ARB Staking: Unlock ARB Utility and Align Governance

I’m voting “for” on this proposal.

As stated before, I really praise @Frisson for being able to put together this many conflicting feedbacks together: he was able to find the perfect solution by saying: we build the skeleton, let’s make the dao fill it (amount of rewards, source of rewards, active delegate definitions etc).
I think this will be an initial powerful signal for markets, and also a way to increase governance. While the 2 don’t necessary belong together, I am personally fine with that.

BUT, I have a big caveat to this: we need to create a definition of active delegates that doesn’t hinder protocol representations. One of the potential byproduct of certain parameters could be, for example, that users might redelegate from protocols to others just because the protocols are active, but not as much for the metrics of the program, to allow users to get the yield. This can happen because for example they don’t comment too much on the forum, or don’t vote all proposals.
While we want to obviously incentivise the participation of protocols in governance, we also have to remember that the main job of protocols is making arbitrum a great place for users through developing dapps and other stuff. Let’s avoid to kill the representation they currently have.

To be more detailed, this is the current situation.


The current top 4 delegates, making a total of more than 60M votes (or between 33 to 50% of the average amount of votes we have in each proposals) are from non protocol type of entity.
And don’t get me wrong: l2beat, gauntlet, olimpio, wintermute, they are all great delegates well aligned with arbitrum. But we can’t imho create a system that would lower even more protocols’ representation in our governance. It would be a bad outcome.

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