NEO Founders Dispute Over Control of $200 Million in Crypto Assets
- Erik Zhang controls approximately 85% of NEO’s treasury, valued between $200 million and $250 million, through a single signature wallet.
- NEO’s total treasury is estimated at ~$460 million, significantly exceeding its current market capitalization of $197 million.
- A restructuring proposal by co-founder Da Hongfei aims to transition governance to a five-member board and redistribute assets to token holders.
- Zhang has proposed an investigation into past asset management practices amid ongoing public disputes between the two founders.
- The NEO FY2025 financial report disclosed over 1,100 BTC and more than $100 million in stablecoins and cash.
The ongoing conflict between NEO co-founders Da Hongfei and Erik Zhang highlights significant governance issues within the project, particularly regarding asset control and transparency. The proposed restructuring could reshape how NEO operates, especially with a treasury holding substantial value compared to its market cap.
With around half of the token supply under single-signature control, the need for multisig governance is critical for community trust moving forward.(Source)
