Polygon Foundation Accused of Lack of Transparency in Token Allocation

On-chain data has recently surfaced, accusing the Polygon Foundation of lacking transparency in their token allocation process.

Data tracking entity ChainArgos has highlighted discrepancies in the token allocation to the Staking Contract as per the initial plan. Specifically, instead of the staking contract balance growing from 400 million tokens to 1.2 billion tokens, the actual figure ranged from 0 to 800 million tokens.

ChainArgos claims that the missing 400 million tokens were moved from the Foundation's wallet to Binance's platform (specifically to the Binance 33 address).

9/ Now go back and look at foundation outflows. The "missing" 400mm looks to go to an address labelled Binance 33 on etherscan.

Here is a chart of cumulative flow from the foundation to Binance 33.

The recipient address of the 400 million tokens is alleged not to be a staking wallet, as its token balance has remained static over time.

Subsequently, 300 million tokens were transferred from the Binance 33 wallet to the address "0x2f4...9719c." Additionally, this address received another 467 million tokens from "Matic: Marketing and Ecosystem" before transferring a total of 767 million tokens back to Binance.

This incident draws parallels to the Arbitrum Foundation's situation in April 2023, where 750 million ARB tokens intended for the DAO Treasury were instead moved to the Arbitrum Foundation's wallet, with the final destination being Binance. This action sparked considerable controversy, forcing the Arbitrum Foundation to repeatedly engage the community to resolve the matter.

As of the time of writing, the Polygon Foundation has not yet responded to the allegations mentioned in the tweet. Coin68 will continue to provide updates on the latest developments to our readers.