Arbitrum Foundation Proposes DAO to Expand Arbitrum Orbit Chains into Multi-Chain

The Arbitrum community is currently voting on a proposal to expand Arbitrum Orbit chains into a multi-chain ecosystem. This proposal is in the “temperature check” phase on Snapshot, running from now until August 1, 2024.

Arbitrum Foundation Proposes DAO to Implement Multi-Chain Arbitrum Orbit

Arbitrum’s DAO forum is conducting a vote to decide whether to approve the proposal by the Arbitrum Foundation to expand Arbitrum Orbit chains into a multi-chain framework.

The expansion proposal for Arbitrum Orbit was announced and opened for discussion on January 18, 2024. Initially, the Arbitrum Foundation planned to restrict the Arbitrum Orbit toolkit to Layer-2 projects on Ethereum. However, due to numerous requests from projects seeking to leverage Arbitrum Orbit on other blockchains like Bitcoin, Binance Smart Chain, and Cosmos, the Foundation has reconsidered the current restrictions. The proposed change would allow Orbit chains to be deployed across a broader range of blockchain networks, leading to more Orbit implementations and increased revenue for the DAO and the Arbitrum ecosystem.

In return, chains utilizing Arbitrum Orbit would need to share 10% of their profits with the Arbitrum ecosystem, with 8% allocated to ArbitrumDAO and 2% to the Arbitrum Developer Guild, distributed periodically to multisig wallets.

The proposal is currently in the “temperature check” phase on Snapshot and will conclude on August 1, 2024. Preliminary results show strong community support, with over 99% of votes in favor of expanding Arbitrum Orbit.

Snapshot Voting Results for the Proposal on July 26

Earlier, Arbitrum Orbit tools were also integrated into other networks. In May 2024, Injective’s inEVM protocol integrated Arbitrum’s Orbit toolkit to enhance connectivity between Cosmos and Ethereum.

We are likely to see Arbitrum Orbit chains deployed across various blockchain networks in the near future. This expansion not only promises substantial revenue for ArbitrumDAO and the Arbitrum Developer Guild but also opens up new development opportunities for Layer-2 projects across different blockchain ecosystems, enhancing seamless interoperability between blockchains.

Recently, Arbitrum DAO faced criticism within the community earlier this month for establishing a $225 million ARB gaming fund in June 2024. The latest proposal from Arbitrum, announced on June 29, introduced a new transaction processing mechanism called Timeboost amid recent airdrop claim congestion.

As of writing, ARB is trading around $0.72, showing a slight recovery after the market-wide adjustment on the morning of July 25, where ETH prices fell nearly 8% from $3,350 to $3,150.

1H Chart of ARB/USDT on Binance as of 04:35 PM, July 26, 2024