coinspress.com
Arbitrum whales have been increasing their holdings of Ethereum Layer 2's governance token (ARB).
According to on-chain analysis, Andrew Kang, a PleasrDAO and Mechanism Capital member, recently purchased 1.51 million Arbitrum tokens for around $1.85 million of USDC, bringing his total holdings to 2.3 million ARB.
Another whale withdrew 5.85 million ARB tokens from Gate.io and now holds 17.62 million ARB, worth approximately $21.5 million.
A third whale purchased 795,381 ARB tokens for about $1 million, while a fourth whale received a transfer of 532,012 ARB tokens, bringing their total holdings to 4.58 million ARB, worth around $5.59 million.
These purchases come after reports that Arbitrum whales had mostly held their tokens through ongoing governance drama. The price of the governance token has stabilized after a weekend of drama.
Arbitrum recently faced criticism over its governance proposal, which planned to send 750 million governance tokens worth around $1 billion to the Arbitrum Foundation without the approval of token holders.
The proposal was withdrawn, and the foundation has since released revised proposals to address community feedback. AIP-1.1 aims to add a smart contract-enforced lockup schedule and budgetary principles.
At the same time, AIP-1.2 seeks to make governance more accessible by lowering the threshold for putting forward a proposal to one million tokens.