Arbitrum DAO member proposes $120M recall from gaming fund

A member of Arbitrum’s (CRYPTO:ARB) DAO has proposed recalling $120 million in tokens allocated to the Gaming Catalyst Program (GCP) due to missed deadlines and lack of updates.

The GCP, approved in June to promote gaming ecosystem growth on the Arbitrum network, was expected to achieve several objectives within its first four months, including issuing requests for proposals (RFPs) and establishing a permanent council.

However, the program has reportedly failed to meet these goals.

According to Joseph Schiarizzi, a DAO member and DeFi founder, the GCP has yet to deliver on key milestones such as creating a website, issuing RFPs, and offering grants.

Schiarizzi stated, “It is unconscionable to continue to allow a 3/5 multisig hold $120M in ARB when they have failed to meet their agreed-on oversight obligations.”

His proposal suggests returning 220 million ARB tokens, worth approximately $118.6 million, to the DAO’s treasury.

Despite proposing the recall, Schiarizzi emphasized that his goal is not to cancel the program but to highlight its missed deadlines and lack of transparency.

“The ideal solution isn’t even that we pull all the funds back. The ideal solution is the DAO gets the transparency and obligations that it set out at the beginning of GCP met,” Schiarizzi explained.

In response, Steven Goldfeder, CEO of Offchain Labs, acknowledged the delays but attributed them to the complexity of setting up the program.

Goldfeder stated, “It’s super complicated and won’t happen overnight — legal structure, oversight, hiring, etc. And there are public biweekly status calls.”

At the time of writing, the Arbitrum price was $0.529.