Hop DAO to sell $440,000 in ARB tokens to finance operations

Hop DAO executed an on-chain vote on Monday to sell 25% of its Arbitrum holdings, or more than 200,000 ARB, to cover its operational expenses.

An off-chain version of the proposal shows that the DAO will be unloading 209,251 ARB—worth nearly $440,000 as of the time of writing—to buy USD Coin (USDC). The community will use those stablecoins to compensate Hop DAO’s moderators and finance the protocol’s development and research initiatives. 

The timeline for the ARB sell-off remains unclear. A Hop DAO representative did not immediately respond to The Block’s request for comment. As of the time of writing, ARB is trading at $2.08, nearly unchanged in the past 24 hours, according to The Block’s price data.

The proposal passed with roughly 85% of votes (3.02 million) in support of the measure. Seven delegates favored the sale, while one abstained, according to Tally, a front-end platform for on-chain votes. The vote concluded at 4:38 UTC, as shown by the blockchain data.

The proposal’s execution has triggered the transfer of ARB from Hop’s treasury to its community multisig wallet, as per Snapshot. The DAO will sell the digital tokens in tranches.