The Arbitrum Watchdog Committee proposed permanently excluding Good Entry, Limitless, and APX Finance from all future ArbitrumDAO programs over alleged critical-level fund misuse involving 457,553 ARB.
Good Entry allegedly distributed 142,839 ARB of its 200,000 ARB grant to 1,032 ineligible users, with evidence of team-linked wallets engaging in self-farming. Limitless converted its full 75,000 ARB allocation into USDC and bridged it to Base, which the committee classified as suspected theft. APX Finance’s case involves 239,714 ARB tied to unreturned funds, distribution delays, and suspected team-linked sybil clusters.
The projects have until September 10 to respond in the governance forum. If the committee rejects their explanations and funds are not returned by the deadline, separate Snapshot votes will allow ArbitrumDAO to decide whether to impose permanent bans on the projects and associated individuals.
Arbitrum Watchdog Seeks Permanent DAO Ban for Three Projects
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