Odaily Planet Daily News Arbitrum’s first governance proposal AIP-1 has become chaotic, and $1 billion worth of ARB tokens are in danger. The first attempt at governance of the Arbitrum blockchain began on Saturday amid a proposal to give the Arbitrum Foundation control of 750 million ARB tokens, worth nearly $1 billion. The tokens will fund a “special grants” program designed to fuel Arbitrum’s growth. But under the AIP-1 proposal, ARB holders cannot decide who or how the Arbitrum Foundation’s nearly $1 billion in funds will be allocated. Because the Arbitrum Foundation does not need to put its grant distribution under "full on-chain governance." The Arbitrum Foundation’s proposed backdoor contrasts with other elements of AIP-1, which emphasize the importance claimed by token holders. The vote is currently in a preliminary stage before moving into a formal final forum, with the Arbitrum Foundation releasing key elements of how it will manage the grant program. (CoinDesk)