Ethereum

Arbitrum

Optimism

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/arbitrums-revenue-surge-highlights-success-and-controversies-of-layer-2-blockchain-ecosystem" rel="noopener noreferrer nofollow">Arbitrum’s Revenue Surge Highlights Success and Controversies of Layer-2 Blockchain Ecosystem</a><br></p>
<p style="text-align: justify">In the midst of a challenging market last year, Layer-2 blockchains, particularly Arbitrum, showcased robust expansion, with Arbitrum’s revenue skyrocketing to over $72 million. This nearly fourfold increase, however, sparks debate over the distribution of incentives. Ethereum (ETH) holders received the lion’s share of profits, raising concerns about the benefits for Arbitrum token holders. Layer-2 networks enhance Ethereum’s capacity by processing transactions away from the main chain, later grouping them into batches for finalization on the Ethereum blockchain, alongside <a href="https://en.bitcoinhaber.net/hack-attack-drains-over-1-1-million-from-levana-on-osmosis-blockchain" rel="noopener noreferrer nofollow">security</a> proofs.</p>
<h2 id="revenue-sharing-dynamics">Revenue Sharing Dynamics</h2>
<p style="text-align: justify">Data scrutiny reveals that Ethereum validators receive upwards of 70% of Arbitrum’s daily transaction fees, leaving a modest portion for Arbitrum’s token holders. While anticipated updates to Ethereum are set to lower layer-1 storage expenses, the current tokenomics offer little excitement for Arbitrum token investors.</p>
<h2 id="investor-interest-in-l2-tokens">Investor Interest in L2 Tokens</h2>
<p style="text-align: justify">Despite underperforming compared to its Layer-2 counterparts, like Optimism and Polygon, Arbitrum’s price has seen a 9% increase in the past month. Investment interest, especially from holders with substantial L2 tokens, has remained intact. Market data analytics show a growing number of addresses holding significant quantities of cryptocurrencies, particularly in the last few months.</p>
<p style="text-align: justify">The broader market perspective indicates that close to 140,000 new Arbitrum holders have emerged recently, pointing to a rising market demand. While Arbitrum’s revenue achievements and the payment debates to Ethereum holders have stirred interest, the uptick in Arbitrum token holders suggests a healthy demand for Layer-2 solutions.</p>
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/arbitrums-revenue-surge-highlights-success-and-controversies-of-layer-2-blockchain-ecosystem" rel="noopener noreferrer nofollow">Arbitrum’s Revenue Surge Highlights Success and Controversies of Layer-2 Blockchain Ecosystem</a></h5>

Arbitrum’s Revenue Surge Highlights Success and Controversies of Layer-2 Blockchain Ecosystem

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