Ethereum’s popular Layer-2 protocol Arbitrum has managed to surpass $150 billion in trading volume on the decentralized exchange Uniswap, marking a significant milestone. On May 6, the Uniswap Labs team announced on social media that Arbitrum was the first Layer-2 to cross the DEX threshold. As of early May, Arbitrum’s cumulative transaction volume reached $150.2 billion.
Arbitrum’s Major Success
Blockchain data analysis platform DeFiLlama reports that Arbitrum’s total value locked (TVL) is $2.64 billion, making it the fifth largest protocol by TVL value, following major Layer-2 and Layer-1 networks such as Solana, BSC, Tron, and Ethereum.
The protocol’s native token, ARB, was trading at a price of $1.07 at the time of writing. According to Tradingview data, ARB has seen a 0.60% decrease in the last 24 hours, continuing to disappoint investors for a long time.
Arbitrum’s main contributor, Offchain Labs, released the latest upgrade named Atlas for Layer-2 in March this year. According to previous reports, this upgrade added block transaction support to help reduce Ethereum Layer-2 transaction costs. As of May 6, according to DeFiLlama data, Uniswap has succeeded in becoming the largest decentralized exchange with a TVL of $5.54 billion.
What’s Happening on the Arbitrum Front?
Despite developments on the Arbitrum side, the lagging price of the ARB token compared to other projects continues to be frequently discussed on social media platform X. Large amounts of the total token supply are released during locked token launch events, and team members acquire significant amounts of tokens through these events. The vesting method applied to maintain supply-demand balance is not being well managed by the team during this process.
In recent weeks, the ARB token unlock event occurred, releasing hundreds of millions of dollars worth of ARB tokens, and subsequently, token holders quickly sold off their holdings. This process has led to a decrease in the value of the ARB token, which has been criticized by the community.
