Ethereum (ETH) Offchain Labs, the company behind scalability solution Arbitrum, has announced its big update, Nitro.
Ethereum Rollup To Halve Transaction Fees With New Update On Arbitrum
According to the statement made by the Offchain company, with the upcoming update to Arbitrum, the fees on the network will decrease, transactions will be faster, and it will be easier for Ethereum applications to interface with the layer 2 Blockchain, Arbitrum.
In his statement, Offchain founder Steven Goldfeder said that network fees, which are currently between $ 0.50 and $ 1, will decrease by at least 50% with the new update.
“Rollups” such as Arbitrum mediate smart contracts transactions by executing transactions on Ethereum on their own unique chains.
The data generated on the Arbitrum is aggregated and sent back to Ethereum, and ETH network validators check that this data is valid.
ETH last week ronin The $625 million hack on the sidechain showed that sidechains have potentially vulnerable aspects. Rollups such as Arbitrum, on the other hand, provide extra security by creating their security features through a layer like ETH through a Blockchain.
In March, Offchain company also introduced Arbitrum AnyTrust chains. These chains will be a cheaper, faster and more centralized alternative to the existing Arbitrum chain.
Arbitrum stands out as the biggest rollup solution of ETH in the current situation. According to DeFiLlama data, the scalability solution has a total locked value (TVL) of approximately $2.5 billion.
*Not investment advice.