The Arbitrum community is considering lowering the voting threshold to 4.5%.

Arbitrum Governance Participation Crisis: Challenges and Solutions

The governance token price of Layer2 Arbitrum's ARB has sharply decreased by 71% over the past year. This has led to a significant drop in DAO voting participation rates. The Arbitrum community is considering lowering the minimum voting threshold from 5% to 4.5% to strengthen governance.

Participation in Arbitrum governance has decreased by 50% over the past year. Meanwhile, the Token price has lost up to 87% of its value compared to its all-time high. As Token holders experience heavy losses, the enthusiasm for governance participation naturally weakens.

Reducing the voting threshold may be a temporary solution, but the core issue remains that the ecosystem lacks real value to retain Token Holders. Community representatives emphasize that this not only affects daily decisions but could also undermine high-quality proposals.

The useful lesson here lies in finding ways to innovate and enhance real value for the ecosystem, in order to maintain the long-term cohesion of the community.

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