Across Protocol has proposed dissolving its decentralized autonomous organization structure and converting into a traditional U.S. C-corporation, offering token holders the choice to exchange ACX tokens for equity in a new entity or sell at a 25 percent premium to the 30-day average price.
The March 11, 2026 “temp check” proposal argues that the current token and DAO framework has “materially impacted our ability to close partnerships and integrations” with institutional partners, triggering an 80 percent surge in ACX price to $0.06 with trading volume reaching approximately 3.5 times the token’s market capitalization.
Proposal Mechanics and Token Holder Options
Equity Exchange Path
Under the proposal, a newly formed U.S. C-corporation called “AcrossCo” would become the operating entity, holding all protocol intellectual property and managing development, partnerships, and commercialization. Token holders would have the option to exchange ACX for equity exposure in AcrossCo at a 1:1 token-to-share ratio.
Holders with more than 5 million ACX tokens can convert to equity directly. Smaller holders can participate through a no-fee special purpose vehicle structure with a minimum exchange size targeting 250,000 ACX (approximately $10,000 at current prices), designed to be as inclusive as possible to the token holder base. All token holders—institutional investors, employees, and everyday holders—would be treated equally under the equity exchange.
Token Buyout Option
Holders who choose not to participate in the equity exchange can sell their ACX tokens for USDC at $0.04375, representing a 25 percent premium to the previous 30-day average trading price. The buyout window would open within three months of the proposal passing and remain available for six months, funded by the protocol’s liquid assets which roughly equate to the current market capitalization.
The token was trading at approximately $0.033 before the proposal went live. The immediate surge to $0.07 before settling around $0.06 reflects market pricing of the buyout floor, though the current price sits well above the proposed $0.04375 buyout, suggesting traders are betting on either a higher offer or that the equity option carries greater value.
Rationale: Institutional Barriers and Undervaluation
Partnership Challenges
Risk Labs, the team behind Across Protocol, stated that while the token and DAO structure initially helped partnerships flourish, deepening work with institutional and enterprise partners has revealed structural limitations. “The token and DAO structure has materially impacted our ability to close partnerships and integrations,” the proposal reads.
Transitioning to a traditional legal entity would “meaningfully improve our ability to enter enforceable contracts, structure revenue agreements, and deliver more value to Across stakeholders,” according to the proposal. This marks a significant departure from the DeFi orthodoxy that tokens and DAOs represent superior organizational forms for decentralized infrastructure.
Valuation Concerns
The proposal explicitly acknowledges that “at current ACX valuations, we believe the Across Protocol is significantly undervalued.” The restructuring is framed as an opportunity to “explore new ways to foster growth while acting in the best interests of the broader Across community.”
Risk Labs described the proposal as a chance to “double down on Across” through a structure that institutional partners actually understand, potentially unlocking value that the team believes is currently trapped in an undervalued token.
Market Reaction and Trading Activity
Price Action
ACX token price jumped approximately 80 percent following the proposal’s publication, rising from roughly $0.033 to trade near $0.06. The immediate spike to $0.07 before settling indicates intense trader interest in the restructuring implications.
In comparison, Bitcoin and the broader CoinDesk 20 index of largest digital assets traded flat during the same period, highlighting the proposal-specific nature of the price movement.
Volume Surge
Twenty-four hour trading volume reached $149 million, approximately 3.5 times the token’s market capitalization. This elevated volume reflects the intensity of speculative interest around the proposal, with traders weighing whether the buyout premium or equity option offers more upside potential.
DAO-to-Corporate Precedent
Philosophical Shift
Across Protocol’s proposal represents one of the first major instances where a DeFi protocol has publicly argued that a traditional corporate structure is superior to a token-based DAO for growth. The move challenges years of industry narrative positioning decentralized organizations as the future of financial infrastructure.
The proposal acknowledges that Risk Labs has maintained a “token-purist” approach throughout its four-year history, with “no private company, only foundation-managed operations, everything built in public.” The proposed transition marks a strategic pivot away from this model toward institutional familiarity.
Industry Implications
If approved, the conversion would establish a precedent for other protocols facing similar institutional adoption hurdles. The ability to offer enforceable contracts and clear revenue agreements through a traditional C-corp structure could prove attractive to protocols seeking deeper integration with traditional finance.
Governance Timeline
Community Process
The proposal is currently in “temp check” phase—a non-binding poll gauging community sentiment before formal governance. A community call is scheduled for March 18, with formal discussion running through March 25. A Snapshot vote by token holders would follow on March 26.
Implementation Timeline
If the proposal passes, work would commence on legal structuring, SPV creation and investor rollovers, and development of an exchange and sell user interface. Within three months of proposal passage, ACX holders would be able to exchange or sell their tokens, with the six-month buyout window beginning at that time.
The proposal emphasizes that Across Protocol would continue operating without interruption throughout the transition period.
Legal Considerations and Restrictions
Investor Eligibility
Due to U.S. securities laws, participation in the equity exchange through the SPV structure would be limited to the first 100 U.S. investors and the first approximately 500 non-U.S. investors. U.S. investors must also verify their status as “accredited investors” to participate.
Non-Binding Expression of Interest
Risk Labs has opened a preliminary, non-binding expression of interest form for token holders to indicate their preference regarding the token-to-equity exchange. This serves as a data-gathering mechanism rather than a commitment mechanism.
FAQ: Across Protocol Restructuring Proposal
Q: What options do ACX token holders have under the proposal?
A: Token holders have two options: exchange ACX for equity in the new C-corporation AcrossCo at a 1:1 token-to-share ratio, or sell their tokens for USDC at $0.04375—a 25 percent premium to the previous 30-day average price.
Q: Why is Across Protocol proposing to dissolve its DAO?
A: The team argues that the token and DAO structure has hindered institutional partnerships and integrations. A traditional C-corporation would enable enforceable contracts, clearer revenue agreements, and potentially greater value delivery to stakeholders.
Q: What is the current status of the proposal?
A: The proposal is in “temp check” phase—a non-binding community sentiment poll. Formal governance includes a March 18 community call, discussion through March 25, and a Snapshot vote on March 26.
Q: How has the market reacted to the proposal?
A: ACX token price surged approximately 80 percent to $0.06, with trading volume reaching $149 million—about 3.5 times the token’s market capitalization—reflecting intense speculative interest in the restructuring.
Q: Can all token holders participate in the equity exchange?
A: Holders with more than 5 million ACX can convert directly. Smaller holders can participate through a no-fee SPV structure with a minimum of 250,000 ACX (approximately $10,000), subject to U.S. securities law limitations on investor numbers and accredited investor requirements for U.S. participants.
