Compund is reoriented. This old DeFi loan agreement has replaced the management team and, through a $52 million budget, hopes to re-attract funds when the size of the lockdown is significantly behind schedule. The focus of the new scheme is no longer on retail users, but on providing products and infrastructure to institutional clients that are more responsive to traditional financial requirements.
It's clear that the TVL's higher.
Compund indicates that the total value of the platform ' s current locking is approximately $1.2 billion, a significant decrease from the high point of approximately $12 billion in September 2021. Since its inception in 2018, the agreement has cumulatively processed deposits and loans of approximately $480 billion, which was one of the representative projects of DeFi's lending track.
However, in the past few years, Compund ' s market share has been pulled by competitors. DeFiLlama data show that Aave's current locking capacity is approximately $14.8 billion, which is more than 11 times the size of Compund.
New orientation for corporate clients
According to the company ' s statement, three types of capabilities will be highlighted:
- Real World Assets (RWA) Related Products
- System access by partners
- Credit infrastructure for traditional financial markets
These products will be designed around compliance and technical requirements to fit the standards of control, operation and access for traditional financial institutions. The new Executive Director, Aaron Schnarch, stated that, despite its innovative nature, the existing products still faced difficulties in meeting the requirements of traditional financial institutions at the compliance and technical levels.
Management Synchronization
Most of the new team members came from traditional financial and encryption institutions. Christopher Donovan, the new Chief Operator, held the same position in the Near Foundation; Steven Liu, Chief Product Officer, previously promoted the increase in Maple Finance assets from $500 million to $5 billion; and Aaron Schnarch, former Chief Executive Officer of Coinbase Custody, became Executive Director.
Compunding also stated that the other new members were from Angelage Digital, HSBC, Broadridge Financial and Maple Finance.
The $52 million budget is high for DAO.
The report mentions that the budget of $52 million adopted was the largest budget approved by Compund DAO. At the same time, the total size of the entire DeFi block has declined by over one third since the beginning of the year, to about $70 billion. Industry sources believe that, after declining retail participation, the chain of finance is moving more towards institutional settlements, enforcement and credit.