- 1 Arbitrum, a top player in Ethereum scaling solutions, announced the Arbitrum Orbit Expansion Program.
- 2 Addressing the challenges in Layer 1 (L1), and empowering the developers is the main goal.
On January 19, 2024, Ethereum Scaling pioneer Arbitrum announced the Arbitrum Orbit expansion program. The program intends to transform the Ethereum-based chains by providing a self-service path for developing Layer 2 (L2) and Layer 3 (L3) Solutions. Flexibility and innovation are the two main pillars of the program, offering a permissionless profit-sharing model.
Arbitrum Orbit Expansion Program Insights
Supporting the developer community is one of the main commitments of the Arbitrum Orbit expansion program. The program empowers developers to craft customized L2 and L3 chains to carry out solutions including optimistic rollups, ZK-Rollups, optimums, and validiums. Layer 2 is an off-chain network or advanced technology developed on top of an existing blockchain layer. Its motive is to solve the challenges arising from scalability and transaction speed in the Layer 1 network.
No doubt the program is going to polish the creativity level of the developers along with addressing the existing challenges in the blockchain ecosystem. Additionally, Layer 2 is supposed to play a key role in the growth and expansion of blockchain adoption shortly. According to Cryptorank, L2 holds a market cap of $15.42 Billion.
As a support initiative, a portion of the profit generated using the program will be allocated to the Arbitrum Developers Association. The program explains Arbtirum’s commitment to the chain’s growth as well as the community’s growth.
The increased demand for specialized blockchain solutions that handle specific issues gave birth to the Arbitrum Orbit expansion program. Highly customized chain configurations are one of the main centers of attraction in the project, helping in seeking custom solutions.
It is a hub for possible solutions related to native account abstraction, customization of gas tokens, securing private blockchain space, and selecting data availability layers. XAI can also design a unique token economic model with the help of esToken dual-token model similar to GMX and the staked version of esXAI.
Furthermore, L2 adapted by Arbtirum One and Nova are already gaining benefits from existing paths. Additionally, Metamask, one of the popular crypto wallet providers, has launched new staking services that allow Ethereum users to run their validator nodes.
It is worth considering that Arbitrum One and Nova have already benefitted from the adoption of L3s. These solutions don’t require any revenue contribution to evolve, offering a way to promote innovation and creativity as well as rewards for developers.
The program announcement is a major step toward the blockchain environment’s future, all prepared to fulfill the diverse and unique needs of the communities. Moreover, supports the ecosystem and authority to create custom Ethereum-based chains fulfilling the present needs as well as constructing a strong future of blockchain technology.
Arbtirum was launched in 2021 and secured its position as one of the most preferred blockchains in the Layer 2 environment. It is also one of the first decentralized perpetual exchanges serving trading with leverage using a non-custodial exchange.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.