Arbitrum token guide – features, tokenomics, and ecosystem

Arbitrum token – everything you need to know

When working with Arbitrum token, a native utility token that powers the Arbitrum layer‑2 network on Ethereum. Also known as ARB, it enables fee payments, staking, and governance within the ecosystem. The token sits on Ethereum, the world’s leading smart‑contract platform and inherits its security model, while off‑loading most transaction work to a dedicated chain. By using layer‑2 scaling, technology that processes transactions off‑chain to boost throughput, Arbitrum can settle thousands of transfers per second, yet still settle a succinct proof back to Ethereum. This design is known as a rollup, solution that batches many transactions and posts a single proof back to Ethereum, which means users keep the safety of the base chain while enjoying lower fees and faster confirmations. The tokenomics are straightforward: a fixed supply of 10 billion ARB, a portion allocated to early supporters, a community rewards pool, and a staking mechanism that locks tokens to secure the network and earn a share of transaction fees. Because the token is both a governance tool and a utility asset, holders can vote on protocol upgrades, fee structures, and new feature rollouts, making ARB a direct line of influence over the network’s future.

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