Arbitrum is a layer-2 solution project designed to enhance Ethereum smart contracts in terms of speed scalability while adding additional privacy features to boot.

The platform is designed to make it easy for developers to execute unmodified Ethereum Virtual Machine (EVM) contracts and Ethereum transactions at layer-2 while still benefiting from Ethereum’s excellent layer-1 security.

Arbitrum itself was created to address some of the shortcomings of current Ethereum-based smart contracts. As for the drawbacks, such as long transactions and high execution costs.