The Arbitrum Foundation, the team responsible for the Ethereum rollup-based layer-2 network Arbitrum, has committed substantial resources to developing the gaming industry within its ecosystem.
The proposal sets aside 225 million Arbitrum (ARB) tokens valued at approximately $215 million to be distributed over three years through the newly established Gaming Catalyst Program (GCP).
The program aims to rapidly increase recognition and usage of Arbitrum, Orbit and Stylus among game developers and players, fostering growth and engagement within the gaming community.
Initially introduced in March, the proposal was approved on June 7, with over 75% of votes in favor. The program had proposed asking the Arbitrum decentralized autonomous organization (DAO) to approve the earmarking of 200 million ARB over two years to encourage game development on its blockchain.
Notable proposal supporters included L2Beat, Wintermute and Treasure DAO, a gaming-focused organization. Blockworks Research and Camelot DAO were among those opposed.
In a celebratory response on X, Treasure DAO endorsed the proposal: “Arbitrum is the home of gaming — let’s make some magic happen.”
Funding and governance structure
A significant portion of the fund is designated for publishers, with new and early-stage developers eligible to receive grants of up to 500,000 ARB (approximately $483,000 at current prices).
On the other hand, more established developers can apply for investments involving a value share component, such as tokens, equity or similar arrangements. The remaining funds will be distributed among infrastructure-related bounties and operational expenses, supporting the ecosystem’s growth and development.
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A dedicated team will handle the GCP’s daily operations. Meanwhile, a five-member council comprising gaming, venture capital, data analysis and DAO governance experts will provide strategic oversight and guidance.
This governance structure ensures that funding is allocated effectively to achieve the DAO’s objectives while encouraging innovation and accountability. The council also holds veto power over investment decisions and team appointments, guaranteeing the program’s successful implementation and adherence to its guidelines.
The GCP established a stringent financial framework, capping its operational expenses at $25 million. Any expenditure exceeding this limit requires explicit approval from the DAO.
Also, in March, The Arbitrum DAO removed a proposal to fund the legal defense costs of Tornado Cash’s developers, Roman Storm and Alexey Pertsev.
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