Arbitrum is a layer-2 chain built by Offchain labs for Ethereum blockchain. It helps make Ethereum a congestion-free network using Optimistic rollups technology. Arbitrum leverage the security of Ethereum and use its sidechain to process transactions before relaying them to the ETH mainnet.
It is also one of the fastest L-2 chains with the capacity to process 40,000 transactions per second at much lower gas fees than Ethereum. As of January 2023, Arbitrum is ranked number 1 in terms of rollup based TVL which stands at $1.08 billion as reported by Defillama.
With rumours rising around the launch of Arbitrum token ARB on the centralized exchanges. Let’s take a look at the Arbitrum partnerships that are helping to boost its ecosystem in the near future –
1. Arbitrum partnership with ChainLink:
Founded in 2017, Chainlink is a decentralized blockchain oracle initially built on the Ethereum blockchain that feeds real-world data from off-chain sources to on-chain smart contracts created on the blockchains.
Abritrum has partnered with Chainlink to launch Chainlink automation on its layer-2 chain. Chainlink automation allows web3 developers to automate smart contract functions in a decentralized manner saving time and resources at the time of development.
Automation will allow Arbitrum to quickly identify and process transactions even during peak congestion time. Moreover, it will also encourage developers to build highly-scalable, low-cost smart contract applications at lightning fast speed.
2. Arbitrum partnership with Prysmatic Labs:
Offchain Labs, the creator of Arbitrum layer-2 chain has acquired Prysmatic Labs in a strategic takeover to expand its optimistic rollup network that allows users to process faster transactions on Ethereum at lower gas fees.
Prysmatic Labs is best known for helping Ethereum switch from proof-of-work to proof-of-stake consensus mechanism. The team is known for creating its flagship protocol Prysm which is Ethereum’s popular consensus layer client.
3. Arbitrum partnership with Alchemy Pay:
Arbitrum has partnered with Alchemy Pay to bring fiat currency into its growing ecosystem. Developers can take advantage of Alchemy’s direct-to-customer (D2C) plugin on the layer-2 chain.
Alchemy Pay is a payment solutions provider that helps connect fiat and crypto economics for merchants, developers, consumers and enterprises. It is spread over 70 countries allowing users to make payments using fiat or crypto without any delay.
Its D2C plugin is customization and fits the need of any decentralized app which is a necessary feature for easy onboarding of the users. Moreover, it has NFT checkout that allows users to purchase NFT in fiat currency at no extra cost.
Alchemy also has its native token ACH issued on the Ethereum blockchain. Partnering with it helps Arbitrum solve payment issues faced by the developers on the chain. Flexa Network (creator of AMP project) works on somewhat similar lines.
4. Arbitrum partnership with WardenSwap:
Like UniSwap V3, WardenSwap is a decentralized exchange platform. It has partnered with Arbitrum to expand its presence on the layer-2 chain of Ethereum.
Arbitrum has helped WardenSwap increase its performance in terms of transaction speed and gas fees. Users are able to get better rates compared to what they receive while purchasing ERC-20 tokens on Ethereum.
WardenSwap already has its presence on BNB, Polygon, Ethereum, Avalanche and Optimism. The partnership has helped Arbitrum expand its ecosystem by adding an established DEX in the crypto space.
5. Arbitrum partnership with OpenSea:
Leading NFT marketplace OpenSea has integrated and launched Arbitrum support on the platform. This is big news for the Arbitrum NFT ecosystem since the majority of NFT projects on Arbitrum were listed on small and less-known marketplaces like Stratos and Agora.
The popular NFT collections on Arbitrum like The Seed of Life and Legions genesis are already minting money. The total sales for The Seed of Life stand at $11.79 million while it’s $11.25 million for Legions genesis.
The move to integrate these NFTs on OpenSea will surely see a rise in trading volume.
These are some of the Arbitrum partnerships. I will keep on updating this post with time. In the next post, I will talk about Immutable X Partnerships and NEAR protocol partnerships If you’re a fan of blockchain technology then do share this post on your social handles and educate everyone around you. Remember to subscribe to my YouTube channel for more informative content, released every week.
Paras is a blockchain writer & video creator at Katoch Tubes. In his free time, he loves watching space exploration documentaries & Hollywood movies.