- Dolomite says vARB is a “vote-enabled ARB” token that will enable holders to perceive part in Arbitrum’s governance thru vote casting.
- Whereas it can’t be lent or borrowed, vARB system customers can utilize their ARB collateral to vote.
DeFi protocol Dolomite has launched vARB, a “vote-enabled ARB” token that allows holders grab part in governance vote casting on the Arbitrum community.
vARB is never any longer a brand novel token, and is non-transferable and non-tradable. Not like ARB, customers obtained’t be ready to lend or borrow this token, the protocol said in a press delivery shared with CoinJournal.
However, vARB will enable holders to tap into ARB tokens deposited as collateral to get entry to governance and vote casting rights on Arbitrum.
Lengthen ARB vote casting energy
In accordance with Dolomite, vARB will likely be held in “isolation mode” on the protocol, with customers ready to utilize them for vote casting on Arbitrum. That’s no longer seemingly with the ARB locked in liquidity swimming pools and extinct for lending and borrowing. Because it stands, ARB locked in DeFi protocols much like Aave or Compound can’t be extinct in governance votes.
vARB makes this seemingly as customers can utilize the the same ARB for vote casting and for lending and borrowing by with out trouble converting their ARB to vARB. The token on the other hand does be pleased any other advantage – holders can utilize it to develop their votes’ weight.
To conclude this, customers deposit vARB as collateral, getting to borrow extra ARB. They’ll then swap the extra ARB for vARB, with this seemingly as much as 5 cases. As said in the announcement, holders face no threat of liquidation from ticket movements given the ticket of vARB remains the much like that of ARB.
Arbitrum continues to develop as notion to be one of Ethereum’s most dominant Layer-2 networks. The community launched its ARB token in March and has over $2.4 billion in Entire Value Locked (TVL) as of December 28, 2023.
The ticket of ARB used to be $1.52, up by better than 32% in the previous week as analysts predict a potential surge to $2.
