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Arbitrum rolls out new governance proposals

Yesterday, April 5, Arbitrum Foundation published new improvement proposals (APIs) for the network's governance.

By Finst News
• 2 min read
Arbitrum rolls out new governance proposals

Yesterday, April 5, the Arbitrum Foundation published new improvement proposals (APIs) for the network's governance. After a lot of criticism from the community, the Arbitrum Foundation is working on a number of changes. More transparency and a more accessible governance should restore trust.

The ideas in AIP-1.1 aim to promote the ‘Lockup schedule’, the budget, and transparency around the Foundation's "administrative wallet".

The second proposal, AIP-1.2, also concerns changes to the current founding documents. The Foundation wants, "to make governance more accessible", to reduce the number of tokens from five million ARB tokens to one million ARB tokens. These tokens would be issued to the ‘governance’.

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The impetus for this is the accusations of corruption coming from the community itself. The leadership reportedly paid out about 750 million ARB tokens to subsidize projects and cover “administrative costs” after the Ethereum Layer 2 solution launch.

Shortly after, the foundation confirmed the sale of ten million tokens. As a result of the unrest, the ARB token price fell by more than ten percent.

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