Community wants Arbitrum Foundation to return 700M ARB to DAO Treasury

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According to the proposal, the foundation should proceed with its budget plan only after returning the tokens. “This is a symbolic gesture that shows that the Governance Holder is ultimately in control of his DAO, rather than the Arbitrum Service Provider or Foundation,” said a member of his community.

Voting ends on April 14th. At the time of writing, his 55% of voters supported the proposal, 42% opposed it and 2% abstained.

The dispute between the Arbitrum Foundation and its community began at the end of March following the Foundation’s first governance proposal (AIP-1). This called for funding its operations with 750 million of his ARB tokens, worth nearly $1 billion.

Following backlash from community members, the Foundation decided to Said A forum post on April 2nd said that AIP-1 was a ratification, not a proposal. Some tokens have already been sold as stablecoins, he added. At the time, the foundation noted that its iconic first attempt at governance failed due to communication issues and decisions that were “clearly misrepresented.”

A few days later, the Arbitrum Foundation announced a series of new improvements aimed at restoring community dialogue. For new proposals, AIP-1.1, covering smart contract lockup schedules, spending, budgets, and transparency. one more, AIP-1.2working to amend the current founding documents and lowering the proposal threshold from 5 million ARB tokens to 1 million ARB “to make governance more accessible.”

However, this effort did not solve the problem for ARB holders. “The Foundation has been unilaterally allocated his $750 million token by the DAO, which has not been approved by the governance token holders. must be returned” funds.

Arbitration community start A new proposal asking the Arbitrum Foundation to return 700 million ARB tokens to the DAO Treasury. The move comes after the Arbitrum Foundation transferred funds in his March without community approval.