DeFi & NFT

Story: Compound Finance Drops $52M and Three New Executives in Institutional Pivot

By Pankaj K

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Why Institutional, Why Now. The pivot makes sense when you look at where DeFi's growth story is actually heading.

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The Bigger DeFi Backdrop. Compound's move lands during a genuinely rough stretch for decentralized finance.

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Compound Finance just made its biggest bet yet. The DeFi lending protocol pushed through a $52 million budget — the largest its decentralized autonomous organization has ever…

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The numbers tell the story pretty fast. Compound's total value locked has cratered from $12 billion in September 2021 down to $1.2 billion today. That's not a dip.

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Three names. That's the new leadership core.

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Christopher Donovan comes in as Chief Operating Officer. Steven Liu, who built his reputation scaling Maple Finance, takes the Chief Product Officer seat.

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The pivot makes sense when you look at where DeFi's growth story is actually heading. Retail participation has cooled sharply across the sector.

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Compound's new team seems built to speak that language. Schnarch ran custody operations at Coinbase, which means he's spent years navigating the exact intersection of crypto…

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The $52 million budget is the mechanism. It's unclear exactly how Compound's DAO plans to deploy every dollar, and the protocol hasn't broken down the allocation publicly in…

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Read also: Strategy Sells 3.46 Million MSTR Shares, Sits on 840,447 Bitcoin Without Buying More

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Compound's move lands during a genuinely rough stretch for decentralized finance. TVL across the sector fell by over a third this year. Security breaches rattled confidence.

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But the longer-term forecasts are hard to ignore. Projections put the DeFi sector at $2.7 trillion by 2030, driven largely by the tokenization of real-world assets — think bonds,…

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It's a smarter bet than trying to win back retail users who've moved on.

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Compound built its name on decentralized lending to individual users. That was the original pitch — borrow and lend without a bank in the middle.

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See also: SafePals 39,798-Customer Data Leak Exposes Shipping Addresses and Phone Numbers

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