The Lido DAO (LDO) community is gearing up for an important vote that will determine the future of valuable Arbitrum (ARB) tokens. The vote will address several operational and strategic topics, including whether to accept Arbitrum’s airdrop and whether the claimed ARB tokens could serve as emission rewards for incentivizing the adoption of wrapped staked ETH (wstETH) across the Arbitrum network.
Justin David Reyes, LDO’s head of decentralized finance business development and partnerships, submitted the proposal. According to Reyes, liquidity providers (LPs) for the wstETH pools on Arbitrum should be rewarded with ARB tokens. If the proposal is approved, the incentives program would work similarly to how liquidity pools currently earn extra LDO rewards in addition to staking rewards.
Lido is entitled to claim up to 772,621 ARB tokens, according to a Google doc within Arbitrum Foundation’s governance documents. At ARB’s current price, the total dollar value of these ARB tokens is estimated to be just over $1.2 million.
The outcome of the upcoming vote is expected to have an impact on both LDO’s and ARB’s prices, which have experienced flat trading volume in recent weeks. A positive outcome for this vote could see LDO finally breach the immediate resistance level at $2.63, paving the way for the altcoin’s price to rise 15% toward $2.92.
Meanwhile, ARB’s price could climb back above the $1.70 resistance level following a favorable outcome for the vote. This would constitute an approximate 10% uptick for the altcoin’s price from current levels. At press time, CoinMarketCap shows that ARB’s price dropped 7.35% over the last 24 hours to trade at $1.65. LDO’s price experienced the same 24-hour fate and printed a 3.09% loss for the past 24-hour cycle. As a result, LDO’s price currently stands at $2.47.
It is worth noting that readers should do their own research and due diligence before taking any action based on this information. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.