Arbitrum One (ARB), a Layer 2 optimistic rollup for Ethereum, has recorded a key transaction milestone within three years of its mainnet launch.
Developed by Offchain Labs, Arbitrum leverages optimistic rollup technology to create an off-chain computation network.
The network enables faster and more cost-effective transactions while maintaining security from the Ethereum blockchain.
Total Arbitrum One transaction Tops 1 Billion
According to IntoTheBlock data, Arbitrum crossed 1 billion in cumulative transactions. This achievement demonstrates Arbitrum’s rapid expansion and ability to transform the Decentralized Finance (DeFi) ecosystem.
The 1 billion transaction data illustrate a commendable trajectory of growth for Arbitrum. It also highlights Arbitrum’s progressive journey from a volume of less than 100,000 transactions per day to over 2 million transactions daily.
The latest achievement can be attributed to interoperability with Ethereum’s programming language, Solidity. This enables the transfer of current Ethereum projects to Arbitrum with minimal alterations.
With $2.5 billion in Total Locked Value (TVL), Arbitrum has the highest TVL among Layer 2 solutions, followed by Base at $2.2 billion. Arbitrum’s success points to its efficiency and scalability in processing of transactions, while maintaining security via Ethereum’s blockchain.
Arbitrum’s lower gas expenses than Ethereum’s mainnet make it more accessible. This is especially vital for individual investors who may have been put off by high costs previously.
Arbitrum began as a venture capital-backed concept and has developed into one of the ecosystem’s most active Layer 2 chains. The platform has established itself as a popular venue for a variety of DeFi applications, including yield farming procedures and lending platforms.
Price Outlook of Arbitrum (ARB) This Year
Arbitrum has had a series of high and low peak periods this year. In June, Arbitrum almost hit a record low, with volume decreasing by over 38% in 24 hours.
At the time, ARB was trading near $0.82, dropping 1.29% in the intraday session. The token formed weak consolidating candles on the daily chart, trading below the 50 and 100 daily moving averages.
By August, Arbitrum’s price surged over 30% following support from Franklin Templeton. At the time, the price of Arbitrum traded at $0.5734, with a 24-hour trading volume of $305.02 million and a market cap of $1.91 billion.
About a month later, Arbitrum’s price recovered further amid a broader market recovery. The token boasts a positive weekly jump of 10.81% to $0.59. At press time, the price of ARB was trading at $0.5649, down by 9.2% in the past day. However, the trading volume increased by 3.7% to over $280 million.
The Place of Arbitrum Among Ethereum L2 Solutions
Arbitrum is performing well amongst other Ethereum Layer 2 platforms. Artbitrum One currently claims the third position in terms of the 30-day transaction count. Per data from L2Beat, Arbitrum recorded a 30-day transaction count of 49.14 million, following behind Gravity’s 90 million.
The leading Ethereum Layer 2 project is Coinbase’s Base, with a 30-day transaction count of 137.6 million. Still, Arbitrum is far ahead of other Ethereum Layer 2 solutions like Taiko, Optimism Mainnet, Blast, Immutabe X, and Mantle.
