# CIP-89: Unwind of the Balancer tokenswap and repurchase of COW held by Balancer DAO **URL:** \ **Category:** Governance\ **Created:** [September 21, 2026, 6:51pm UTC](https://forum.cow.fi/t/cip-89-unwind-of-the-balancer-tokenswap-and-repurchase-of-cow-held-by-balancer-dao/3582 "2026-09-21T18:51:47Z")\ **Posts on this page:** 4\ **Page:** 1
**Author:** ![notsoformal](https://dub1.discourse-cdn.com/flex013/user_avatar/forum.cow.fi/notsoformal/32/968_2.png) [@notsoformal](https://forum.cow.fi/u/notsoformal)\ **Post date:** [September 21, 2026, 6:51pm UTC](https://forum.cow.fi/t/cip-89-unwind-of-the-balancer-tokenswap-and-repurchase-of-cow-held-by-balancer-dao/3582/1 "2026-09-21T18:51:47Z")
> author: notsoformal > status: Active > created: 2026-09-21 > Note: an equivalent proposal has been posted on the Balancer forum at [link](https://forum.balancer.fi/t/bip-xxx-balancer-x-cowswap-tokenswap-and-token-purchase/7115) **Simple Summary** This CIP proposes that CoW DAO terminate the arrangement entered into under [CIP-69](https://snapshot.org/#/s:cow.eth/proposal/0x718291e0719593529657506a0cbd978b174acb51fdde0abff27456a081deedea) with Balancer DAO: waiving the two-year hold period on 631,850.824075 COW and returning the 200,000 BAL received by Balancer DAO. The repurchase of Balancer DAO’s COW position is executed separately under CoW DAO’s existing buyback mandate and is not the subject of this vote. #### **Motivation** [CIP-69](https://snapshot.org/#/s:cow.eth/proposal/0x718291e0719593529657506a0cbd978b174acb51fdde0abff27456a081deedea) and [BIP-770](https://snapshot.org/#/s:balancer.eth/proposal/0x32ab0d2e7470cf656fc755501073d9921588ab7e8a43792e6dace0255783945f) established a two-year aligned position between the two DAOs around the launch of CoW AMM on Balancer infrastructure, with a hold period running to January 2027 and reciprocal utility commitments. Balancer DAO is voting on an[orderly winddown](https://forum.balancer.fi/t/bip-xxx-orderly-winddown-of-balancer-and-distribution-of-the-treasury/7107) with in-kind treasury distribution to BAL holders from end of May 2027. The purpose the arrangement was built for no longer exists on either side, and the hold period now blocks both DAOs from acting cleanly on their asset positions. This CIP removes that block. It does two things: 1. Releases 631,850.824075 COW from the CIP-69 hold and terminates the associated utility commitments. 2. Returns the 200,000 BAL to Balancer DAO in exchange for the 631,850.824075 COW, ending CoW DAO’s claim on the Balancer treasury and its exposure to a redemption process running to July 2028. #### **Rationale** **What the DAO is voting on.** Only the waiver and the BAL return. If this CIP fails, the 631,850.824075 COW remains locked to January 2027, CoW DAO retains a redemption claim on a winding-down treasury through July 2028, and the Treasury Committee may still repurchase the unrestricted 581,597.422125 COW under the standing buyback mandate. **What the DAO gives up.** The 200,000 BAL would otherwise be redeemable in kind for roughly $20–28k between May 2027 and July 2028. Returning it forgoes that claim. #### **Execution** Token swap would occur under guidance of @kpk as the mandated treasury manager for both DAOs. Edit note: This CIP mandate is only fully enforceable in case the corresponding [BIP](https://forum.balancer.fi/t/bip-xxx-balancer-x-cowswap-tokenswap-and-token-purchase/7115/6) is approved, releasing CoW DAO from its corresponding obligation. ---
**Author:** ![karolak](https://dub1.discourse-cdn.com/flex013/user_avatar/forum.cow.fi/karolak/32/1363_2.png) [@karolak](https://forum.cow.fi/u/karolak)\ **Post date:** [September 21, 2026, 9:20pm UTC](https://forum.cow.fi/t/cip-89-unwind-of-the-balancer-tokenswap-and-repurchase-of-cow-held-by-balancer-dao/3582/2 "2026-09-21T21:20:43Z")
great use case for [# Private Trade Links](https://forum.cow.fi/t/private-trade-links/3558) 😃 ---
**Author:** ![notsoformal](https://dub1.discourse-cdn.com/flex013/user_avatar/forum.cow.fi/notsoformal/32/968_2.png) [@notsoformal](https://forum.cow.fi/u/notsoformal)\ **Post date:** [September 29, 2026, 3:59pm UTC](https://forum.cow.fi/t/cip-89-unwind-of-the-balancer-tokenswap-and-repurchase-of-cow-held-by-balancer-dao/3582/3 "2026-09-29T15:59:38Z")
This has now moved into Snapshot: > **[Snapshot](https://snapshot.org/#/s:cow.eth/proposal/0xc166c096b6527e62c44be766032bff87659b0935cb116d419e08ba4f40a17507)** The proposal was re-introduced to snapshot on Sep 30th due to wrong numbering on the CIP. ---
**Author:** ![KPK](https://dub1.discourse-cdn.com/flex013/user_avatar/forum.cow.fi/kpk/32/1731_2.png) [@KPK](https://forum.cow.fi/u/KPK)\ **Post date:** [October 15, 2026, 12:53pm UTC](https://forum.cow.fi/t/cip-89-unwind-of-the-balancer-tokenswap-and-repurchase-of-cow-held-by-balancer-dao/3582/4 "2026-10-15T12:53:08Z")
**Update:** the tokenswap with Balancer DAO has been executed and is now complete. CoW DAO received 1,179,455.7 COW from Balancer DAO, returning 200,000 BAL and paying 30.2192 ETH. This reverts the BIP-770 swap and covers the purchase of Balancer’s remaining COW at the 15-day TWAP. Transactions: - COW transfer: [0x56e6…8cc9](https://etherscan.io/tx/0x56e621885544b6c2a5eef73a33886afa4d06bc28c6c1e98d480ed2cf0dd48cc9) - ETH transfer: [0x6995…163b](https://etherscan.io/tx/0x69955dedd95716b028ce6f637ee2f1507c438f90eace319b635fef39b49c163b) - BAL transfer: [0x5b16…e626](https://etherscan.io/tx/0x5b16b9d855c1fdc1cf04bc56357b5a9a5dae9e8dbbdcb9375917c13b6d03e626)