TL;DR

In Optimism, governance is focused on streamlining the Collective. Delegates are voting on proposals to dissolve the Grants Council, Milestones and Metrics Council, and Developer Advisory Board, signaling a shift toward a leaner governance structure with greater reliance on the Foundation. Alongside these changes, the DAO is also considering a one-year renewal of the Security Council’s operating budget to ensure continued protocol security and upgrade coordination.

In Arbitrum, governance activity continues to revolve around operational improvements. A proposed amendment to the Code of Conduct introduces guidelines for responsible AI use in governance discussions, while OpCo and Entropy Advisors reported progress on treasury deployment, organizational development, and ecosystem initiatives. At the protocol level, delegates are also reviewing changes to the Security Council election process and an early-stage proposal to modernize Arbitrum’s state representation.

In ZKsync, governance is centered on protocol evolution and institutional adoption. The draft v31 upgrade introduces a permissionless withdrawal mechanism for eligible chains while further aligning ZKsync Era and ZKsync OS under a shared architecture. Matter Labs also published its Q2 deliverables report, highlighting production deployments of Prividium, continued governance growth, and progress toward building institutional blockchain infrastructure.

Elsewhere, Uniswap continued expanding its protocol fee rollout with new temperature checks covering Robinhood Chain and v4 pools, while Polygon announced the retirement of its public RPC endpoints, encouraging developers to migrate to alternative providers before the July deadlines.

Active Votes

Uniswap: 1 active vote

• Protocol Fee Expansion: Robinhood Chain - ends on July 16 at 12:41 UTC.

ZKsync: 1 active vote

• ZKsync v31 Upgrade - ends on July 23 at 19:48 UTC.

Arbitrum: 2 active votes

• ArbOS61 Elara Upgrade - ends on July 30 at 18:40 UTC.
• OAT Elections - ends on July 16 at 22:54 UTC.

Optimism: 6 active votes

• Grants Council Dissolution Proposal - ends on July 15 at 20:54 UTC.
• Milestones and Metrics Council Dissolution Proposal - ends on July 15 at 20:54 UTC.
• Developer Advisory Board Dissolution Proposal - ends on July 15 at 20:55 UTC.
• Operating Manual Update Proposal - ends on July 15 at 20:55 UTC.
• Sequencer ETH Management: 12-Month Renewal and Treasury Optimization - ends on July 15 at 20:56 UTC.
• Security Council Operating Budget - ends on July 15 at 20:56 UTC.

Optimism

Optimism Security Council Operating Budget for Seasons 10 and 11

Optimism has published a proposal to allocate 5.04M OP to fund the Security Council for the next 12 months, covering Seasons 10 and 11. The budget would compensate 13 signers and one lead, with each member receiving 30,000 OP per month for overseeing protocol upgrades, emergency response, signer readiness, and governance coordination across the Superchain.

No additional funds are requested for operations or multisig management, as those expenses are expected to be covered by remaining Season 9 funds or future proposals. The proposal also outlines performance metrics, including signer uptime, participation in upgrade ceremonies, emergency readiness, and coordination with the Optimism Foundation and governance stakeholders.

Arbitrum

Proposed Amendment to the Code of Conduct: AI tools and Responsible Participation Policy

Arbitrum has proposed amending its Code of Conduct to establish guidelines for the responsible use of AI tools in governance discussions. The proposal welcomes AI for tasks such as research, translation, and summarization, but emphasizes that contributors remain accountable for the accuracy, originality, and quality of anything they publish.

The amendment would also give forum moderators clearer authority to remove or redirect repetitive, off-topic, or low-value content, regardless of whether it was AI-generated. Under the proposed process, the amendment will be adopted automatically after a 14-day review period unless delegates representing at least 5% of the DVP object, in which case it would move to a Snapshot vote.

Entropy Advisors Monthly Update: June 2026

Entropy Advisors reported that Arbitrum’s treasury is now fully deployed, with additional ETH allocated to ether.fi, stablecoins moved into higher-yield strategies, and the covered calls program resumed after market conditions improved. The team also began preparing portfolio adjustments to fund the recently approved Arbitrum Foundation allocation while evaluating new ecosystem investment opportunities.

Beyond treasury management, Entropy highlighted the extension of the DRIP incentive program through July 2027 while delaying Season 2 to better align incentives with upcoming ecosystem developments. The monthly update also covered new analytics dashboards, including support for Robinhood Chain, and reported that the Watchdog program recovered nearly 75K ARB in June, bringing total recovered funds to over 457K ARB.

OpCo Update July 2026

Arbitrum’s OpCo shared its July update, announcing the hiring of its Head of OpCo and the completion of its recruitment process. The team also noted that this will be the final monthly update in its current format, with future reporting to be consolidated into broader OpCo reporting calls.

During the month, OpCo advanced the operational transfer of AGV, adjusted the RAD budget, proposed updates to the DAO’s Code of Conduct, and continued coordinating cross-organization initiatives. It also remains actively involved in treasury oversight through its work with Entropy Advisors and is finalizing long-term incentive mechanisms under the 10M ARB mandate approved by the DAO.

