The decision comes days after former finance director Brian Stockbridge received shares in RIFC plc worth around £215,000, despite leaving his role in controversial circumstances earlier this year.
A UoF statement said: "Despite repeated attempts to engage with Graham Wallace and the board over the issue of a binding legal commitment not to sell or lease back Ibrox or Murray Park, we have been unable to come to any agreement.
"It seems the board are happy to continue to alienate the thousands of fans who have supported our efforts through the Ibrox 1972 fund.
"We are left with no option but to release all those who have supported the fund from their binding financial commitment.
"We urge fans not to give their money to this regime in a lump sum payment via season tickets and to support the team on a game-by-game basis."