After a community outcry against the sheer mess Aribitrum’s first governance proposal created, the Arbitrum Foundation — the firm directing the development of the layer-2 scaling network — has stated that it will split AIP-1 into numerous smaller proposals. With the Arbitrum DAO reaching a consensus against AIP-1 on Wednesday, the foundation suggests incorporating community feedback and moving forward with new AIPs to address significant areas of concern.
700M Tokens Will Not Be Moved
According to the most recent announcement, the Foundation has stated that it would not transfer any of the remaining 700 million tokens that are stored in the Administrative Budget Wallet. It will only be executed after the DAO has given its approval for an acceptable budget and a robust smart contract lockup schedule.
Read More: Here’s Why Nearly 30 Ethereum Apps Are Coming Together To Launch A DeFi Solution
There have been three new documents that have been submitted. One of these is a transparency report about the initial setup of the Foundation. The other two are AIP-1.1, which discusses Lockup, Budget, and Transparency, and AIP-1.2, which provides details regarding amendments to existing founding documents.
Arbitrum Reorganizes Governance
While AIP-1.1 also proposes well-defined budgetary principles and categories, as well as mandated transparency reports, the AIP-1.2 proposes to amend the core governing documents of the DAO by lowering the proposal threshold from 5,000,000 to 1,000,000 tokens in order to make governance more accessible. In addition, it revises the bylaws of the Foundation such that any references to AIP-1 are removed.
“Rather than asking the DAO to vote on actions that have already been taken, AIP-1.2 proposes to use the DAO’s ability to make changes to those initial parameters to incorporate community feedback”, the official statement further stated.
In light of this news, the price of ARB is currently exchanging hands at $1.25 which represents a gain of 0.2% over the past one hour in comparison to a drop of 0.74% recorded over the past 24 hours.
Also Read: Binance Faces Scrutiny As Dubai Demands Crucial Information; BNB Price Drops
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