[RFC] New state representation for Arbitrum: proof-format change and request for feedback

Offchain Labs has published an RFC outlining early research into replacing Arbitrum’s current Merkle-Patricia Trie (MPT) with a new verifiable state data structure. The proposed change aims to improve execution performance, reduce node hardware requirements, and better support future scaling, while preserving Arbitrum’s security model and fraud-proof guarantees.

The proposal is still at the research stage and is intended to gather feedback from developers, infrastructure providers, and teams that rely on eth_getProof. While applications and end users are not expected to be affected, proof formats and verification logic would change, requiring updates for projects that verify Arbitrum state proofs. Any implementation would follow the standard governance process through an ArbOS upgrade and a Constitutional DAO vote.

AIP: Ratification of Security Council Election Process Improvements

Arbitrum has published an updated Constitutional AIP to ratify four changes to the Security Council election process before moving to an on-chain vote. The proposal would extend council terms from one to two years, reduce the nominee qualification threshold from 0.2% to 0.1% of votable ARB, and allow both candidates and serving members to rotate their signing keys under defined procedures.

A previously proposed shortcut allowing incumbents to bypass the nominee selection phase has been removed following delegate concerns. If the proposal passes both the updated temperature check and the constitutional vote, the next Security Council election would move to March 2027, with future elections held annually.

Uniswap

Protocol Fee Expansion: Robinhood Chain

Uniswap has opened a temperature check to extend its protocol fee system to Robinhood Chain, enabling fee collection across v2, v3, and v4 deployments. The proposal follows the expedited governance process introduced through UNIfication and comes just days after Uniswap surpassed $1B in cumulative swap volume on the chain following its July 1 mainnet launch.

If approved, protocol fees would be routed through Robinhood Chain’s TokenJar and ultimately contribute to UNI burns on Ethereum mainnet using the same infrastructure already deployed on Arbitrum. The proposal also introduces the necessary fee adapters for v3 and v4, with on-chain execution expected to be split across multiple governance proposals after the temperature check concludes.

Activate v4 Protocol Fees

Uniswap has opened a temperature check to activate protocol fees on selected v4 pool families across Ethereum and 10 additional chains. Instead of configuring fees pool by pool, the proposal introduces a new V4 Fee Controller architecture that calculates fees dynamically based on a pool’s characteristics, allowing governance to manage fee policies through a small set of rules rather than individual deployments.

Initially, protocol fees would apply to standard pools, Continuous Clearing Auction (CCA) pools, and aggregator hook pools, with fees continuing to flow into each chain’s TokenJar before contributing to UNI burns on Ethereum mainnet. If approved, the proposal would mark the next phase of Uniswap’s protocol fee rollout while introducing a governance framework designed to support v4’s more flexible hook-based architecture.

Polygon

Deprecation of Polygon’s public RPC endpoints

Polygon Labs announced it will deprecate its public RPC endpoints for both Amoy testnet on July 17 and Polygon PoS mainnet on July 31. After those dates, the free Polygon-operated endpoints will no longer be maintained or respond to requests.

Developers, wallets, and infrastructure providers using these endpoints are encouraged to migrate to alternative RPC providers before the deadlines. Polygon has published a list of supported public and enterprise RPC services, with most migrations requiring only an update to the configured RPC URL.

ZKsync

ZKsync v31 Upgrade

Matter Labs has published ZIP-16, a draft proposal for the ZKsync v31 protocol upgrade, introducing Priority Mode for ZKsync OS chains that settle directly on Ethereum. The feature provides a permissionless withdrawal path if a sequencer stops processing transactions, allowing users to exit funds after a defined timeout while improving censorship resistance.

The upgrade also further aligns ZKsync Era and ZKsync OS under a shared codebase by removing legacy components, simplifying protocol architecture, and enabling Era to upgrade directly from v29 to v31. If approved, node operators and ecosystem tooling will need to update to remain compatible with the new protocol version.

Matter Labs | Q2 2026 Deliverables Report

Matter Labs’ Q2 report highlights ZKsync’s continued shift toward institutional infrastructure, with Prividium moving into production across projects such as Cari, Memento, and Real Finance. The quarter also included SOC 2 Type I completion, Hyperledger Besu support, and progress on private interoperability, selective disclosure, and multi-prover systems for regulated financial use cases.

On governance and network development, the ML Funding TPP approved 804M ZK over 12 months, while the staking pilot closed with roughly 350M ZK staked and 1.2B ZK actively delegated. Matter Labs also advanced v31, sunset ZKsync Lite, and expanded ZK access through Revolut and Bitstamp.

Quiet Corner

Some ecosystems saw no meaningful governance developments this week.

• Everclear
• Hop
• Lisk
• Scroll
• Wormhole
• Starknet

As always, if we missed something important, feel free to reach out. We’re happy to dig deeper.

Discuss with L2BEAT

Join us every Friday at 3 pm UTC for our weekly Governance Office Hours to discuss proposals, ecosystem direction, and high-level governance strategy.