Arbitrum

ARB

ARB is the native currency of the Arbitrum chain, a Layer-2 network built on top of Ethereum. It is used for governance of the Arbitrum ecosystem.

Risk Rating
Best
$1.99
-0.18%
Summary
What we like
ARB has intrinsic value via governance rights over the Arbitrum ecosystem. Holding the token allows users to vote on on-chain proposals that directly shape the future of Arbitrum.
What we like less
Arbitrum still currently relies on a centralized sequencer that is responsible for producing the Layer-2 blocks and posting transaction data back to the Ethereum Layer-1.
What it means for you
Offers you a great asset to bet on the long-term value accrual of network participants and protocol builders moving to the faster and more scalable Arbitrum ecosystem.
Information
Blockchain
  • Arbitrum
Key Metrics
  • Market Cap: $2.5B
  • Fully Diluted Valluation: $19.9B
  • FDV / MC: 7.8
  • Ranking inside Exponential (excluding stables): #13
  • Circulating Supply: 1,275,000,000
  • Total Supply: 10,000,000,000
  • Total Supply: 10,000,000,000
  • Volume (24H): $740.7M
  • ATH: $2.39 (01/12/2024)
  • ATL: $0.74 (09/11/2023)
Risk Assessment
Best
Asset Strength

ARB is a mid-cap asset that represents the blockchain`s native currency or monetary fee used to execute transactions on the network.

Asset Tokenomics

ARB has an uncapped supply. ARB is used for decentralizing the governance of the Arbitrum chain, but it is not used to pay for gas fees on Arbitrum.

Dependencies

Arbitrum has no dependencies.

Things to know about ARB

What is ARB used for?

ARB is the governance token for the Arbitrum ecocystem of protocols. The ARB token is intended to help bridge the gap in the interim as the rollup progresses toward full decentralization. Upgrades to the Arbitrum rollup are still necessary, as was seen in 2022 when Arbitrum was upgraded to the Nitro stack, which included improved compression, lower fees, and increased throughput. Upgradeability is also needed to patch any smart contract vulnerabilities. The launch of ARB shifts the access controls away from the core team (Offchain Labs) and instead to the Arbitrum DAO. The Arbitrum DAO is responsible for managing both the governance protocol and the technologies that the DAO governs, including the Arbitrum One and Arbitrum Nova chains. Arbitrum's DAO governance is self-executing, which means that all voting is conducted on-chain without an intermediary required to carry out these decisions. Users have substantial time to react to any pending changes as the voting process takes a minimum of 21-37 days to pass before it can be executed.

ARB tokenomics

ARB launched with an supply cap of 10B tokens with a 2% annual inflation rate thereafter. The token supply allocation includes ~43% reserved for the Arbitrum DAO treasury, 27% for Offchain Labs team, 18% for Offchain Labs investors, 12% airdropped to eligible users, and 1% to active DAOs building on Arbitrum. All investor and team tokens are subject to 4 year lockups, with a 1 year vesting cliff following by monthly unlocks.

What is the Security Council?

The primary role of the Security Council is to address time-sensitive, critical risks that affect the interests of the DAO and its members. The Security Council consists of a 12-member council divided into two groups. Every six months, there are elections to fill the seats in these two groups. Every elected member's term lasts one year. In case of emergencies, the Security Council can act swiftly to upgrade contracts but is subject to a strong 9/12 multisig threshold. The council is also subject to the oversight and control of the DAO's members, who have the power to remove any malicious members if they are not acting in the best interests of Arbitrum.

ARB Pools
GMX ARB-USD Market Making
24.3%
Yield
$20M
TVL
Risk
C
Protocol
GMX V2
Chain
Arbitrum
Clipper Tricrypto-ARB Market Making
41.6%
Yield
$1M
TVL
Risk
C
Protocol
Clipper
Chain
Arbitrum
Curve TriCRV-ARB Market Making
14.6%
Yield
$568K
TVL
Risk
C
Protocol
Curve
Chain
Arbitrum
Gamma ARB-ETH Market Making
69.3%
Yield
$23K
TVL
Risk
C
Protocol
Gamma
Chain
Arbitrum