[Arbitrum DAO approves $24M investment in real-world assets: full breakdown]
Arbitrum, a Layer 2 scaling solution for Ethereum, has advanced a proposal to invest 35 million ARB tokens in real-world asset (RWA) products, which has been approved by the DAO community. The proposal was put forward by the Stabilized Treasury Endowment Program (STEP) Committee and aims to diversify the Treasury’s investment portfolio.
The committee announced six investment projects on June 23, selected from an initial pool of 17 candidates. The six products include:
1. Invest 11 million ARB in BlackRock’s Ethereum-based tokenization fund BUIDL.
2. Invest 6 million ARB in USDY from Ondo Finance.
3. Invest 6 million ARB in Superstate’s USTB.
4. Invest 4 million ARB in Mountain Protocol’s USDM.
5. Invest 4 million ARB in OpenEden’s U.S. Treasury Bonds (T-Bills).
6. Invest 4 million ARB in Backed Finance’s bIB01.
The investment amount is determined based on the size of assets under management for each RWA product. For example, BlackRock's BUIDL has $523 million in assets under management and thus received the largest investment volume. According to data from RWA.xyz, BUIDL’s assets under management have grown by 13.28% in the past 30 days, with 8 active addresses and 18 holders.
The ARB token is currently trading at $0.6872, down nearly 4% in the past 24 hours and down 26.72% in the past 30 days, according to CoinMarketCap. At current prices, 35 million ARB tokens are worth approximately $24 million. The investment is intended to give the project a much-needed boost.
Additionally, Arbitrum proposes a staking mechanism that will reward stakers with 50% of future fees.
