TL;DR

In Optimism, governance is considering a major simplification of its operating model. The Foundation proposed dissolving the Grants Council, the Milestones and Metrics Council, and the Developer Advisory Board, while also expanding its treasury strategy through new yield-generating approaches and broader use of RWAs and options.

In Arbitrum, governance focused on improving operational efficiency and treasury management. Delegates advanced proposals to wind down Arbitrum Gaming Ventures, automate the distribution of Timeboost proceeds, and are currently voting on Fast Feed, a new paid low-latency data service. OpCo also adjusted RAD budgets to keep delegate incentives aligned with ARB price movements.

Elsewhere, Uniswap continues to formalize its governance and technical standards through a new RFC process while expanding V4 to additional networks. StarkWare proposed a major overhaul of its validator delegation program, shifting from broad participation toward a smaller set of high-performing validators with larger delegations.

Active Votes

Uniswap: 1 active vote

• Update Crosschain Governance Parameters for Avalanche, MegaETH, Soneium, and X Layer - ends on July 12 at 04:00 UTC.

Arbitrum: 1 active vote

• Feed: Constitutional AIP - ends on July 9 at 18:54 UTC.

Optimism

Optimism Proposes Dissolving the Milestones and Metrics Council

The Optimism Foundation has proposed dissolving the Milestones and Metrics Council, arguing that the body no longer provides sufficient value as community-led grant programs are phased out. According to the Foundation, the Council has added coordination overhead and slowed grant disbursements without meaningfully improving accountability.

If approved, oversight of the remaining grant milestones will transition to the Foundation through a third-party contractor, while governance shifts toward holding the Foundation accountable rather than directly monitoring grants.

Optimism Proposes Dissolving the Developer Advisory Board

The Optimism Foundation has proposed dissolving the Developer Advisory Board (DAB), arguing that its formal structure is no longer necessary as the Collective streamlines governance. While technical input remains important, the Foundation believes advances in AI and the evolution of the OP Stack ecosystem have reduced the need for a dedicated board to help delegates evaluate technical proposals.

If approved, the Foundation will replace the DAB with more flexible mechanisms such as working groups, RFCs, and informal consultations with technical contributors.

Sequencer ETH Management: 12-Month Renewal and Treasury Optimization

The Optimism Foundation has proposed renewing its Sequencer ETH management program for another 12 months while expanding the range of approved treasury strategies. In addition to continuing native and liquid staking, the proposal would consolidate custodians, authorize conservative options strategies such as covered calls and collars on up to two-thirds of the ETH treasury, and reinvest any cash generated into short-duration tokenized real-world assets (RWAs) on OP Mainnet.

The Foundation estimates these changes could increase the treasury’s blended yield from roughly 2.5–3% to a target of 5–10% APY, while maintaining institutional-grade custody and risk controls.

Optimism Proposes Dissolving the Grants Council

The Optimism Foundation has proposed dissolving the Grants Council, arguing that the current community-led grants structure creates more operational overhead than governance value. After several seasons of experimentation, the Foundation concluded that coordinating an elected council for grant allocation no longer justifies its costs, particularly as Optimism shifts toward an OP Enterprise strategy.

If approved, the Foundation would assume responsibility for making strategic grants, with governance transitioning from directly allocating capital to overseeing the Foundation’s execution.

Arbitrum

Arbitrum Advances AGV Wind-Down Proposal

Arbitrum delegates approved a temperature check proposing to wind down Arbitrum Gaming Ventures (AGV), ending its mandate to make new investments and returning approximately 143.7 million ARB in unused capital to the DAO treasury. Under the proposal, AGV would shift to managing its existing portfolio, supporting follow-on investments where appropriate, and maximizing the value of its current holdings through the end of 2026.

The proposal would also transfer oversight of the wind-down process to OpCo under the supervision of the Oversight and Transparency Committee (OAT). OpCo would coordinate portfolio management, reporting, and any future restructuring of AGV’s remaining assets, while any additional surplus capital identified during the process would also be returned to the DAO treasury if the proposal is ultimately implemented.

Arbitrum Advances Automated Timeboost Revenue Split

Arbitrum delegates approved a temperature check to automate the distribution of Timeboost proceeds between the DAO Treasury and the Arbitrum Developer Guild (ADG). If implemented, future auction revenue would be split automatically, with 97% flowing to the DAO Treasury and 3% to the ADG, removing the need for recurring governance votes to process these transfers.

The proposal would also transfer the ADG’s share of Timeboost proceeds already accumulated in the treasury and deploy new reward distribution contracts on Arbitrum One and Nova. Following the successful temperature check, the proposal is expected to move to a constitutional on-chain vote before implementation.

Fast Feed Constitutional AIP

Arbitrum is voting on an AIP to introduce Fast Feed, a paid, authenticated data stream that gives subscribers earlier access to sequenced transaction data before blocks are finalized. The proposal argues this would provide a reliable, low-latency service for latency-sensitive applications without affecting transaction ordering or introducing new MEV opportunities. Subscription revenue would be split 97% to the DAO Treasury and 3% to the Arbitrum Developer Guild through an on-chain reward distributor.

