Benzinga - The Arbitrum Foundation, which is the major player in Ethereum's (CRYPTO: ETH) Layer 2 scaling landscape, announced the launch of a new token called ARB (CRYPTO: ARB).
This token will be distributed to community members via an airdrop on March 23, marking the official transition of Arbitrum into a decentralized autonomous organization (DAO).
ARB holders will be given the power to vote on important decisions governing Arbitrum One and Arbitrum Nova networks, which enable users to transact on the Ethereum blockchain with greater speeds and lower fees, Coindesk reported.
The Arbitrum DAO will be responsible for core protocol-level decisions, such as technology upgrades and how revenue from the chain can be used to support the ecosystem.
Although a large portion of tokens (44%) will be granted to investors and core contributors, Offchain Labs, the creator of Arbitrum, believes the ARB token will make the ecosystem more decentralized than other scaling chains.
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Offchain Labs CEO Steven Goldfeder expressed his excitement about the decentralization aspect and the fact that his company will no longer have any control over the future of this chain, but will be a service provider, building software only when called upon by the DAO.
To determine eligibility for the ARB token airdrop, Arbitrum worked with Nansen, a crypto analytics firm, to "snapshot" user activity in February.
The eligibility criteria included factors such as the number of transactions, the number of different applications used, and the duration of usage for Arbitrum One and Arbitrum Nitro.
Users can check their eligibility for the airdrop and claim tokens by visiting gov.arbitrum.foundation, but they are advised to be cautious as scammers may use this occasion to trick people via spoof websites and other scams.
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