Arbitrum ARB Price

Arbitrum is a layer-2 solution designed to enhance Ethereum smart contracts in terms of speed scalability while adding additional privacy features. It uses optimistic rollups to achieve its goal of improving speed, scalability and cost-efficiency on Ethereum. Arbitrum benefits from the security and compatibility of Ethereum. Another benefit is the higher throughput and lower fees compared to Ethereum. That is made possible thanks to moving most of the computation and storage load off-chain.

Users can use Arbitrum chains to do all things they do on Ethereum — use Web3 apps, deploy smart contracts, etc., but their transactions will be cheaper and faster. The flagship product — Arbitrum Rollup — is an Optimistic rollup protocol that inherits Ethereum-level security.

Arbitrum’s native token is called ARB and is used for governance. Offchain Labs, the developers behind Arbitrum, announced the shift to a decentralized autonomous organization (DAO) structure — the Arbitrum DAO. ARB holders can vote on proposals that affect the features, protocol upgrades, funds allocation and election of a Security Council.