Trove Markets is facing backlash after confirming it will keep funds from its token sale, even though it changed plans just days before launch.
The TROVE token crashed about 95% within minutes of going live, triggering anger and confusion among early supporters.
Originally, the token sale was promoted as funding a perpetual decentralized exchange built on Hyperliquid. But just days before the token generation event, Trove announced it was switching the project to Solana instead. That sudden move left many contributors asking one big question: What happens to the money raised for Hyperliquid?
Trove says it is keeping a large part of the funds and using them to continue development on Solana. The team argues that the pivot was necessary to keep the project alive.
One Trove builder, known publicly as Unwise, said the shift happened after a major liquidity partner pulled out. That partner had supported the Hyperliquid plan with a large position, and without that backing, the team says continuing on Hyperliquid no longer made sense.
After the pivot announcement, the token launched — and almost immediately collapsed in price.
Trove later admitted that its communication around the sale and the sudden change in direction caused confusion and damaged trust. The team said it has already issued refunds to some contributors and plans to send out more automatic refunds.
According to Trove, the remaining funds have gone toward developer salaries, backend and frontend infrastructure, hiring a CTO, advisory services, marketing, and general operating costs.
Still, many participants are not satisfied. Critics argue that money raised specifically for Hyperliquid should not be repurposed and have called for full refunds. Some have even raised the possibility of legal action.
On-chain analysts also flagged unusual activity during the presale. Data suggests that a single entity may control a large portion of the TROVE supply across multiple wallets that were funded in tight time windows from the same exchange. While there is no direct evidence linking those wallets to the Trove team, analysts say the pattern deserves closer scrutiny.
The controversy adds to earlier confusion during the January token sale. Trove first said the sale exceeded its target and promised pro-rata refunds, then announced a five-day extension, only to reverse that decision hours later after calling it an error.
For many contributors, the situation has raised serious questions about transparency, trust, and how token sale funds should be handled when project plans suddenly change.
