Arbitrum Community Proposes to Take Back 220 Million ARB Tokens from GCP Program

On October 13, the Arbitrum community released a proposal recommending the transfer of 220 million ARB tokens (approximately $122 million) from its Gaming Catalyst Program (GCP) to the Arbitrum DAO vault, leaving 3.65 million ARBs for the GCP to continue operations (nearly $2 million) until it demonstrates the need to deploy additional funds. The proposal states that the GCP has spent approximately 1.7 million ARBs since its adoption on June 10 (more than four months ago), but that the GCP has failed to post progress as planned, has not been able to create a website, issue an RFP, or consider grants, and it is not clear if permanent board members have been elected. While GCP has provided some updates in posts on Arbitrum's DAO forum, the pace of publicly posting updates does not appear to be meeting the proposal's requirement for bi-weekly updates.

Previously, Arbitrum's Game Catalyst Program (GCP), which was adopted in June of this year after being announced in March, was designed to expand awareness and adoption of Arbitrum/Orbit/Stylus among developers and players in the gaming community, with the proposal allocating 225 million ARB tokens to the program over a three-year period, which at the time was worth a total of $215 million, but with the ARB prices have fallen, their value has now dropped to approximately $122 million.