In rejecting TIP-121, community members questioned the proposal’s lack of timelines and precise numbers.
An April 2022 attack that resulted in the theft of nearly $80 million from various Rari Fuse pools required decentralized finance (DeFi) platform Fei Protocol to come up with a solution that minimized the damage to the ecosystem. Fei Labs’ recent proposal, which in part recommends withdrawing membership from the Tribe DAO, was met with mixed feelings by the community.
Fei Protocol founder Joey Santoro announced TIP-121’s latest proposal: Tribe DAO’s Future Proposal, which reveals the company’s intention to make amends for Fuze victims. It also outlines asset buyback and protocol-driven asset allocation (PCV) plans used to manage liquidity and yield.
Community members questioned the proposal’s lack of timelines and exact numbers.
Fragment of the TIP-121 proposal. Source: tribe.fei.money
One member, Onigiri, explained:
“I think trust has eroded and I can’t believe that such a vague offer, probably passed over by an army of bloodthirsty lawyers, would end up in users’ favour.”
The Fei Protocol previously offered the hacker a $10 million reward for the return of $80 million worth of assets, but the hacker did not respond.
In search of responsible direction that reduces risk, the protocol intends to protect the FEI bond without the need for governance. “Upon the completion of this proposal, and regardless of whether its individual parts fail or succeed, Fei Labs will no longer participate in the Tribe DAO,” the proposal reads.
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On the bright side, Ethereum-based algorithmic stablecoin project Beanstalk Farms has restarted just four months after being shut down due to a $77 million governance exploit.
“The beanstalk proved stronger than ever at the other end of this ordeal. This is a testament to the protocol’s credibility and its potential to help make a permissionless future a reality,” Publius, the development team behind the stablecoin and the BEAN protocol, told Cointelegraph.