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Arbitrum - Blockchain
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Arbitrum

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description Arbitrum Overview

Arbitrum is a leading Layer 2 scaling solution for Ethereum. It uses Optimistic Rollup technology to bundle transactions, significantly reducing gas fees while inheriting the security of the Ethereum mainnet. Arbitrum has one of the highest Total Value Locked (TVL) figures among L2s, making it a primary destination for DeFi users who want Ethereum-level security with much faster and cheaper execution.

balance Arbitrum Pros & Cons

thumb_up Pros
  • check Lower transaction fees
  • check Strong ecosystem adoption
  • check Maintains Ethereum security
  • check Fast transaction finality
thumb_down Cons
  • close Centralized sequencer concerns
  • close Liquidity fragmentation
  • close Withdrawal delay period

help Arbitrum FAQ

What is Arbitrum One used for?

Arbitrum One is an Ethereum Layer 2 network used for cheaper and faster smart contract transactions. It runs many DeFi apps while settling security back to Ethereum.

Does Arbitrum use ETH or ARB for gas?

On Arbitrum One, users generally pay gas fees in ETH. ARB is the governance token for the Arbitrum DAO, not the standard gas token on Arbitrum One.

What is the difference between Arbitrum One and Arbitrum Nova?

Arbitrum One is the main general-purpose rollup for Ethereum apps. Arbitrum Nova is a separate chain designed for lower-cost use cases, including gaming and social applications.

What kind of rollup is Arbitrum?

Arbitrum is an optimistic rollup. That means transactions are posted with the assumption that they are valid, while a challenge system can dispute invalid results.

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