Arbitrum DAO enhances token utility and governance security through the ARB staking proposal

ChainCatcher message, the Arbitrum DAO proposes a staking proposal for the ARB token, aimed at enhancing the efficiency and security of protocol governance. This proposal will introduce ARB staking functionality, but will not allocate fees to token holders for the time being. The liquid-staked ARB tokens (stARB) implemented through the Tally protocol will support future rewards for automatic compounding, re-staking, and will be compatible with DeFi.

The proposal aims to address the challenges faced by the ARB token in terms of value accumulation and governance mechanisms, while also tackling the security risks that may arise from the Arbitrum DAO treasury accumulating a large amount of ETH. A complete ARB staking implementation plan is expected to be submitted in October this year, with development costs estimated at around 200,000 USD worth of ARB tokens.