Compound

Background

Starting on Dec 21st, 2021, OpenZeppelin was selected to offer the Compound DAO security services including continuous audit, security advisory, and monitoring. In the past, OpenZeppelin has created a proposal every quarter to perform the next service fee payment of $1M in COMP.

With the adoption of Proposal 249, there is now a standard payment process for all Compound DAO service vendors utilizing payment streams in USDC. This new process is intended to reduce governance overhead for voters and streamline the process of paying all DAO service vendors, starting with OpenZeppelin.

By utilizing the new vendor payment process, OpenZeppelin will move to a yearly renewal model for our Security Partnership. As such, this proposal will initiate a payment of $4M in USDC to be streamed over the course of a year starting at the beginning of Q3 2024.

Compensation Structure

This proposal calls createStream on a Llama Pay Router, via the Compound Aera vault’s execute function. The stream will pay out on a per second basis over a year. $4M USDC over 31536000 seconds gives a rate of 0.12683916793 USDC/sec.

OpenZeppelin will be able to withdraw the vested funds at any time.

The funds are already in the vault as USDC, so no other transfer of funds is needed.

More detail in this forum post.

By approving this proposal, you agree that any services provided by OpenZeppelin shall be governed by the Terms of Service that were updated as of Sep 19th, 2023.