed contribution would be sourced exclusively from recovery of the attacker's position on Compound. Specifically: The contribution is contingent on restoration of rsETH backing through the DeFi United recovery effort. If recovery is not achieved, the contribution does not materialize. No incremental treasury funds would be deployed beyond the recovered amount. The exact final amount may vary slightly based on the resolution of the attacker's position and prevailing conditions at the time of execution; "approximately 1,860 ETH" reflects the current estimate. Conditions to Contribution Consistent with the conditions affirmed in Snapshot 1 and set out in the forum proposal, any contribution authorized under this Snapshot remains strictly conditional on: Full Backing Condition: rsETH is reasonably expected, based on the agreed Recovery Plan, to be fully re-collateralized such that the backing shortfall is fully addressed. Fair Treatment Condition: recovery funds are applied in a manner that is neutral, proportionate, and non-discriminatory across affected protocols, platforms, and users. Defined Plan Condition: a clear and technically executable Recovery Plan has been specified publicly. Governance Visibility Condition: sufficient information regarding the Recovery Plan and intended use of funds has been made available to enable informed assessment. Execution Determination: the final contribution amount, approximately 1,860 ETH, is determined by the resolution of the attacker’s position and prevailing conditions at the time of execution, with the Execution Group determining the other conditions above have been satisfied. Compound reserves the right not to release funds if these conditions are not satisfied, including releasing a lower amount or no amount at all. Vote Options Yes: Compound should contribute all funds sourced exclusively from recovery of the attacker's position (approximately 1,860 ETH), with no incremental treasury capital, to the DeFi United recovery effort, subject to the Conditions to Contribution. No: Compound should not contribute on these terms. Abstain Note: This vote will pass if "Yes" votes reach at least 400,000 COMP and outnumber the "No" votes; else, the vote fails.