Grant request for launching Compound with Aztec Connect

Aztec (https://aztec.network/) is building the programmable privacy layer for web3. In March 2021, Aztec launched the world’s first private rollup on mainnet that enabled private payments using the state of the art zkSNARK proving system, PLONK. To date, users have deposited over 30,000 ETH via zk.money, an application built on top of the Aztec network.

The network’s latest development is Aztec Connect, which enables users to interact cheaply and privately with any Ethereum DeFi application via a bridge contract that indicates how the rollup should interact with the application’s smart contract. With Aztec Connect, users can deposit into and borrow from Compound with significant gas savings and privacy by default.

This quarter, the integration will go live on zk.money. Aztec is requesting a $100,000 grant to subsidize deposits into Compound - with $50,000 distributed upfront and $50,000 released three months after launch. This subsidy will kickstart the network effects for this integration and enable significant gas savings while network throughput ramps up.

The proposal was discussed on the Compound Governance Forum and received support from the community. More detail about the grant request is available here: https://www.comp.xyz/t/enable-cheap-private-transactions-with-compound-using-aztec/2997

Note: The COMP requested in based on the COMP price at time of proposal submission.