Big news: Arbitrum community proposes allocating 100 million ARB to support the USDG stablecoin
On the Arbitrum governance forum, Entropy has proposed making USDG, a dollar-backed stablecoin issued by Paxos, a core strategic initiative for ArbitrumDAO.
The proposal has three main parts:
1. Allocate an additional 100 million ARB from the DAO treasury to the DeFi incentive program DRIP, while adjusting the season structure, expanding the scope of incentives, and extending the program;
2. Have the Treasury Management Committee (ATMC) convert the net fee revenue from the Arbitrum Expansion Program (AEP) into USDG, and allow it to deploy these assets to support USDG’s growth;
3. Designate the USDG initiative as a special project within Entropy’s existing work.
The proposal is currently in the off-chain temperature-check stage, which ends on October 22. If it passes, it will proceed to a formal on-chain vote.
In plain English:
This is using a token budget to drive stablecoin usage on the network. At ARB’s current price of around $0.19, 100 million tokens are worth about $19 million. The numbers will probably look good while subsidies are in place. The real test is whether USDG’s supply and transfer volume stay on Arbitrum once the subsidies are phased out.
Do you think spending 100 million ARB is worth it?
#Arbitrum提案寻求1亿枚ARB推动USDG采用 #ARB
On the Arbitrum governance forum, Entropy has proposed making USDG, a dollar-backed stablecoin issued by Paxos, a core strategic initiative for ArbitrumDAO.
The proposal has three main parts:
1. Allocate an additional 100 million ARB from the DAO treasury to the DeFi incentive program DRIP, while adjusting the season structure, expanding the scope of incentives, and extending the program;
2. Have the Treasury Management Committee (ATMC) convert the net fee revenue from the Arbitrum Expansion Program (AEP) into USDG, and allow it to deploy these assets to support USDG’s growth;
3. Designate the USDG initiative as a special project within Entropy’s existing work.
The proposal is currently in the off-chain temperature-check stage, which ends on October 22. If it passes, it will proceed to a formal on-chain vote.
In plain English:
This is using a token budget to drive stablecoin usage on the network. At ARB’s current price of around $0.19, 100 million tokens are worth about $19 million. The numbers will probably look good while subsidies are in place. The real test is whether USDG’s supply and transfer volume stay on Arbitrum once the subsidies are phased out.
Do you think spending 100 million ARB is worth it?
#Arbitrum提案寻求1亿枚ARB推动USDG采用 #ARB