# Proposal for Financial Restitution For ArbitrumDAO Grant Winners

**URL:** https://forum.arbitrum.foundation/t/proposal-for-financial-restitution-for-arbitrumdao-grant-winners/27020
**Category:** Archived Proposals
**Created:** [October 3, 2024, 1:30am UTC](https://forum.arbitrum.foundation/t/proposal-for-financial-restitution-for-arbitrumdao-grant-winners/27020 "2024-10-03T01:30:29Z")
**Posts on this page:** 1
**Showing post:** 21

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### Author: ![Bernard](https://yyz1.discourse-cdn.com/flex029/user_avatar/forum.arbitrum.foundation/bernard/32/7544_2.png) [@Bernard](https://forum.arbitrum.foundation/u/Bernard)
#### Post date: [October 11, 2024, 10:15am UTC](https://forum.arbitrum.foundation/t/proposal-for-financial-restitution-for-arbitrumdao-grant-winners/27020/21 "2024-10-11T10:15:38Z")

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From @Areta’s perspective, we believe that providing “compensation” for ARB token value drops due to market fluctuations is not a good precedent for the DAO to set, simply because when taken to its logical conclusion (i.e., other projects asking for similar compensation), it is not scalable or sustainable for the DAO.

The ask is: “can the DAO continue to compensate future grantees or recipients of ARB allocations for price fluctuations?”. We don’t think the answer to that is yes. To re-echo @Nyx and @thedevanshmehta, the price of crypto tokens are naturally volatile and dealing with this is one of the standard (though unfortunate) experiences for parties that operate within this ecosystem.

> [@karakrysthal](#):
>
> The original payout value was 2500 ARB, or the equivalent of $5,000 USD

Also, if restitution is the goal here, why request for $5,000 in ARB rather than an amount equivalent to what was specifically lost due to the operational delays?

> [@karakrysthal](#):
>
> The drop in ARB value was not the only damage incurred. As can be read in the comments and testimonials, teams experienced other forms of damages including stress, loss of teammates, and downturns in team and community morale.

We express our sympathies for the sour experiences, but it doesn’t feel like the right approach to request the DAO to compensate for these. If at all, it seems more reasonable to request for what the grantees would have been entitled to but lost due to program inefficiency?

Overall, we recognise the uniqueness of the situation at hand here and why it seems like this proposal is the only path forward. As a recommendation, you may want to consider reframing this as a grant request directly from the DAO, explaining your peculiar situation, referencing your already successful grant application, and seeking funds directly from the DAO to complete what you were unable to finish due to the run down of events.

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_[View the full topic](https://forum.arbitrum.foundation/t/proposal-for-financial-restitution-for-arbitrumdao-grant-winners/27020)._
