Gauntlet’s $2.3M contract renewal with Compound faces backlash
The renewal of Gauntlet’s $2.3 million contract with crypto lending platform Compound Finance is facing pushback for “economic underperformance” and “conflicts of interest,” among other criticisms. In a post to Compound’s governance forum, made in advance of Gauntlet’s own renewal proposal, Founder and CEO of AlphaGrowth, Bryan Colligan, recommended that Compound should “not rehire Gauntlet under the current model.” He made four main criticisms, accusing Gauntlet of having “operational gaps” and failing to maintain profitable collaborative programs with other platforms, in addition to the aforementioned “economic underperformance” and “conflicts of interest.” Compound DAO is voting on whether to renew Gauntlet’s $2.3M risk contract for another year. Alphagrowth wrote a case against: – Fixed $2.3M annual fee with little downside protection – Weak ROI from incentive programs – Unclear parameter change rationale – Conflict of interest… pic.twitter.com/dZ2G6CMxXN — Ignas...