If approved, the proposal would deploy a new payment contract, integrate the Fast Feed into the sequencer, and authorize Offchain to adjust pricing parameters for up to two years within governance-defined limits. An independent audit is expected before the proposal advances to an on-chain vote.

RAD Quarterly Budget Review

OpCo announced updated budgets for the Rewarding Active Delegates (RAD) program for Q3 2026, reducing per-proposal allocations across all voting categories. The changes aim to keep the program’s ARB spending aligned with historical levels after the token’s price decline significantly increased the amount of ARB distributed while maintaining the same USD-denominated rewards.

The revised budgets will apply only to proposals starting in July and leave the program’s structure unchanged, including eligibility criteria, rationale requirements, and USD-based payouts. OpCo also confirmed that RAD budgets will continue to be reviewed quarterly and adjusted if ARB’s market price changes materially.

Starknet

Update to StarkWare delegation program - call for feedback

StarkWare has opened a discussion on the next phase of its validator delegation program, proposing to shift from supporting over 130 validators to a maximum of 31. Under the new model, selected validators would receive larger delegations of 5M–20M STRK, while meeting stricter requirements around uptime, testnet participation, and operational support.

The proposal introduces two tracks: a partner delegation route for top stakers, infrastructure providers, and ecosystem contributors, and a smaller symbolic delegation route for active community validators. Feedback is open for two weeks, with the updated delegation program expected to take effect roughly five weeks after the final criteria are announced.

Uniswap

Proposal to Expand Uniswap V4 to Four New Networks

GFX Labs submitted an RFC proposing to deploy Uniswap V4 on Sei, Etherlink, Pharos, and 0G, expanding the protocol to four additional EVM-compatible networks. The proposal argues the deployments would increase protocol fee generation, broaden V4 adoption, and create new environments for hook-based applications, particularly across institutional DeFi, RWAs, and AI-focused ecosystems.

The proposal requests no funding from the DAO, with GFX Labs committing to cover deployment, maintenance, and interface support through Oku Trade.

URC-1: Uniswap Request for Comment Process

Uniswap Labs introduced URC-1, a proposal to establish a formal Uniswap Request for Comment (URC) process for documenting technical standards, architectural decisions, and ecosystem-wide design proposals. Inspired by processes such as Ethereum’s EIPs, URCs would provide a structured path for drafting, discussing, reviewing, and finalizing proposals before they become canonical references.

The proposal defines proposal statuses, author and editor responsibilities, numbering rules, and a standardized document format. Its goal is to make design discussions more transparent, improve collaboration across the ecosystem, and create a lasting reference for standards intended to be reused by developers and integrators.

URC-2: Custom Accounting Hook Swap Event

Uniswap Labs introduced URC-2, a proposal to standardize how Uniswap v4 hooks report swaps that use custom accounting. The proposal defines a new HookSwap event that would allow indexers and analytics platforms to capture the token movements generated by hooks, complementing the existing Swap event, which only reflects the AMM-executed portion of a trade.

If adopted, the standard would improve interoperability for developers building custom hooks while making complex swap activity easier to index and analyze. Existing hooks would remain fully compatible, as adopting the new event would be optional.

URC-3: Hook TVL and Effective Liquidity Reporting

Uniswap Labs published URC-3, a proposal to standardize how Uniswap v4 hooks report total value locked (TVL) and immediately available liquidity. The proposal introduces a read-only interface, IHookStats, allowing hooks to expose both total reserves and effective liquidity, even when assets are managed through external protocols, vaults, or other custom accounting mechanisms.

If adopted, the standard would improve transparency for routers, interfaces, and analytics providers by giving them a consistent way to evaluate hook-managed liquidity without requiring changes to Uniswap v4 core. Existing hooks would remain compatible, as implementing the interface would be optional.

URC-4: Active Liquidity Framework Hook Interface

Uniswap Labs published URC-4, a proposal introducing a standardized interface for Uniswap v4 hooks that manage active liquidity. The proposed IALFHook interface would let routers and other applications request indicative quotes, check hook availability, estimate gas requirements, and simulate price-bounded swaps through a common API.

The proposal builds on the previous URCs by complementing standardized swap events and liquidity reporting.

Quiet Corner

Some ecosystems saw no meaningful governance developments this week.

• Everclear
• Hop
• Wormhole
• Polygon
• Scroll
• ZKsync

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

Upcoming Events

Scroll: 2 calls

• Weekly DAO & Governance Call - on 08.07 at 14:00 UTC.
• Scroll DAO Office Hours - on 10.07 at 14:00 UTC.

Arbitrum: 2 calls

• Arbitrum Reporting Governance Call (GRC) - on 08.07 at 16:00 UTC.
• OpCo Monthly Update Call - on 10.07 at 14:00 UTC.

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.