One of the hot topics of the day, there was a new development regarding the 750 million ARB tokens that were voted to be given to the Arbitrum (ARB) Foundation.
Cryptocurrency developers have released an official statement in response to the recent controversy surrounding the 750 million ARB token allocation proposal to the Arbitrum Foundation.
According to the first part of the statement, the team behind Arbitrum is aware of the heated discussion taking place within the community and said that the decentralized management is working as intended. The team added that the contribution of the community is crucial to achieve the best results.
The second part of the statement discusses the requests for transparency regarding the approval process of AIP-1, the controversial proposal. The Foundation provided additional context by explaining that in DAO launches, some decisions must be made before and in connection with a comprehensive launch.
According to the team, the purpose of AIP-1 was to engage the community in making initial decisions and ultimately get token holders to show their support by approving the initial decisions and framework through DAO voting.
Arbitrum Developers Announce No ARB Sales
The statement also clarified two basic questions asked by the community. First, according to the statement, the ARB Foundation did not sell 50 million ARB tokens.
Second, the developers said they discussed the rationale behind the initial allocation of 750 million ARB tokens in detail in the forum post.
The statement states that for on-chain transfers of 50 million ARB tokens, 40 million ARB tokens have been allocated as a loan to a specialized institution in the field of financial markets. It is stated that the remaining 10 million dollars were converted into fiat money and allocated for operational costs.
*Not investment advice.