Skip to main content

The $ARROW Token

$ARROW is Arrow DAO's governance and utility token. Its framework is defined by AIP-010 (Tokenomics V1).

$ARROW is not an investment product

Holders have no entitlement to profit, dividends, or distributions — the token's value derives from the utility of governing and participating in the Arrow network.

Token parameters

ParameterValue
Token nameArrow Air
Ticker$ARROW
Total supply100,000,000 — fixed, no minting
Token standardERC-20 upgradeable proxy (EIP-1967)
Ethereum Mainnet0x736609D310B5F925531B5ad895925CB0586F6241
Optimism0x78b3C724A2F663D11373C4a1978689271895256f
GovernanceSnapshot (arrowair.eth)

Supply is fixed at 100,000,000 $ARROW. New tokens cannot be minted under the current framework; any future change to supply would require a standalone AIP with explicit community approval. All token deployment draws from the existing DAO treasury.

What $ARROW does

The token has three active utilities:

1. Governance

1 $ARROW = 1 vote on Snapshot. Major protocol decisions, treasury allocations, and project approvals are decided by token-weighted vote. Vested tokens count toward voting weight. See Voting History for how voting works in practice.

2. Manufacturing bonds

Under AIP-009, community manufacturers post $ARROW as a quality-guarantee bond to fulfill orders for Arrow-designed hardware. Bonds lock for 28 days per shipped unit while the customer inspects the product. If the DAO upholds a customer dispute, the bond can be slashed: slashed tokens first compensate the customer, and any excess is burned — permanently reducing total supply. The DAO never keeps slashed tokens as revenue. Each sale also pays a commission to the DAO treasury. See Manufacturing for the full picture.

3. Contributor compensation

Contributors can take part of their compensation in $ARROW, and token-heavy blends are incentivized with a 1.5× multiplier on the token portion (AIP-004). Contributor tokens are issued through on-chain vesting contracts on Optimism.

Annual treasury deployment cap

Roughly 76% of $ARROW supply sits in the DAO treasury. AIP-010 governs how it leaves: each year the DAO must approve a deployment cap by governance vote, specifying how much $ARROW may be deployed and for what. Deployment is never automatic, and undeployed tokens stay in the treasury with no rollover.

Year 1 (2026) cap: 5,000,000 $ARROW (~6.5% of the treasury balance):

Bucket$ARROWPurpose
Grants program1,500,000Contributor grants and bounties
Manufacturing rewards500,000Incentives for AIP-009 bonded manufacturers
Project funding3,000,000Long-term engineering projects — deployed directly or converted to USDC
Operator incentives0Activates in Phase 2 with operator staking

The project funding bucket authorizes the purpose, not the transactions: every conversion of treasury $ARROW to USDC requires its own governance vote covering amount, venue, counterparty, and pricing. Treasury deployment exists to fund real protocol actors — contributors, manufacturers, and projects — not to support speculation.

Liquidity

An $ARROW-USDC pool exists on Uniswap V3 (Ethereum Mainnet). In the current framework, the DAO's authorized market activity is limited to individually voted sales from the project funding bucket, sized and paced to available liquidity. A DAO-owned liquidity pool is not authorized by AIP-010 and would require its own governance action and legal review.

Roadmap

AIP-010 sketches a non-binding direction for future phases — each mechanism requires its own future AIP:

  • Phase 2 (2027+): vertiport and aircraft operator staking as the cargo network launches. Operators post $ARROW stake to register in the network, with fee discounts scaled to stake and geographically weighted incentives designed to favor a shared network of independent operators over capital-dominant hubs.
  • Phase 3 (2028+): per-flight network rewards for early passengers and cargo customers, a mature staking ecosystem, and on-chain governance.

Key addresses

EntityNetworkAddress
$ARROW tokenEthereum Mainnet0x736609D310B5F925531B5ad895925CB0586F6241
$ARROW tokenOptimism0x78b3C724A2F663D11373C4a1978689271895256f
DAO Treasury (Gnosis Safe)Ethereum Mainnet0x03b5dc2ce78a7bee9f66dd619b291595a2e166bb
DAO multisigOptimism0xaDc17e5f0e9F755C717B2beE43B590260034b852
Vesting factory (Snapshot voting weight)Optimism0xB93427b83573C8F27a08A909045c3e809610411a
Uniswap V3 $ARROW-USDC poolEthereum Mainnet0x84c4d2339c03aE3F7D5B7e63e3477b1dCA1610Ec