- Across insiders reportedly used anonymous wallets to influence DAO votes, securing millions in ACX tokens for their for-profit firm, Risk Labs.
- Public proposal claimed long-term utility, but on-chain data revealed insider votes helped approve the $15M treasury transfer without transparency.
- A second funding request worth $7.5M passed only due to secret team voting, despite prior claims that tokens wouldn’t be sold early.
The Across Protocol team is facing serious scrutiny following accusations of secretly controlling DAO votes to transfer nearly $23 million to Risk Labs, its private company.
Secret Wallets Allegedly Used in DAO Voting Process
According to a tweet by Glue founder Ogle, the Across Protocol team manipulated DAO votes using undisclosed wallets. The proposal, introduced in October 2023 by Kevin Chan, requested 100 million $ACX tokens (worth $15 million at the time) to be sent from the DAO treasury to Risk Labs.
Though the proposal was publicly presented as a move to fund Across Protocol’s development, further investigation reveals that DAO votes appeared to come from insider-controlled addresses. Kevin Chan used a different wallet, maxodds.eth, to cast large “yes” votes in secret. The wallet is linked to his FriendTech profile and relatives’ wallets.
Other team members reportedly did the same. Reinis FRP, another member, used several hidden wallets to support the proposal. One wallet, responsible for 14% of the total votes, was reportedly funded by Across co-founder Hart Lambur.
A Second Proposal Involving Retroactive Funding Followed
Less than a year later, the team introduced a new proposal for “retroactive funding,” requesting 50 million $ACX tokens, valued at $7.5 million. On-chain data shows that Chan’s anonymous wallets contributed 44% of the total “yes” votes.
While the team had stated during the first proposal that no tokens would be sold for two years, forum discussions revealed that token options were sold to unnamed strategic investors. No formal agreements were in place between the DAO and Risk Labs to ensure these funds would be used exclusively for Across development.
Additionally, this second proposal barely met the quorum threshold, which it only achieved due to insider voting. Without these votes, the funding round would have failed.
Governance Concerns Raised Over Conflict of Interest
Wu Blockchain shared the tweet alleging that Across Protocol insiders misrepresented community support by using hidden addresses to influence DAO governance in their favor.
Observers argue that this kind of voting undermines DAO structures. The funds in question were meant to benefit $ACX holders but may now result in sell pressure as token unlock periods approach. The absence of transparency raises questions about accountability within crypto projects operating under the DAO model.
Ogle noted that the team declined to disclose the extent of their participation in voting. Discussions with company leaders, including Risk Labs’ CEO Hart Lambur and Treasurer Kevin Chan, did not resolve concerns.
The controversy centers on whether DAO governance can function when insiders dominate the voting process without disclosure. Blockchain records, however, leave behind evidence of each transaction, raising awareness around DAO fund management.
