Assets, Ethereum

Does Arbitrum Run on Ethereum?

Arbitrum is a new Layer 2 solution that promises to offer high Scalability and fast transaction speeds without compromising on security. While many L2 solutions are being built on top of Ethereum, Arbitrum is different in that it runs on its own purpose-built blockchain.

This means that Arbitrum is not limited by Ethereum’s congestion and scalability issues, and can offer users a much smoother experience.

Arbitrum’s main selling point is its use of “optimistic rollUPS”. This technology allows Arbitrum to compress multiple transactions into a single “rollup” transaction, which is then stored on Ethereum’s main chain.

This reduces the amount of data that needs to be stored on Ethereum, and also speeds up transaction times.

The downside of this approach is that it requires users to trust Arbitrum’s off-chain data layer. However, the team behind Arbitrum is confident that they can provide a secure and reliable solution.

Only time will tell if this trust is justified.

Overall, Arbitrum is an interesting new solution that has the potential to offer real benefits to users. However, its success will largely depend on whether or not users are willing to trust its off-chain data layer.

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