thedefiant.io
The Arbitrum DAO is set to decide on a new incentive program that would reward governance delegates for consistent participation and transparent reasoning.
The proposal, outlined by the Arbitrum team in a Nov. 19 forum post, would compensate “active delegates focused solely on their voting record and making public their voting rationale.”
According to the proposal, the goal is to “reduce voter apathy” and increase active voting power. To qualify for rewards, delegates would have to vote on proposals and “publicly post rationale for how they voted and why” within five days.
With voting set to end later today, 55.8% of votes support the program, with 27.5% abstaining and 16.5% against, according to Snapshot. If approved, the DAO would allocate roughly $1.5 million a year to fund the rewards.
Payouts would depend on a delegate’s share of eligible voting power, the type of proposal, and the remaining budget, as well as other compliance requests. Each proposal has a maximum payout per delegate. For example, for major on-chain votes, the cap is $700 per proposal, and for smaller off-chain votes, it’s $300.
But delegates would also need to meet minimum voting power requirements. For all proposal types, this means controlling at least 200,000 ARB, which at the current price of $0.2056 is roughly $41,100. Only delegates who maintain this minimum and participate in at least 75% of proposals each month will qualify for rewards.
ARB is down 6% over the past 24 hours and 27% in the last 30 days.
The program will run for one year initially, and the DAO’s Operations Committee will publicly track payouts and manage budgets quarterly. If the program ends early, any leftover funds will be returned to the treasury.