We are pleased to announce that the Compound Growth Program has received a 150,000 OP grant from the Optimism Grants Council (Equivalent to ~$400K , $600K at the time of applying for the grant) This funding will support our initiatives to increase user engagement and grow the Total Value Locked (TVL) on the Optimism network.
For additional details on our application, visit: Compound’s Grant Application.
Background:
The Compound Growth Program began focusing on deploying Compound on the Optimism network starting in December. By April 2024, after diligent work on development and completing necessary audits, we successfully launched on Optimism.
In alignment with this launch, we applied for a grant from the Optimism Grants Council, which can award up to 250K OP. Initially, we aimed for 210K OP but adjusted our request to 150K OP to align with the availability of funds from the highly sought-after grants program.
This grant represents a key step in strengthening the collaboration between Compound and Optimism, supporting our efforts to enhance our platform’s functionality within the Optimism ecosystem.
Distribution Mechanisms
The grant is specifically earmarked to incentivize user engagement on our platform. To comply with the grant’s requirements, AlphaGrowth’s legal entity will handle the necessary KYC verification process.
We previously discussed the limitations of the Compound Rewards Contract in distributing more than two tokens in our announcement of the $1.8 million Arbitrum Grant. You can find more details here.
To address these challenges and optimize the distribution of grants, only the updated rewards contract will be capable of seamlessly integrating grant incentives with COMP rewards, thereby enhancing the APR on Compound Markets. The Compound Growth Program has already completed the development of this new rewards contract, which is currently pending an audit by OpenZeppelin.
Until the new rewards contract is deployed, we will rely on interim solutions to manage distributions effectively.
Further Reading
- Compound Finance Grant Application
- Optimism grant announcement
- More information about Optimism Grants
We will keep the community updated about the KYC process and the Grant distribution. Stay Tuned!