This podcast episode delves into the recent governance attack on Compound Finance, examining the complexities of DAO governance and highlighting the inherent vulnerabilities of decentralized systems. The hosts and guests discuss the patterns of similar attacks, the nuances of labeling such actions as malicious, and the ongoing need for improved mechanisms to sustain participation and mitigate risks. Ultimately, the episode emphasizes the critical balance between preserving decentralization and establishing effective governance while advocating for direct engagement to navigate the challenges posed by pseudonymous actors.