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Arbitrum proposes permanent bans on three DeFi projects over $76K in alleged fund misuse.

Protocol Fundamentals
09 Sep 2026, 21:23 WIB
Crypto news
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Bearish
Arbitrum proposes permanent bans on three DeFi projects over $76K in alleged fund misuse.

Arbitrum's Watchdog Committee has proposed permanently banning three DeFi projects—Good Entry, Limitless, and APX Finance—from future DAO programs due to alleged misuse of 457,553 ARB tokens worth about $76,000. The committee found issues such as funds sent to ineligible users, transfers outside the Arbitrum ecosystem, and suspected self-farming or Sybil attacks. Each project has until September 10 to respond and return disputed funds before separate DAO votes decide on the bans. If approved, bans would block future program participation without freezing wallets or contracts, highlighting Arbitrum's efforts to improve grant oversight and protect its ecosystem.

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