Camelot is a decentralized exchange designed to be a foundational piece of the Arbitrum ecosystem, offering a highly efficient, permissionless and native liquidity infrastructure. Since launching in 2022, Camelot has facilitated over $30 billion in trading volume and built strong partnerships with more than 75 projects, making it the leading native dex on Arbitrum.
As one of the most important parts of Arbitrum’s DeFi landscape, Camelot is committed to supporting the ecosystem’s expansion, including its growing network of aligned Orbit chains. Beyond just facilitating liquidity, Camelot will actively engage in governance through this thread to help shape the future of Arbitrum, ensuring that both the protocol and the broader ecosystem grow while contributing to Ethereum’s scaling.
We look forward to claiming back the fees accrued in Nova until August and also find a way to utilize them in a productive way for the ecosystem, in a way similar to the current GMC initiative. While we understand why the vote will be bundled in Tally for quorum reasons, we have strong opinions on Timeboost and so we would strongly be in favor of avoiding do so; in case of failure we will advocate for the unbundling of the two votes since they are not related one to each other.
Vote: For
Normally, we would not support a budget increase for a grant program, especially one that has yet to show meaningful results due to its timing. However, in this case, we are willing to make an exception because of how it has been structured.
Having OCL lead the selection of teams and projects to be subsidized ensures that their vision for this technology is embedded in the process. This leadership also allows them to identify and address key gaps. Stylus is a key technology, value add and differentiator of Arbitrum compared to other chains, and we should push it without being hindered by fixed budget allocation if this is the strong advice of the committee of and OCL.
We believe this approach has the potential to yield positive outcomes, and we welcome this change.
Camelot supports the proposed upgrade to ArbOS 40. This upgrade aligns Arbitrum One/Nova with the Pectra Ethereum update, and we think mechanisms such as EIP-7702 will be key to improve the UX of users interacting with the various dApps. In general, we think Arbitrum and the EVM ecosystem should do more in term of enhancements for user experience, and this upgrade goes in the right direction.
Camelot is voting AGAINST the OpCo proposal.
While we were supporters with several open questions during snapshot, the decision of Entropy, as the original proposer, to vote against their own proposal raises significant concerns about the possibility of success; this vote has candidly undermined confidence in the initiative.
We still think, as in the snapshot, that the proposed budget of 30M ARB represents a substantial commitment of DAO resources, potentially excessive for the highlighted scope. Given the uncertain effectiveness of OpCo compared to established entities like the Arbitrum Foundation, we think that the monetary allocation, but above all the mindshare allocation, of the initiative might be excessive at this stage of the DAO’s life, especially knowing there has been a commitment from the Arbitrum Foundation to be more active in governance life.
Without clear conviction from the proposal’s originator, combined with the significant impact and potential bloating of governance’s day-to-day operations, we don’t think it is currently wise to support OpCo in its current form, especially because we expect more engagement and a change of pace from the Arbitrum Foundation and OCL since this has been the general message provided in the last few weeks on public channels. We do remain positive about the fact that the DAO should be capable of having its own entity, with a precise scope such as owning infrastructure and ability to hire contributors for the long term. That said, if the vote passes as it currently seems likely to do, we will still act as stewards of the chain and of the DAO by ensuring to support the OpCo as well.
We believe the STEP 1.0 initiative is worth continuing and expanding upon. While its primary objective is to establish a more reliable set of treasury assets, we see an opportunity to create greater consistency in utilizing these assets for ecosystem growth. Specifically, we should focus on incentivizing the creation of liquidity pools on the Arbitrum chain. This approach would not only benefit the DAO but also strengthen the broader ecosystem, potentially unlocking a key advantage that RWAs currently lack: utility akin to that of non-yield-bearing stablecoins.
Additionally, we strongly align with other delegates who suggest that this initiative, along with the GMC and Arbitrum track, should be managed under a unified framework. Consolidating these efforts would streamline bookkeeping and reduce overhead costs.
Camelot voted “for” the new season of Arbitrum D.A.O. grants. While we believe there is significant room for improvement—particularly in light of the Entropy report and, more broadly, the DAO’s spending approach—we think supporting this new iteration is worthwhile.
Not only does it serve as an entry-level program for the ecosystem, but it also relieves the DAO from having to directly evaluate a large number of smaller proposals. While many of these proposals may have merit, assessing them individually would likely require too much time and attention from delegates.
Lastly, we welcome the approval of the new Orbit domain. We understand that this is an experiment and has been underfunded for this reason, but we believe the DAO has not yet done enough to promote Orbit—a technology we see as crucial to the Arbitrum ecosystem.
