Metaplex Faces Criticism Over Unclaimed Solana Funds Plan

According to Cointelegraph, the Solana-based non-fungible token platform Metaplex is under scrutiny from crypto law firm Burwick Law regarding its plan to transfer unclaimed Solana (SOL) into its treasury instead of returning it to investors. Burwick Law has suggested that Metaplex could face litigation if it proceeds with this plan. Last year, Metaplex discovered a method to reduce on-chain storage for certain NFTs, allowing Solana NFT holders to claim a small amount of SOL. In October, Metaplex announced that holders of Metaplex Token Metadata (TM) NFTs could execute a “resize optimization” for all TM accounts by April 25. Those who did not voluntarily resize by the deadline would have their excess SOL automatically transferred to the Metaplex DAO, with the use of these funds yet to be determined. Burwick Law criticized Metaplex's decision to sweep unclaimed funds into its DAO treasury rather than returning them to NFT holders. In an open letter dated April 22, Burwick expressed concerns that many minters were not adequately informed that these lamports could be swept and diverted to a treasury they do not control. The firm highlighted that over 54,000 SOL tokens are at risk, with only 7,043 SOL claimed according to Metaplex’s website. At current market prices, this leaves more than $6.5 million unclaimed. Burwick stated that many NFT collectors it represents have expressed significant concerns about the plan, arguing that it undermines trust and violates the spirit of cryptocurrency. The firm emphasized that the principle of 'code is law' only holds when rules are clear and immutable, warning that if a protocol can alter agreements retrospectively, the promise of decentralized permanence becomes meaningless. Burwick Law further suggested that victims could be entitled to restitution if a court finds the sweep constitutes unjust enrichment or violates consumer protection laws. Metaplex has not responded to Burwick’s post on X, and Cointelegraph's attempts to reach Metaplex for comment were unsuccessful. Metaplex has indicated that the unclaimed SOL may be used for DAO initiatives such as voting on airdrops, distributing grants to ecosystem builders, or other projects. Burwick Law proposed that Metaplex should pause its plan and refund rent directly to current NFT holders while retaining a modest network-maintenance bounty of 10%. This approach, according to Burwick, would protect users, preserve DAO funding, and demonstrate that the Solana ecosystem can self-regulate without legal intervention. The firm noted that other DeFi protocols have resolved similar issues in this manner and urged Metaplex to adopt this strategy to avoid litigation and potential fund freezing. Burwick concluded by stating that the responsibility lies with the DAO to demonstrate that Web3 can correct its course and adhere to its founding principles of transparency, immutability, and fair dealing.