The Arbitrum DAO has hit a big governance milestone, passing more than 60 proposals since it started. This shows that Arbitrum’s community is moving toward decentralization at a pretty fast pace. The proposals themselves deal with lots of different issues, some of which are quite important, and decisions are being made that will affect the protocol and the way it behaves in pretty fundamental ways. Since launch, the @arbitrum DAO has passed 60 proposals! Which types of proposals passed the most? These 2 charts tells you everything you need to know pic.twitter.com/eF6vfLM1k2 — Entropy Advisors (@EntropyAdvisors) June 3, 2025 Where things get interesting is in looking at what proposals have been passed, what kinds of decisions are being made, and trying to read the tea leaves. In concert with this rising governance resolve, the protocols built on Arbitrum are hitting ever greater heights in terms of revenue. They pocketed a not unconsiderable $1.22 million last week, which was up a full 1.67 percent from the week before. So what are we doing with the Arbitrum network right now? For the immediate answer, let’s turn to some projects that appear to be finding a good deal of success, even as the collective utility and functionality of protocols on the network rise. Grants and DAO Operations Dominate Governance Focus Looking at the 60 passed proposals more closely reveals the DAO’s clear priorities. Proposals focusing on grants made up the largest share, accounting for 31.7 percent. This emphasis indicates a strong commitment from the community to fund development, foster innovation, and support new projects in the Arbitrum ecosystem. Granting this money represents a key mechanism for attracting developers and expanding ecosystem participation—much needed in a competitive Layer 2 environment. Following very shortly behind were proposals having to do with the operations of DAOs that comprised 21.7 percent of the total. These operational proposals concerned themselves with matters having to do with the internal governance processes of a DAO, treasury management, and even the decision-making machinery of a DAO. This category reflects a DAO that is internally maturing and seems to be experimenting with refining its governance processes to secure long-term, sustainable decision-making pathways. Network change proposals made up 16.7 percent. These usually involve something of a technical nature—upgrades and improvements to the basic functionality of the network and changes at the protocol level. Other proposals that came up include 10 percent each for DAO amendments and incentive-related proposals, 6.7 percent for financial management, and 3.2 percent for investment strategies. The range of topics addresses a pretty good mix of basic improvements and strategic issues that ought to be on the agenda of any governance system. Weekly Revenue Highlights Arbitrum’s Economic Engine Although governance is evolving, the economic activity on Arbitrum keeps growing. Just last week, protocols running on the network generated $1.22 million in revenue. That’s a modest figure, but it’s up enough to be meaningful—and to shed another bit of sunshine on what is otherwise an average week for protocol revenues. The performance of the network, in terms of how many protocols can earn how much money, says something positive about the network itself being able to host financially productive stuff. At the top of the revenue rankings was GMX, which generated $376,000. GMX remains one of the network’s most consistent performers and seems to be benefiting from its high-volume trading activity and a strong user base. Trailing it in second place was Penpie, which managed to pull in $276,000. Penpie’s revenue nearly quadrupled from the week prior, indicating a nearly unprecedented amount of interest in yield strategies tied to Pendle Finance. Other remarkable undertakings encompass Gains Network, that tallied up $138,000 in revenue; Ostium Labs, which came in at $88,000; and Aave, that accounted for $50,000. These projects illustrate a variety of scenarios from derivatives and prediction markets to lending, showcasing the sort of activity that speaks to the ecosystem’s vitality. Last week, @arbitrum protocols generated $1.22M in revenue (+1.67% WoW). Penpie nearly 4x'd their revenue WoW, signaling strong demand for yield on @pendle_fi . @GMX_IO : $376k @Penpiexyz_io : $276k @GainsNetwork_io : $138k @OstiumLabs : $88k @aave : $50k pic.twitter.com/OP2uMrhKkB — Entropy Advisors (@EntropyAdvisors) June 4, 2025 Looking Ahead: A DAO Built for Sustained Growth Arbitrum’s strides in governance and protocol performance show a robust network. Proposals numbering more than 60 have passed, signaling strong community engagement around decentralized governance, with a clear willingness to adapt and improvise with decisions made close to the ground. Arbitrum seems to be developing a sustainable financial framework, rather than relying on short-term, speculative interest to drive its revenues, the way some projects do. Over the past eight months, Penpie’s ecosystem has added almost 100 different projects. Recent growth from Penpie, coupled with what’s been steady performance from major parts of the Arbitrum ecosystem, like GMX and Gains Network, suggests that these additions have been the right ones. Overall, the performance of different parts of the Arbitrum ecosystem reflects an emerging ecosystem with depth and variety. The DAO’s evolution means its resource allocation, community alignment, and innovative support must be top-notch, not least because the Arbitrum DAO will probably be allocating a lot more resources, if not a lot more governance too, in the near future. Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services. Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news !
