Balancer Proposes Phased Wind Down After Revenue Slumps

Decentralized exchange protocol Balancer is considering a complete wind down through a new governance proposal. The plan suggests moving eligible pools to withdrawals only starting next month and eventually returning the remaining DAO treasury to token holders.

Back in April, the protocol underwent a major restructuring to cut costs and focus on the launch of version 3. Despite these changes, monthly revenue continued to slide from over $200,000 down to under $60,000, largely impacted by a major exploit in November that drained funds from older pools. The protocol is currently burning around $150,000 per month, which outpaces what it brings in.

Under the proposed schedule, contributor contracts would end soon, and a small transition team would manage the final stages. A token holder payout process is planned to start in May 2027 using the remaining treasury assets, while a separate community proposal might attempt to keep the core infrastructure running under a new name.