Circle's Acquisition of Axelar Sparks Controversy: Giant Wants the Team, Not the Token
Circle, the stablecoin giant, has announced the acquisition of the core team and intellectual property of Interop Labs, the initial developer of the cross-chain protocol Axelar Network. However, the deal explicitly excludes the Axelar Network project itself, its foundation, and its native token AXL. These will continue to operate independently under community governance, with another contributing team, Common Prefix, taking over Interop Labs' former activities.
This "acquire-the-team, not-the-token" structure has caused significant controversy and triggered a 15% drop in the price of AXL. The crypto community is divided into opposing camps.
The opposition, including VCs and prominent figures, argues the move is a de facto "rug pull." They contend it is unethical for the team and equity holders to profit from the acquisition while token holders, who funded the project's early development, are left with an asset that may now be worthless. Critics state this highlights a fundamental conflict between equity and token-based financing.
Supporters, including investment chiefs, defend the move as a normal market behavior. They explain that in traditional capital structures, tokens sit at the very bottom, below debt and equity. In acquisitions, it is standard for higher-priority stakeholders to be paid first, and tokens have no inherent claim to proceeds. They argue Circle acted within existing commercial frameworks by purchasing only the most valuable assets—the talent and IP.
The core conflict exposed is the ambiguous legal and economic nature of tokens. They are often narratively treated as "quasi-equity" during good times but are structurally relegated to having no rights in events like acquisitions. This case underscores the urgent need for the industry to define and institutionalize the rights and position of tokens within capital structures.
Odaily星球日报12/16 03:27
