A brand new decentralized autonomous group (DAO), allegedly consisting of a “A devoted group of Azuki fanatics” has launched a proposal to reclaim 20,000 Ether (ETH) from Zagabond, founding father of blue-chip non-fungible token (NFT) model Azuki.

Initiated on July 2, the proposal would rent a lawyer to take authorized motion in opposition to Zagabond, whose actual title is Alex Xu, for allegedly “interfering” with a number of tasks. The reclamation is demanding $39 million value of ETH earned by launching Azuki’s controversial NFT assortment, Elementals. It’s proposed that every one recovered funds be returned to the DAO to “encourage the expansion of the complete Azuki group”.

The AzukiDAO proposal goals to get well $39 million from Zagabond. Supply: Snapshot.org

On the time of publication, 88.11% of AzukiDAO (BEAN) tokens voted in favor of the motion, whereas 11.9% voted in opposition to. The supply is predicted to finish on July 3 at 6:38 a.m. UTC.

What’s AzukiDAO?

Though AzukiDAO claims to be made up of “OG Azuki holders,” some have questioned the origins of the DAO and its relationship to members of the Azuki Venture.

In a July 3 Twitter thread, pseudonymous commentator Tytan.ETH informed his 19,000 followers that almost all Azuki holders had by no means heard of the AzukiDAO and assumed it was “both faux or a gaggle with malicious intentions”.

Right here is extra data on the place the unique tweet about AzukiDAO got here from. Most Azuki holders have by no means heard of this group and assume it’s both faux or a gaggle with malicious intent.

The token for voting was minted two days in the past, so there may be this: https://t.co/pF37xr0fQE https://t.co/0SbJLKcnNT

— Tytan.ETH (@Tytaninc) July 2, 2023

Information from Etherscan reveals that the contract for the BEAN token used to vote on the proposal was created simply two days in the past, whereas the associated Twitter web page was created as lately as June 2023 and the Discord channel has simply 116 members having.

Chatting with Cointelegraph, Zagabond mentioned AzukiDAO is an “unknown group” that “would not seem like legit.”

In response to a collection of questions relating to the group, an AzukiDAO consultant informed Cointelegraph that they might “desire to not disclose private account data.”

Cointelegraph contacted Azuki in a remark, however didn’t obtain an instantaneous response.

Elemental controversy defined

Azuki NFTs house owners and pundits from the broader NFT group have leveled a lot criticism on the Azuki staff because the controversial launch of its Azuki Elementals assortment on June twenty seventh.

The Elementals mission was first hinted at throughout an Azuki-branded occasion on June 23 in Las Vegas, the place a small allocation of the 20,000 NFTs was given out to pick Azuki holders.

The remaining NFTs have been made accessible for buy on June 27 at 4:00 p.m. Present holders of Azuki NFTs and holders of “BEANZ” – one other spinoff mission – have been granted a 20-minute pre-sale window.

Associated: Sure, the Secret Service has an NFT assortment and no, it isn’t on the market

The sale by no means went public as the complete assortment was bought privately in lower than quarter-hour. Total, the launch introduced in $38 million for the Azuki staff.

The Azuki Elementals assortment. Supply: OpenSea

This sparked widespread backlash, with complaints starting from the small presale window to coin failures on account of a congested website and the shortage of originality within the new NFT artwork.

NFT holders additionally expressed concern that the discharge of 20,000 new NFTs would dilute the value of current NFTs within the assortment. The controversy peaked when the mission staff reportedly transferred 20,000 ETH from the pockets shortly after the gathering was issued.

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Replace (July 3, 22:27 UTC): This text has been up to date to incorporate solutions from AzukiDAO and Zagabond.