Matt Stoller Pokes Fun at Compound Finance After it Threatens to Report Investors to the IRS

Here's what exactly happened: Compound Finance crypto (COMP), which runs as a marketplace used by crypto investors to lend and borrow their digital assets, accidently sent $90 million to its users' accounts. Its CEO Robert Leshner took to Twitter literally begging users to send back the mistakenly sent amount and also gave out their wallet address.

If such a big blunder wasn't enough, Leshner in the tweet threatened users who don't send back the amount that the company will provide all the details to the IRS and dox them. What's surprising here is that COMP has always fought legislation on taxing crypto and wanted it to be decentralized. But now all of a sudden after they lose money, the CEO says ''Dox you to the IRS.''

Matt Stoller Compound Finance Crypto Debacle
Twitter

What's even the more ridiculous in Leshner's tweet is that he says there's a reward to those who return the amount to the mentioned wallet. The reward is that they get to keep 10% of the amount as a ''white-hat'' gesture. Unfortunately the 'accidently sent' amount has been distributed to 280,000 COMP users.

Funnily, to round thing up: COMP fights legislation on taxing crypto, later accidently sends $90 million to its users, then begs them to return the amount, threatens to dox users to the IRS, finally says you can keep 10% of the amount as white-hat, and the firm will also help users facilitate income tax evasion. Wow!

Robert Leshner COMP threatens users IRS Dox
The CEO of COMP threatens users with IRS if the amount is not returned. Twitter / Robert Leshner

''This has been, without a doubt, the worst day in the history of the Compound protocol,'' Leshner told CoinDesk.

Matt Stoller, the Research Director at the American Economic Liberties Project (AELP), poked fun at the way how crypto CEOs govern and take decisions mostly based on what's good for them at the moment; by spending months against legislation on taxing crypto and then wanting the IRS to visit their customers when things don't go their way.

In a series of tweets, Stoller said ridiculing Leshner and COMP: ''This is the best thing ever. A crypto firm in August fought legislation on taxing crypto by saying they didn't have and couldn't get info to report. Now they accidentally sent people lots of money and all of a sudden the crypto bro CEO says they can dox you to the IRS.''

Stoller followed up the tweet and said: ''Also amusing is that he's saying that the reward for returning the money is that you get to keep some of it and his firm will help you facilitate income tax evasion. Crypto bros are amazing.''

Compound Finance (COMP) at the time of publishing was trading at $328.50 and is down -0.80% in the days trade.

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