The Compound community has proposed a new fallback proposal to transfer custody of the EPCF and SVR funds to a community multisig wallet.

On October 8 that in response to Proposal 613, which was previously canceled by Proposal Guardian, Compound community member ugurmersin has submitted an alternative proposal. This proposal recommends transferring custody of the funds designated for the Ecological Protection and Continuation Fund (EPCF) and mainnet Chainlink SVR revenues from the multisig wallet currently controlled exclusively by the Compound Foundation to a community multisig wallet requiring five approvals out of nine signers (5-of-9).

Unlike Proposal 613, which directly closed the EPCF and transferred its funds to a time-lock contract, the new proposal preserves the EPCF's original purpose, scale, 48-month term, and emergency deployment capabilities, altering only the entity holding the spending keys. The affected assets include 500,000 USDC held by the EPCF, 4,583,411 USDC deposited into cUSDCv3, and 355.95 ETH in the mainnet SVR reserve (amounting to roughly 5.08 million USDC and 356 ETH combined).

The proposer noted that these funds are currently controlled by two identical addresses nominated by the foundation, lacking the withdrawal cooling periods and oversight mechanisms typically required for treasury management. On-chain data indicates that the foundation has previously executed related fund operations by transferring assets to centralized exchanges without disclosing these transactions in transparency reports. The proposal asserts that a community multisig wallet composed of nine distinct institutions would offer significantly stronger checks and balances and oversight.