Scroll DAO Dissolves Security Council, Cuts Roles Amid Cost-Pressure and Fee Controversy

Scroll DAO Dissolves Security Council, Cuts Roles Amid Cost-Pressure and Fee Controversy

N
News Editor 01
2026-07-24 07:35:17
Scroll DAO plans to dissolve its decentralized Security Council, shifting protocol control to an internal multisig, while cutting multiple contributor roles. The move follows a sharp fee hike that forced users to pay over $50,000 extra in six days, raising governance concerns.

Scroll DAO is reshaping its governance model under cost pressures. The project announced it will dissolve the decentralized Security Council and transfer protocol admin control to an internal multisig address, with all contract changes executed transparently on-chain. The shift requires council approval to go live. The move comes days after Scroll reversed a drastic fee increase that added more than $50,000 in user costs over roughly six days.

Security Council Dissolved: Cost-Benefit Analysis

Scroll DAO stated that after reviewing council usage over recent quarters, the expense no longer justified the value delivered. The proposed multisig address is 0xcca54B0916Cee2186b47E9709BEdcb7041A8F761. Contracts moving under the new setup include ScrollOwner, AgoraGovernor, and timelock contracts. Timelocks delay major protocol actions, giving users time to see changes. The DAO emphasized it still values security councils for protocol resilience but plans to work with stakeholders on a new structure suited to current market conditions.

Staff Reductions: April 30 Deadline

Beyond the Security Council, several DAO contributor roles will end by April 30, 2026: Marketing Operations, Program Coordination, Accountability Lead, and Accountability Operator. One Facilitator role tied to SEED LATAM will remain active through Q2 2026, managing delegate operations and the DAO allocation budget. Operations and Accountability committees will shift into reduced mode, with structures kept in place but daily activity scaled back. The DAO says it can scale them up later if demand returns.

Fee Hike Episode: 1,280x Surge and Aftermath

The timing matters. In early April, Scroll sharply raised fees for publishing data to the Ethereum L2 mainnet; within six days costs rose roughly 1,280 times. Users paid over $50,000 in extra charges before the rollback on April 9. While Scroll did not directly link the fee incident to the Security Council change, the back-to-back events raise questions about internal control and governance checks. For traders and users, trust is the core issue. A leaner structure may reduce expenses, but tighter internal control invites scrutiny, especially after a costly fee reversal. In the competitive L2 market, balancing decentralization, security, and sustainable costs remains a challenge.

This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan.
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