Ethereum’s Scroll Alters Governance Approach

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Ethereum’s Layer-2 scaling initiative, Scroll, has announced a significant overhaul to its governance structure. Rather than dissolving, the Scroll Decentralized Autonomous Organization (DAO) will restructure to better adapt to prevailing market conditions. This information was unveiled to the community on their forum on Thursday, September 18.

Scroll DAO’s new governance model focuses on balancing community involvement with more effective decision-making. The DAO will now answer to the Scroll Foundation, which will continue to provide strategic direction and retain veto powers when needed. However, the foundation will no longer be involved in the DAO’s daily activities.

How Will the Implementation Unfold?

The updated governance plan involves reallocating the DAO’s financial resources, with budgets being set either annually or semi-annually. The project team assured that these changes pose no threat to the protocol’s stability, emphasizing user fund safety.

The operational workflow will now be overseen by the Execution Council, whereas the foundation will focus on strategic guidance. Upcoming applications for the Governance Council will soon be available, alongside work on a new DAO constitution.

In January 2026, during a designated voting period, the new governance model is slated for implementation. Key initiatives such as the Delegate Accelerator Program, the Ecosystem Growth Council, and the Security Subsidy Program will continue under their existing approved budgets and timelines. Following a few resignations in recent times, Scroll DAO delegate Olimpio indicated a temporary suspension in the governance mechanism, prompting this structural revision.

  • The Scroll DAO will report directly to the Foundation, which retains veto rights.
  • Annual or semi-annual budgets will ensure financial oversight.
  • Implementation of the new governance structure is planned for January 2026.

Scroll maintains that these adjustments will bolster efficiency without compromising the protocol’s integrity. The forthcoming voting period will be crucial for realizing these plans, providing a potential blueprint for other decentralized organizations seeking adaptability and operational efficiency.

Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.

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