On Sunday, a proposal to support the Arbitrum Foundation with 750 million ARB tokens (nearly $1 billion) raised objections in the ARB community, as the foundation's announcement only allowed a decision that had already been made
This conflict occurred a few days after the dynamic password for the management of air dropped materials in the second layer agreement.
According to the AIP-1 proposal regarding the Arbitrum DAO, 750 million tokens will be used to purchase "special disbursements, repayment applicable to service providers [...], and to pay for the ongoing administrative and operational costs of the Arbitrum Foundation
More than 70% of token holders resisted this move when writing this article.
The foundation stated at a seminar that after facing strong opposition from community membersThe article on April 2nd stated that AIP-1 is a permission, not a proposal. It also mentioned that some tokens have already been sold to stabilize the currency. That is to say, the budget and disbursements of its billionaires will not be constrained by the on chain governance process.
The Arbitrum Foundation claims that representative initial governance attempts failed due to communication issues and decisions that were "clearly not properly expressed":
A mistake in the AIP-1 development process was that it was not noticed at the beginning that this proposal was aimed at allowing the initial setup of the Arbitrum DAO and the foundation that provided services to the DAO. [...] The purpose of AIP-1 is to inform the community of all early decisions made
When evaluating the Governance Community Forum, community members emphasized that the Arbitrum team "has been tampering with the tokens that were originally used to lock tokens and notify the community", claiming that "all token socioeconomic web pages only indicate that customer airdrop material DAO airdrop material tokens are activated", and other "tokens will be activated in March 2024"
Others pay attention to the fact that under US securities laws, the intended sale will be referred to as fraud, and American nationals who purchase ARB tokens or claim to have air dropped goods have the right to legal remedies
A community member stated, "I will investigate this matter with the lawyer and expect to bring a securities fraud lawsuit in the next few days. [...] Immediately propose that the Arbitrum Foundation terminate all unauthorized and illegal token sales that violate national laws and regulations.
According to L2Beat, a second tier analysis website, Arbitrum's blockchain technology accounts for 65% of the Ethereum second tier market share. The expected native governance token was announced and airdropped on March 23rd, with hundreds of thousands of eligible consumers and DAO applying for ARB. According to Coindegraph, the customer demand was too high, resulting in despair on the airdrop material claims webpage shortly after its release
Hodgler's Digest: FTX EU countries announce their withdrawal, Elon Elon Musk calls for the termination of artificial intelligence technology, reported by Coinsecurity News