Balancer co-founder Fernando Martinelli announced in a governance forum that, after careful consideration, the company has decided to shut down Balancer Labs. He pointed out that the v2 vulnerability attack on November 3, 2025, has created ongoing legal risks, maintaining a corporate entity responsible for past security incidents is detrimental to the protocol's future development, and the entity is unsustainable without a revenue stream. The core team members of Balancer Labs will be merged into Balancer OpCo, subject to governance approval. Martinelli stated that Balancer's annualized total fee revenue has exceeded $1 million in the past three months, and the protocol itself is still operational; the problem lies in the economic model surrounding the protocol and its excessively high cost structure. He supports the ongoing proposals for a token economic restructuring, including reducing BAL emissions to zero, shutting down the veBAL system, channeling 100% of protocol fees to the DAO treasury, reducing the V3 protocol share to 25% to attract liquidity, and providing exit liquidity for holders through BAL buybacks. In terms of products, the focus will be on reCLAMM, LBP, stablecoins, LST pools, and weighted pools, while reducing deployments on low-value chains. Fernando Martinelli stated that he will no longer maintain a formal relationship with the protocol after Balancer Labs closes, but is willing to continue providing support as an advisor.