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Arbitrum Foundation must return 700 million ARB tokens

The Arbitrum community is urging the Foundation to return 700 million ARB tokens that the governance team had paid out in response to the AIP-1 proposal.

By Finst News
• 2 min read
Arbitrum Foundation must return 700 million ARB tokens

The Arbitrum community is calling on the Foundation to return 700 million ARB tokens that the governance team had paid out in response to the AIP-1 proposal. The Arbitrum community is boycotting the Foundation's governance proposals.

Concretely, the Foundation said: "What happened with AIP-1 was a clear overreach of the DAO’s power." In a vote on this issue, 50.6 percent voted in favor of the demand to return the tokens.

They called the original decision "a gesture showing that the governance holders ultimately control the DAO and not the Foundation." Only if the ARB 700 million is returned will the new governance proposals be enacted, the Foundation added.

As a result of the turmoil, the ARB token price dropped by more than ten percent, a decline that has since recovered. Currently ARB is for sale at €1.14.

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