I'd also second going the acrylic/balsa route with pastes. FYI, I don't really use them myself, except on the Rolls Razor system, and that uses a grease based FeOx (red) paste.
It's irreversible. Any strop treated with compound is a pasted strop from then on out. You might be able to get it back to just being a 'normal' strop, but it will take lots of cleaning, some sanding, and use before it will ever be normal again.
Diamond emulsions are pretty popular as a stropping compound. CBN (cubic boron nitride) emulsions are becoming more popular, and people say the grit size is more consistent than the diamond emulsions.
Whether using diamond, CBN, or pastes, a little goes a long way. As the old hair cream commercial jingle goes, "just a dab will do you."