Scroll DAO to dissolve Security Council, cut staff after Ether.fi migrates to Optimism and removes ~$160M TVL and ~$13M/year in fees
first published 2026-04-14T14:07:56Z
After top fee-generating dApp Ether.fi migrated to Optimism, moving ~300,000 accounts and nearly $160M in TVL off Scroll, Scroll’s TVL fell to about $23M. Scroll’s DAO will propose dissolving its Security Council, transfer network control to an internal account, lay off contributors and reduce operations; a handover is planned within 10 days pending council approval. The update also flagged an artificially manufactured 1,280x fee repricing in early April that caused ~ $50,000 in excess fees before being rolled back on April 9; all contract changes will be executed transparently on-chain.
AI Analysis
Ether.fi migrated ~300,000 accounts and nearly $160M in TVL to Optimism, removing about $13M in annualized fees and leaving Scroll with ~ $23M TVL. The DAO is proposing to dissolve the costly Security Council, transfer control to an internal account, and lay off contributors. The story also reports a 1,280x fee repricing that forced ~ $50,000 in excess fees before rollback — all concrete facts that reduce protocol revenue and operational capacity and create short-term governance risk.
Expected Investor Sentiment: Bearish
Potential Market Impact: High