Legal Concerns Arise Over Metaplex’s SOL Relocation Plan
Burwick Law, a New York-based legal firm, has raised concerns about Metaplex’s plan to move over 54,000 unclaimed SOL into its DAO treasury. This action,worth about $7.3 million, has sparked legal worries and could harm user trust in the Solana ecosystem.
In an open letter on X, Burwick Law warned that Metaplex’s approach might lead to legal action. The SOL in question comes from a technical upgrade that resized NFT metadata accounts, freeing up some rent paid in SOL. Users have until April 25, 2025, to reclaim these funds. After this date, the remaining tokens will be moved to the DAO’s treasury.
Burwick argues that many NFT holders were not adequately informed about their unclaimed funds being relocated. this could violate consumer protection laws and undermine crypto transparency. the firm suggests that the rent was meant to keep NFTs on-chain, not to fund a future windfall.
Instead of proceeding with the sweep, Burwick recommends halting the process and issuing refunds to NFT holders. The DAO could retain a small portion, around 10%, for network maintenance. Metaplex has not yet responded publicly to these concerns.
Burwick Law is known for representing crypto investors in cases involving token mismanagement. They recently filed a class action lawsuit against the LIBRA token team for deceptive practices.
The firm urges Metaplex and Solana developers to act quickly to avoid legal battles and protect user trust.
