Ongoing vote on Arbitrum token staking is leaning toward majority approval from DAO

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By BitcoinWiki News

Key Takeaways:

– The Arbitrum DAO is currently voting on a proposal regarding staking with ARB tokens.
– The proposal suggests using Arbitrum treasury funds to fund staking yield.
– The voting options include allocating between 1% and 1.75% of the total 10 billion ARB supply for staking rewards.
– The proposed staking model includes penalties for early withdrawal.
– Currently, the majority of votes support introducing staking with 175 million ARB tokens.
– 53% of voters support funding staking with 175 million ARB tokens.
– 21.3% of voters endorse staking with 150 million tokens.
– 18% of voters suggest allocating 125 million ARB tokens for staking.
– Only 6.2% of voters have rejected the staking proposal.


Title: Arbitrum DAO Votes on Proposal to Introduce Staking and Lock-Up Tokens

Introduction:
The Arbitrum DAO is currently conducting a community vote on a significant proposal that aims to allow ARB token holders to lock in their tokens and receive a yield paid out in tokens. The proposal, introduced by PlutusDAO in September, suggests using Arbitrum treasury funds to fund the staking yield over 12 months. The voting is set to conclude on November 6.

Overview of the Proposal:
The governance proposal presents a range of options for the use of the 3.5 billion ARB tokens in the treasury, or the rejection of the proposal altogether. It suggests allocating between 1% (100 million tokens) and 1.75% (175 million tokens) of the total 10 billion ARB supply from the treasury for staking rewards. The proposed staking model also includes penalties for early withdrawal to incentivize token holders to maintain their investments and align with long-term objectives of the ecosystem.

Community Support and Voting Trends:
Currently, the majority of votes are in favor of introducing staking, indicating a high likelihood of the proposal being approved. Among the supporters, 53% endorse funding the staking feature with 175 million ARB tokens (1.75% of the total supply) from the Arbitrum DAO treasury, which holds a total of 3.5 billion tokens. In contrast, 21.3% of voters prefer staking with 150 million tokens (1.5% of the supply), while 18% suggest allocating 125 million ARB tokens (1.25% of the supply) for staking. Only 6.2% of Arbitrum DAO voters have rejected the staking proposal.

Conclusion:
The ongoing community vote within the Arbitrum DAO regarding the introduction of staking and token lock-up is currently skewed towards approval. The proposed allocation of treasury funds for staking rewards, along with penalties for early withdrawal, aims to align the commitment of token holders with the long-term objectives of the ecosystem. The final outcome of the vote on November 6 will determine the implementation of these staking features within the Arbitrum network.

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