Mantle, a layer 2 network for scaling Ethereum, announced the creation of a new governing body to oversee its massive treasury of over $4 billion.
Approved by a community vote, the Mantle Economics Committee will be responsible for the management and allocation of funds in the treasury, which mainly consists of MNT tokens and some stablecoins.
This move came with Mantle's quest to grow its ecosystem and compete with other tier 2 solutions such as Arbitrum and Optimism, which have much higher total value locked (TVL) in their networks. Mantle claims to offer faster and cheaper transactions than Ethereum, as well as interoperability with other blockchains.
In addition to the creation of the economy committee, the vote also allowed the launch of Mantle LSD, a liquid staking protocol that allows users to stake their ETH and receive mntETH tokens in return.
These tokens can be used to access various services and applications on the Mantle network, such as decentralized exchanges (DEXs) and lending platforms.
Mantle has also partnered with Lido, a leading liquid staking provider, to allocate 40,000 ETH from its treasury to stETH, Lido's liquid staking token. Staking rewards for the Mantle treasury are also expected to be earned for this purpose.
*Not investment advice.