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Plutus has proposed a staking mechanism for ARB tokens funded by the Arbitrum DAO treasury, aiming to incentivize long-term holding and establish a coalition to refine the process over a year, but the community is divided on its necessity, potential inflation, and motives. A Snapshot vote is underway to gauge interest, with further details and implementation to be decided in future votes.
The discussion revolves around a proposal by Plutus to activate a staking mechanism for ARB tokens, which would be funded by the Arbitrum DAO treasury instead of through token minting. The proposal includes the creation of the 'Arbitrum Coalition' to monitor the staking mechanism's impact over 12 months, with the goal of refining the staking process. The staking contract would allow ARB holders to lock their tokens for up to 365 days, with rewards based on the weight of the locked ARB and a sliding scale penalty for early withdrawal. The proposal aims to incentivize long-term holding and is designed to be legally palatable by using treasury funds to reward lockers.
The community reaction is mixed, with some members expressing support for the proposal and its potential benefits, while others raise concerns about the necessity of the staking mechanism, potential inflation, and the motives behind the proposal. There are also discussions about the impact on ARB liquidity, the appropriateness of the 12-month trial period, and the handling of the plsARB situation. Some members, like Michigan_Blockchain and SEEDLatam, have decided to vote against the proposal, citing various concerns, while others like Limes and Brandonkumar support the initiative. Plutus has responded to concerns and clarified aspects of the proposal, emphasizing that the current Snapshot is to gauge interest and that the actual implementation will be decided later.
The community is currently engaged in a Snapshot vote to determine the level of interest in ARB staking and the percentage of the total ARB supply to fund staking. The actual implementation details will be decided in a later Snapshot vote, and a group will be organized to work on the final implementation.
Posted 2 months ago
Last reply 17 days ago
Summary updated 12 days ago
Last updated 06/12 00:44