Hey @Doo_StableLab, thank you for the candid feedback. Our impact at Compound can be viewed through several lenses. Beyond the new chains, markets, and collateral asset deployments, we’ve boosted lending and subsidized borrowing costs for thousands of users through securing incentives from partners.
If we are to compare our impact apples to apples with Aave, it’s important to note a few things. First, the Aave team has several times the budget and team size working on growth initiatives. Additionally, they are far less decentralized and conservative with their growth tactics.
A significant portion of their TVL growth has come from wstETH, WBTC and weETH. The supply rates indicate little utility for these assets; some supply rates as low as 0.01%.
Image: Aave Markets
Do to the conservative nature of Compound, and limited demand for borrowing, these three assets were initially rejected from being listed. Only very recently with the advent of the Symbiotic and Babylon narratives did the Compound community permit us to add wstETH and WBTC as supply side assets. Within our conservative operating mandate, we are doing everything that we can do bring value to the Compound DAO and users.
Additionally, Compound recently saw a black swan governance attack (prop 289). Although the crisis was averted, the initial PR shock led to nearly half a billion in capital outflows. It should go without saying that this event was out of our control.
All things considered, we completely agree that it’s essential for the Uniswap community to be cautious and align the budget with clear goals, especially in terms of marketing not equating to guaranteed growth. Attribution will play a key role here; on-chain reporting will speak to the efficacy of each campaign.
As we move these programs forward, we will nail down concrete KPIs along with a clear path for the UAC to ensure that what gets done is what needs to get done.
Without a fee switch turned on, we have to get creative in finding ways to bring real value to users. Our playbook is one proven way to do so.
Thanks again for the feedback; as we progress, we will make sure to prioritize transparency and results-driven action.