CoW DAO Addresses Surplus Shifting Concerns in CoW Protocol

The CoW DAO acknowledges an instance of surplus shifting that negatively impacted CoW Swap traders while benefiting liquidity providers on CoW AMM. The CoW Protocol team expresses concern about the practice’s potential to affect user fairness. This situation, though rare, is addressed by penalizing solvers and compensating affected users when it occurs. Following a review, the CoW DAO plans to implement actions to prevent such occurrences in the future.