Arbitrum

Arbitrum is a Layer 2 scaling network built on top of Ethereum that aims to make transactions faster and far cheaper than transacting directly on Ethereum's base layer. It is designed for developers who want to deploy decentralised applications and for users who want to interact with those applications without paying high Ethereum gas fees. Several large decentralised-finance protocols, including GMX, Uniswap V3, Radiant, and Gains Network, operate on Arbitrum.

Arbitrum uses a design called an optimistic rollup, meaning it processes transactions off Ethereum's main chain, bundles them together, and periodically posts compressed records of those transactions back to Ethereum for final settlement. The system is called 'optimistic' because it assumes transactions are valid by default, only running a verification process if a dispute is raised. The ARB token is a governance token, giving holders the ability to participate in decisions about the protocol's direction rather than serving as a direct fee-payment mechanism within the network.

Fees on Arbitrum are paid by users sending transactions, with the network collecting 696,254 USD in fees over the trailing 30 days and an annualised figure of approximately 8,471,090 USD based on that same window. The protocol retains nearly all of what users pay: the take rate over the trailing 30 days sits at 99.49 percent, leaving supply-side participants — such as those providing sequencer or validation services — with just 3,568 USD over that same 30-day period. Revenue over the trailing 12 months reached 8,116,742 USD, and 30-day revenue growth stands at 92.35 percent relative to the prior period. The ARB token itself does not currently capture these fees directly; they accrue to the protocol rather than being automatically distributed to token holders.