$ARB | Arbitrum (ARB)
Arbitrum is one of the most relevant Layer 2 solutions in the Ethereum ecosystem, created to solve the major bottleneck of the network: scalability. Using optimistic rollup technology, it processes transactions outside the main layer of Ethereum and then validates them in a compact form on the main blockchain. This ensures much lower fees, greater speed, and the security inherited from Ethereum, creating an ideal environment for developers and users.
Today, Arbitrum is responsible for a significant portion of the liquidity in DeFi outside of the ETH mainnet, attracting heavyweight protocols like Uniswap, Aave, and GMX. This growth has solidified the network as a leader in TVL (total value locked) among all Layer 2 solutions, gaining ground against competitors like Optimism and zkSync.
The ARB token is still in the maturation process. It is primarily used for governance, meaning holders can participate in decisions about the future of the network, such as updates and allocation of treasury resources. Although its direct use is still limited, the strengthening of Arbitrum tends to enhance the ecosystem as a whole.
The biggest challenge lies in fierce competition: other Layer 2 solutions also offer innovation and are seeking strategic partnerships. However, Arbitrum has managed to combine technical robustness, real liquidity, and an active community, placing it in a prominent position in the race for Ethereum's scalability.