Recall Foundation will wind down operations and burn 35.86% of the RECALL supply — but token holders will receive no buybacks, redemptions or pro-rata payouts.
What happened
- In an Oct. 30 notice, Recall Foundation said its board reviewed adoption, operating costs and growth prospects and concluded further protocol development was no longer commercially viable. The decision follows a strategic review and is not the result of a hack or security incident.
- The Foundation plans an orderly shutdown: it will stop software development, administrative support and liquidity assistance. Exchanges will independently decide whether to keep RECALL listed; delistings are expected.
The token burn and supply impact
- The Foundation estimates it controls 358,562,442 RECALL (35.86% of the original 1 billion supply). These tokens are slated for destruction.
- If the burn proceeds as planned, 641,437,558 RECALL would remain in circulation and none would be held by the Foundation.
- Tokens will be transferred to an inaccessible address. While the notice’s timeline mentions Oct. 30 for the burn, the detailed schedule says the transfer is expected immediately before the Foundation’s liquidation in Q1 2027 — so the timing may vary.
No payouts or redistribution
- The Foundation explicitly ruled out any buyback, redemption or pro-rata distribution of treasury assets to token holders.
- Recall has about $3.7 million in cash (USDC, USDT and fiat) as of Oct. 30; those funds are fully allocated to outstanding obligations and shutdown costs. Allocation breakdown (unaudited and subject to change):
- $3.45 million to creditors and vendors
- $200,000 reserved for legal, liquidation, security, engineering, insurance and team transition
- $50,000 for potential claims and contingencies
- On that estimate, there are no remaining treasury funds for holders.
Tokenomics and legal notes
- RECALL was marketed as a network participation, fees, rewards and governance token, and its terms stated it did not represent equity, ownership, or rights to revenues, assets, dividends or profits.
- The liquidation notice adds that statutory and regulatory requirements take precedence over these statements, and it does not create a separate recovery process for token holders.
Breakdown of Foundation-held tokens
- Locked ecosystem reserves: 175.9 million RECALL
- Unlocked Foundation-controlled wallets: 79.7 million
- Locked treasury tokens: 57.8 million
- Market-maker loans & outstanding options: 37 million (market-maker estimate assumes options expire out of the money)
- Liquidity pools: 6.7 million (balances may change)
- Unvested vendor/adviser/employee allocations: 1.5 million
Staking, app access and user actions
- User-owned staked RECALL is excluded from the burn, but holders must unstake and withdraw themselves — positions will not be released automatically.
- New unstaking requests from Oct. 30 have no 30-day cooldown; previously submitted requests retain their original withdrawal dates and existing stake lockups remain unchanged.
- The Foundation-hosted application will become read-only on Nov. 30. Holders whose lockups expire after that date can still withdraw directly via the staking contract.
- Published withdrawal steps: connect the wallet holding the stake, use “Write as Proxy,” call unstake(tokenId) after the lockup expires, then call withdraw(tokenId). Both calls require ETH on the Base network to pay gas.
- New competitions and staking rewards will stop; running competitions will end and earned rewards will be distributed through the application.
Corporate and liquidation timeline
- The Foundation said its board acted independently of Recall Labs, a separate corporate entity. The notice covers the Foundation and its wholly owned subsidiary, Atlas Networks Limited.
- Atlas is expected to enter voluntary liquidation under British Virgin Islands law in December 2026. The Foundation expects Cayman Islands proceedings to begin in January 2027. Final liquidation and any remaining token burn are estimated for Q1 2027.
What holders should watch
- Exchanges’ delisting decisions and the final burn timing.
- Any changes to the unaudited financial allocations.
- The staking contract and withdrawal mechanics (holders must act themselves and ensure they have ETH on Base for gas).
The Foundation’s announcement emphasizes an orderly wind-down rather than a security event, but it leaves token holders without recourse to treasury assets. The situation is evolving and estimates in the notice are unaudited and subject to change.
What happened
- In an Oct. 30 notice, Recall Foundation said its board reviewed adoption, operating costs and growth prospects and concluded further protocol development was no longer commercially viable. The decision follows a strategic review and is not the result of a hack or security incident.
- The Foundation plans an orderly shutdown: it will stop software development, administrative support and liquidity assistance. Exchanges will independently decide whether to keep RECALL listed; delistings are expected.
The token burn and supply impact
- The Foundation estimates it controls 358,562,442 RECALL (35.86% of the original 1 billion supply). These tokens are slated for destruction.
- If the burn proceeds as planned, 641,437,558 RECALL would remain in circulation and none would be held by the Foundation.
- Tokens will be transferred to an inaccessible address. While the notice’s timeline mentions Oct. 30 for the burn, the detailed schedule says the transfer is expected immediately before the Foundation’s liquidation in Q1 2027 — so the timing may vary.
No payouts or redistribution
- The Foundation explicitly ruled out any buyback, redemption or pro-rata distribution of treasury assets to token holders.
- Recall has about $3.7 million in cash (USDC, USDT and fiat) as of Oct. 30; those funds are fully allocated to outstanding obligations and shutdown costs. Allocation breakdown (unaudited and subject to change):
- $3.45 million to creditors and vendors
- $200,000 reserved for legal, liquidation, security, engineering, insurance and team transition
- $50,000 for potential claims and contingencies
- On that estimate, there are no remaining treasury funds for holders.
Tokenomics and legal notes
- RECALL was marketed as a network participation, fees, rewards and governance token, and its terms stated it did not represent equity, ownership, or rights to revenues, assets, dividends or profits.
- The liquidation notice adds that statutory and regulatory requirements take precedence over these statements, and it does not create a separate recovery process for token holders.
Breakdown of Foundation-held tokens
- Locked ecosystem reserves: 175.9 million RECALL
- Unlocked Foundation-controlled wallets: 79.7 million
- Locked treasury tokens: 57.8 million
- Market-maker loans & outstanding options: 37 million (market-maker estimate assumes options expire out of the money)
- Liquidity pools: 6.7 million (balances may change)
- Unvested vendor/adviser/employee allocations: 1.5 million
Staking, app access and user actions
- User-owned staked RECALL is excluded from the burn, but holders must unstake and withdraw themselves — positions will not be released automatically.
- New unstaking requests from Oct. 30 have no 30-day cooldown; previously submitted requests retain their original withdrawal dates and existing stake lockups remain unchanged.
- The Foundation-hosted application will become read-only on Nov. 30. Holders whose lockups expire after that date can still withdraw directly via the staking contract.
- Published withdrawal steps: connect the wallet holding the stake, use “Write as Proxy,” call unstake(tokenId) after the lockup expires, then call withdraw(tokenId). Both calls require ETH on the Base network to pay gas.
- New competitions and staking rewards will stop; running competitions will end and earned rewards will be distributed through the application.
Corporate and liquidation timeline
- The Foundation said its board acted independently of Recall Labs, a separate corporate entity. The notice covers the Foundation and its wholly owned subsidiary, Atlas Networks Limited.
- Atlas is expected to enter voluntary liquidation under British Virgin Islands law in December 2026. The Foundation expects Cayman Islands proceedings to begin in January 2027. Final liquidation and any remaining token burn are estimated for Q1 2027.
What holders should watch
- Exchanges’ delisting decisions and the final burn timing.
- Any changes to the unaudited financial allocations.
- The staking contract and withdrawal mechanics (holders must act themselves and ensure they have ETH on Base for gas).
The Foundation’s announcement emphasizes an orderly wind-down rather than a security event, but it leaves token holders without recourse to treasury assets. The situation is evolving and estimates in the notice are unaudited and subject to change.