Arbitrum, one of the best layer 2 scaling solutions for Ethereum, is finally releasing its governance token, ARB, and switching to a decentralized autonomous organization (DAO). The airdrop will take place on March 23 and will distribute 12.75% of the total supply of ARB tokens to eligible community members and DAOs.
Arbitrum is a layer 2 solution that aims to improve the performance and scalability of Ethereum smart contracts while keeping their security and compatibility. Arbitrum uses a technique called optimistic rollup, which allows transactions to be executed off-chain and only submitted to the main chain when there is a dispute or challenge. This cuts down on gas fees and traffic on Ethereum while making interactions with decentralized applications (dApps) faster and cheaper.
Arbitrum has two main networks: Arbitrum One, which supports general-purpose smart contracts and dApps, and Arbitrum Nova, which focuses on non-fungible tokens (NFTs) and gaming. Both networks work with the Ethereum Virtual Machine (EVM) and can handle Ethereum transactions and contracts without any changes.
Arbitrum has decided to start its own governance token, called ARB, to make its network less centralized and give its community more power. ARB holders will be able to vote on key decisions affecting the development and operation of Arbitrum, such as protocol upgrades, fee structures, validator incentives, bridge policies, ecosystem grants, etc.
ARB will also serve as a utility token that can be used for paying gas fees on Arbitrum networks, staking for securing the network, participating in liquidity mining programs, accessing premium features or services on dApps built on Arbitrum, etc.
The Arbitrum airdrop will give eligible community members and DAOs 12.75 percent of the total number of ARB tokens, or 127.5 million out of a total of 1 billion. Those who meet the eligibility requirements do things like use Arbitrum networks or bridges, take part in governance forums or social media channels, contribute to open source projects or educational resources related to Arbitrum, and so on.
The team has also announced that they will publish a list of eligible addresses before the snapshot date (March 23) so that users can verify their eligibility status.
Holding ARB tokens will give you several benefits, such as:
The Arbitrum airdrop is one of the most anticipated events in the crypto space this year, as it marks an important milestone for Arbitrum’s journey towards decentralization and community empowerment. If you are interested in participating in this airdrop, make sure you meet all eligibility criteria before March 23rd.