Balancer Proposes Winding Down Protocol and Distributing Treasury

Balancer has proposed an orderly wind-down of its DeFi protocol and distribution of its treasury to holders of its native token BAL (BAL).

Marcus Hardt, a member of the treasury council and former Balancer Labs CEO, posted a governance proposal on Monday that outlines the plan.

The proposal would cancel a previously approved BAL buyback plan and instead distribute remaining treasury assets in kind and pro rata to BAL holders who burn their tokens.

The protocol's treasury holds at least $9 million worth of tokens, according to the proposal.

Hardt noted that while some new initiatives gained traction after token holders approved a plan to take the protocol to profitability in April, none successfully converted into sustained revenue growth.

If the wind-down proposal is approved, contributor notice would run through Oct. 31, and pools would be transitioned to withdrawals-only on Oct. 30.