Across Protocol- Community Reacts to ACX Token Supply Cap Proposal
Across Protocol– The recent discussions surrounding the ACX token have sparked significant debate within the crypto community. Hart Lambur, co-founder of Across Protocol, has proposed a permanent cap on the supply of ACX tokens at one billion. This initiative comes in response to concerns raised by Bryan Pellegrino, CEO of LayerZero Labs, regarding potential vulnerabilities in the Across token contract.
Addressing Allegations of Vulnerability
Pellegrino previously highlighted what he termed a critical issue with the Across token contract. He accused the team of exposing an internal function meant for token burning, which he claimed allowed the contract owner to potentially wipe out tokens from any wallet at will. You mistakenly exposed what was meant to be an internal private function… allowing you to take [burn] tokens out of any wallet at any point in time, Pellegrino stated.
In contrast, the community largely viewed this as a transparency issue rather than a critical security flaw. Lambur dismissed Pellegrino’s claims as disingenuous FUD and fear-mongering, asserting that the contracts had been audited by OpenZeppelin and were secure. Jota Carpanelli, OpenZeppelin’s head of security, supported Lambur, stating that the mint and burn functions were properly controlled by a multi-signature wallet and functioned as intended.
Proposal for Decentralization and Transparency
In light of the ongoing discussions, Lambur’s proposal aims to renounce Across Governance’s ownership over the ACX token and transfer ownership to a non-mutable address (0x0). This move is designed to prevent any future changes to the token supply, including minting or burning. If approved, this would align with the community’s desire for greater decentralization and transparency in the management of ACX tokens.
Despite the initial backlash, Lambur later conceded that Pellegrino’s criticism pointed to a design choice that was wrong, emphasizing that the proposal was made in the spirit of improving the protocol’s governance structure. Pellegrino responded to the discourse by indicating that most users may be unaware of the risks involved, asserting that the critical issue designation was more than just semantics.
Community Sentiment and Future Implications
The community has engaged actively in the discussion surrounding the proposal. A non-binding temperature check vote currently indicates that 99.5% of participants favor the supply cap, reflecting strong support for the initiative. This sentiment illustrates a collective desire for more robust governance mechanisms within the Across Protocol ecosystem.
As the conversation continues, the implications of this proposal may extend beyond the ACX token itself, setting a precedent for how decentralized protocols handle governance and transparency issues in the future. With Lambur’s proposal, the hope is to reinforce trust within the community and ensure that all stakeholders are informed and secure in their investments.
FAQs
What is the ACX token supply cap proposal?
The ACX token supply cap proposal aims to permanently limit the total supply of ACX tokens to one billion. If approved by the Across community, it will also transfer ownership of the ACX token to an immutable smart contract, preventing any future minting or burning of tokens. This initiative was proposed by co-founder Hart Lambur in response to concerns raised by LayerZero Labs CEO Bryan Pellegrino.
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