Robert Leshner the founder of Compound Labs seems to rely on customers’ behavior amid $80M bug in the system. However, he also tried to threaten users with the IRS. Despite all these things the rest of the Compound Lab developers are now relying on the goodwill of users.
However, the question arises that in case a DeFi protocol accidentally transfers the money to a customer’s account, are they obliged to return it back or not? Its more of a moral dilemma Compound Labs is facing at the moment.
During an interview the founder of the Compound Labs Robert Lashner said that Compound Labs accidentally transferred around $80 million to users account due to some bug in the system. While talking about the $80 million exploits, Robert said that users must send the money back to the protocol.
The incident occurred back on Wednesday when Compound’s money market code experienced a bug. As the result, the system automatically initiated an enormous disbursement of COMP tokens which were intended for long-term liquidity mining rewards.
This is one the unique cases of it nature where a protocol’s system has automatically transferred the money to public accounts. However, the company accepted that their system was bypassed due to some error shortly after the incident happened. They further added that users’ accounts are safe and as per now there are no threats regarding the breach of users’ privacy.
The error has only affected the Compound’s Comptroller Contract, which is specifically designed for distributing liquidity mining rewards earned over time. As a result of the error almost the entire Comptroller Contract is being drained. Almost 280,000 COMP is being distributed into the user’s accounts.
This has also raised serious questions about the security being implemented by the various DeFi protocols. People have started to ask that is a bug can attack a company’s distribution system, then customer’s security is also at the risk. Despite all these security concerns, there are some people who have started to argue about the morality of the users as well. A whole new debate has started that whether users are obliged to send the funds back to the protocol or not.
During his interview with CoinDesk, Leshner said that this has been the darkest period of Compound Lab’s history. He further added that what makes it even worse is that not a single official of the company can do anything except sit back and wait for customers to return the COMP back.
Moreover, this has also given birth to a case where first-time eve in the crypto marketplace the ethical of role of users being discussed. However, previously all the spotlight was given to the crypto companies.