Scroll Moves to Cut Security Council and Trim DAO as Struggles Mount

The governance overhaul comes on the heels of a fee controversy and the departure of the Layer 2 network’s top revenue generator.

Scroll is proposing to dissolve its Security Council and slash contributor roles across its DAO, the latest in a string of operational shake-ups for the embattled Ethereum Layer 2 network.

In a forum post published Monday, Scroll contributor Juan outlined plans to transfer protocol admin control from the Security Council to a newly created Scroll Admin multisig, with the transition targeted to be completed within 10 days, pending the council’s support.

The team framed the move as a cost-cutting measure, stating that the Security Council’s expense could no longer be justified relative to its recent usage. They added that Scroll will work with stakeholders to identify a new council structure “better adapted to current market conditions.”

Alongside the council dissolution, four DAO contributor roles, including the Accountability Lead, Accountability Operator, Marketing Operations, and Program Coordination positions, will be eliminated by April 30. A single Facilitator role operated by SEED LATAM will remain active through Q2 2026 to manage delegate operations and governance budgets.

The Operations and Accountability committees will shift to reduced capacity, with the post noting structures “remain in place and can scale back up as activity increases.”

The governance restructuring comes at a turbulent time for Scroll. Just last week,users on the network paid more than $50,000 in excess transaction fees after the team briefly raised fee multipliers on Scroll’s gas price oracle by a compounding 1,280x. The overcharges predominantly hit automated bots, including those still operating from EtherFi Cash’s ongoing migration away from the chain.

EtherFi, Scroll’s dominant consumer-facing app and top fee generator by a wide margin, announced in February that it would move its Cash accounts and card program to Optimism’s OP Mainnet.

Scroll’s TVL now sits at just $24 million, according to DefiLlama, a 96% decline from its October 2024 peak of $585 million.

The forum post states that the DAO “continues to operate and evolve” and encourages delegates to bring forward new proposals. But the combination of a collapsing user base and significant governance downsizing paints a stark picture for one of Ethereum’s early zkEVM pioneers.

This article was written with the assistance of AI workflows. All our stories are curated, edited and fact-checked by a human.

Source: https://thedefiant.io/news/blockchains/scroll-moves-to-cut-security-council-and-trim-dao-as-struggles-mount