Since it was first created, it seems that cryptocurrencies will still have a lot of enthusiasts and will always grow from day to day. This is based on the fact that more and more people are getting into the world of crypto and investing in it.
In the world of launchpad crypto, the term Arbitrum is known. What is Arbitrum? Arbitrum is a Layer-2 scalable solution used on the Ethereum cryptocurrency, and its purpose is to add quality performance as well as scalability to the Ethereum blockchain.
Ethereum is known as one of the leading decentralized blockchain platforms. In it, developers can be able to develop applications with a decentralized system or what is called a dApp and also smart contracts. Limited processing power creates many constraints on Ethereum, including the problem of high fees and long transaction times.
With such problems, the Ethereum community has been looking for options or ways to find solutions to Layer-2 scalability methods. This is a protocol in the Ethereum blockchain that was created to add capacity to its network.
Whereas Layer-2 solutions like the one in Arbitrum allow transaction processing even outside the network, decentralization and security on the Ethereum blockchain network are well maintained.
Get to know the Founders of Arbitrum
Arbitrum was first introduced by Offchain Labs, which is a development company located in New York. The names of its founders include Steven Goldfeder, Ed Felten, and Harry Kalodner, who were researchers while still at Princeton University. They have years of experience in cryptography, computing, and blockchain science.
Ed Felten is known to have an educational background with a professorship in computer science at Princeton University. He served as Deputy CTO during President Obama’s presidency. He belongs to the Offchain Labs Scientist line and serves as Head.
Steven Goldfeder is known as a computer scientist as well as an entrepreneur with an educational background with a Ph.D. from Princeton University. Has an important position as the founder and the CEO of developer Offchain Labs.
The last one is Harry Kalodner who is a scientist in the field of computers and received a Ph.D. candidate at the same University, Princeton. He is also one of the founding members of the CTO of Offchain Labs.
Offchain Labs is reported to have managed to raise a profit of up to $120 million in 2021 in its latest Series B funding event led by Lightspeed Venture Partners which has a value of $1.2 billion. There are still many names of investors who are already familiar, including Pantera Capital, Polychain Capital, Mark Cuban, and others who are equally well known.
Getting to Know How Arbitrum Works
Arbitrum implements the Optimistic Rollup architecture or drafting. This will allow transactions to run even when outside the network but can still pass the verification process within the network.
This method will greatly help cost efficiency and also time during the transaction process running through to completion, but the quality and security of the network will remain excellent and good.
Process in the Optimistic Rollup
The Optimistic Rollup process takes place in two stages, as follows:
- The Submission phase is when the transaction goes outside the main blockchain but the validator will still consider it a valid transaction. The validator’s job is to carry out thorough verification and secure records of all transactions that have previously taken place on the core blockchain.
- The challenge phase is the phase when the transaction undergoes an inspection process by the validator. When an error is found, the transaction will be considered canceled and changes will be made to the transaction record.
For transactions to run consistently and safely, Arbitrum is equipped with a technology called Multi Round Fraud Proof Verification. This is a technology that will assist validators in facilitating the process of verifying repeated transactions, and this is what will increase user trust and security when making transactions.
Read also : Bitcoin and Launchpad
Arbitrum Launchpad
Arbitrum also has a launchpad ecosystem called Arbitpad. The incubator and IDO platform ArbitPad seeks to transform the way early-stage ideas obtain crowdfunding on the Arbitrum blockchain. The goal is to develop decentralized financial apps for the ecosystem while also offering IDO services that are open, fair, safe, and simple to use on Arbitrum.
With the usage of Arbitrum APD token, users may take advantage of a number of advantages and features, including as lower costs, access to chances for early-stage investment, and governance rights.
Apart from Arbitpad, there is also a good crypto launchpad platform called Kommunitas. Since Kommunitas is multichain, it becomes special because it open to any project on any network such as Ethereum, BNB Chain network, Fantom, Solana, Avalanche, and so on.
Arbitrum Features
The following are some of the features offered by Arbitrum:
Compatible with Ethereum
Arbitrum is fully usable with smart contracts as well as dApps from Ethereum. The process of deploying smart contracts can be done very easily by even novice developers in the Arbitrum network. Programming tools and languages can also use those that are already known by the developers so that it’s easier.
This technology can be adapted to start the process of building applications that use scalability in their performance system.
Advantages in Terms of Scalability
Arbitrum is easy to customize, developers will be able to easily determine the level of security and decentralization that suits their needs and wants. Developers are allowed to define the validator mode according to their wishes in the network. Developers can also choose to choose a third party that acts as a validator.
It is very flexible and allows developers to adapt security, performance, and decentralization to their needs.
Fees for Conducting Transactions
Arbitrum has another advantage in the form of very affordable fees. Transactions on Ethereum can be very expensive due to high gas prices and this is necessary in the process. Arbitrum, which can process transactions outside the network, allows developers to get cheaper prices when making the same transaction. This will further add profit margins for the developers.
In the end, we know that Arbitrum is a very useful Layer-2 scaling solution for Ethereum and is effective in addressing scalability and performance issues in the network. The architecture that builds on Optimistic Rollup makes transactions effective and efficient, and the flexibility of its compatibility with Ethereum languages and tools makes it even easier for developer adoption.
Ethereum is always evolving, so Arbitrum is also growing to increase the scalability and usability of decentralized applications. You can also try using the Kommunitas launchpad which is also the Arbitrum launchpad which you can trust for its safety and usability.
This is a tool or platform that is no less interesting and can provide the same benefits as other launchpads, even though you will find more convenience when using the Kommunitas launchpad. Hopefully, the above reviews can be useful and add to your insight.