There’s a new layer-2 token in town, so we have big news for you!
Arbitrum recently announced the launch and airdrop of its native governance token called ARB.
In this video you will learn about how to claim an airdrop and actually what the Arbitrum project is.
I'm Gary, this is Olga and it's great to see you in another video on our OG Crypto channel!
Today we're going to talk to you about the latest news related to the Arbitrum project.
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Arbitrum is an Ethereum layer2 scaling solution that supports smart contracts without the
limitations of scalability and privacy.
Users enjoy low transaction fees and less congestion on Arbitrum.
Arbitrum allows developers to create smart contracts by using code to specify the behavior
of a virtual machine that implements the contract’s functionality.
Additionally, developers can use Arbitrum for dramatic improvements in scalability and
privacy.
Arbitrum, the biggest player in Ethereum’s layer 2 scaling landscape, is finally getting
a token.
The Arbitrum Foundation said on Thursday that ARB, Arbritrum’s new token, will be airdropped
to community members on Thursday, March 23.
According to the Arbitrum Foundation, ARB will mark Arbitrum’s official transition
into a decentralized autonomous organization, meaning ARB holders will be able to vote on
key decisions governing Arbitrum One and Arbitrum Nova – networks that allow users to transact
on the Ethereum blockchain with greater speeds and lower fees.
Arbitrum worked with Nansen, the crypto analytics firm, to “snapshot” user activity in February
in order to determine who should be eligible for ARB tokens.
How many transactions you did, how many different applications you used, and how long you've
been using” Arbitrum One and Arbitrum Nitro were among the factors used to determine eligibility,
according to Goldfeder.
Arbitrum users will be able to check their eligibility for the airdrop and claim tokens
by visiting gov.arbitrum.foundation.
Users are encouraged to use caution while claiming their tokens; scammers frequently
use the occasion of airdrops to phish people via spoof websites and other schemes.
ARB’s total circulation will number 10 billion.
The Arbitrum community will control 56% of those tokens – the airdrop will grant 11.5%
of the total supply to eligible Arbitrum users, and 1.1% to DAOs that operate in the Arbitrum
ecosystem.
The remaining community tokens will go to a treasury controlled by the new Arbitrum
DAO, which will allow ARB holders to vote on how to disburse the funds.
The other 44% of ARB’s circulation will go to the investors and employees of Offchain
Labs – the development firm that built Arbitrum.
CEO Goldfeder says these tokens will be subject to lock-up periods and vesting schedules,
though the proportion of ARB reserved for insiders is somewhat high in comparison to
similar projects (Optimism, Arbitrum’s main competitor, rewarded 36% of its OP tokens
to investors and core contributors, for example).
Unlike ether (ETH), which is used to pay out fees on Ethereum (and Arbitrum), the ARB token
will only be used for protocol governance.
Arbitrum DAO’s governance process will be self-executing, meaning votes can be used
to directly alter Arbitrum’s core code.
Code changes will be subject to a time delay (to leave time for audits and other safety
considerations), but a 12-person security council governed by the Arbitrum DAO will
have the ability to make quicker bug fixes.
ARB’s introduction has been timed to coincide with the launch of Arbitrum Obit, which will
allow third-party apps and protocols to build new “layer 3” blockchains based atop Arbitrum’s
low-fee infrastructure.
Arbitrum’s main competitor in the Ethereum scaling space, Optimism, launched its OP token
nearly a year ago when it made its own transition to DAO governance.
Both Arbitrum One and Optimism are so-called Optimistic rollup networks.
They are blockchains that operate alongside Ethereum, bundle up big groups of transactions,
and then write those transactions to the Ethereum ledger in bulk – slicing the fees that one
would need to pay to execute those transactions individually.
As for why Arbitrum took longer to launch its governance token, Goldfeder said, “The
tech came first.
And based on our technical road map, now was the right time.”
According to Goldfeder, Arbitrum has reached certain technical milestones, such as working
fraud proofs (the technology underpinning Arbitrum One’s security) that its main competitor
has yet to achieve.
Some private Discord and Telegram OTC desks are witnessing active trading of ARB tokens
for prices between $1 to $1.50.
This trade is executed via a transfer of ownership of Ethereum wallets that are eligible for
the ARB airdrop.
The long-awaited airdrop finally hit the floors, a few moments back, decentralization and effective
governance being the main aim.
The users who are eligible can claim their tokens until September 23, 2023.
Moreover, the Arbitrum One chain is believed to go live on reaching block 16890400 which
is almost a few hours away from now.
Some of the users may face some issues while claiming the airdrop, that occurred previously
with Optimism.
However, many crypto influencers and analysts, have noted down a step-by-step procedure to
claim ARB.
According to the influencer, here are the steps to be followed to claim ARB without
any hazel,
Set up your own custom RPC endpoint to eliminate the network stress
Pre-approve the smart contract and take advantage of the faster process of enabling ARB to trade
on the exchanges Send some advance ETH to Arbitrum to cover
the gas fees when claiming When asked for the preferred platform to trade,
select from the wide options of CEX and DEX Allow only the ARB liquidity provision (LP)
and not risk your main funds but on the airdrop funds
Claiming on the Arbitrum One chain will begin when the Ethereum chain reaches the relevant
block.
That's all we wanted to tell you about in this video.
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Thank you very much for watching and see you in the next video, bye!