In the decentralized world of DAOs, few names command the level of respect and consistency that L2BEAT has earned. They are one of the most influential voices in the Arbitrum DAO.
They not only have the strength of a top-tier delegate but also the reliability and transparency that make them a well-respected and trustworthy governance participant. They have more than 4,200 delegators voicing in support of them, which cements their position even further, as does the community service they provide by cultivating Ethereum public goods.
As of May 14th, voting power ranks third in the Arbitrum DAO, holding 15.61 million ARB—roughly 4.3% of the total supply. This carries quite a bit of weight because it influences nearly every decision the DAO makes, which can affect the operating level of just about any app on the Arbitrum network.
Transparent Engagement and Strategic Timing
L2BEAT’s governance approach is highlighted by its high voting participation rate. Since the DAO’s inception, the group has rendered 2,032 votes, missing only 2 proposals that required participation, with the group’s voting missed participation rate resting at just .098%. The missed participation rate in the group’s votes is notably the tenth-best missed participation rate among the 81 DAOs with more than 100 votes cast on The Graph as of the end of September 2023.
This timing is not coincidental. With over 15 million ARB in delegated power, an early vote from L2BEAT could potentially sway sentiment or discourage smaller delegates from engaging. Instead, their tendency to vote closer to the deadline appears to be a deliberate effort to remain tactically reactive — letting community debate unfold before casting their influential vote. It’s a sign of political awareness and respect for the decentralized nature of DAO participation.
This approach is clearly reactive on the surface, but it reflects a broader strategic philosophy: allow the grassroots voices to shape the early dialogue; weigh in only when the outcome is clearer and all perspectives have been shared. It’s a model that many in the DAO space consider ideal for the high-power delegates.
A Steady Beacon in a Shifting Ecosystem
Even with shifting delegation trends, turbulent markets, and a changing DAO landscape, L2BEAT has held over 15 million ARB in voting power since May 2023—almost two straight years of being reliably funded to influence governance. This kind of durability is uncommon in the crypto space. To put it another way, it’s a sign of long-term trust from their delegators.
Throughout their time in service, L2BEAT has weighed in on 59 different proposals, voting against or abstaining on just six. The most significant pushback came against the ADPC Phase 2 proposal, a decision that was a clear signal that L2BEAT is not afraid to dissent when proposals don’t meet their standards for transparency and effectiveness.
L2BEAT is viewed by many as a reliable steward of the Arbitrum ecosystem because it has this kind of selective opposition. Their opposition is grounded in principle, not politics. They kind of endorse what’s going on in the governance process. But when something happens that they don’t like — like this proposal from ARB — they raise the flag and tell us why we should be concerned.
A Public Goods Vision at the Core
At its core, L2BEAT is an organization that provides public goods. It is well documented that they are committed to transparency, the integrity of the data they provide, and the infrastructure they help to build around Ethereum Layer 2s. This extends, of course, to their role in the Arbitrum DAO. But it’s worth pointing out that even in this well-demarcated role, they are acting as a top delegate with integrity and creating space for a more informed and inclusive governance process.
This mission is clearly reflected in the sizeable and devoted delegator base of 4,230 that L2BEAT currently enjoys. Delegators are not merely parking tokens for a return that is somewhat more active than a savings account. They are entrusting L2BEAT with representing their values in one of the most vibrant DAO ecosystems on Ethereum.
Arbitrum’s DAO is growing up. L2BEAT is not just a powerful voice in the Arbitrum ecosystem; its work is foundational to what responsible Arbitrum leadership looks like. L2BEAT funding doesn’t just go to paving the way for ERC-20 tokens to be secured with Arbitrum’s trusted technology (though that is one way in which they are securing public goods). All of this is developing a Ethereum public goods economy that is ever more vibrant as it moves into 2024.
Conclusion: Trust, Strategy, and Community First
L2BEAT governs with a blend of transparency, tactical engagement, and a clear commitment to the public good. They achieve high participation in their governance, and they have a long-term and consistent approach to governance. And they stand for some key issues — notably, not just standing for issues but also engaging with the communities involved in those issues. And when I say “issues,” I mean them in the most positive possible light, as in: initiatives, opportunities to improve, touch points for meaningful discourse, and so on.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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