Balancer Proposes Shutting Down Protocol, Distributes $9 Million Treasury
Balancer has proposed shutting down its DeFi protocol and distributing its at least $9 million treasury to BAL token holders who burn their tokens. The proposal, submitted by Marcus Hardt, a member of the Balancer treasury council and former CEO of Balancer Labs, outlines a phased termination of the protocol's activities.
New business development efforts will cease, the DAO's operations will end, and the previously approved BAL buyback plan will be canceled. The proposed distribution will allocate treasury assets proportionally among BAL holders who participate in the process by burning their tokens. However, BAL tokens held by the treasury will not be included in the distribution.
A limited exception is envisioned for tetuBAL holders. The proposal comes approximately six months after Balancer Labs shut down its operations due to a loss of around $128 million resulting from an exploit on November 3, 2025.