“Organic” Arbitrum magic lacks this essential ingredient for growth

Have you ever had a hand-picked food item that, despite its amazing smell and texture, is missing a key ingredient? And how the addition of this staple elevates the entire dish. Well, the leader in Layer-2 space, the Arbitrum, faces the same ordeal.

Arbitrum provided the fastest recorded transaction throughput and shortest time to finish compared to other L2s. But nevertheless, it has an essential component.

Here is the GMX price forecast for AMBCrypto for 2023-24

Find the missing piece

Arbitrum, the second tier expansion platform, has had some successful campaigns that have led to strong user growth and retention. At the time of publication, the platform had a market share of 51.72% and 80+ dApps as shown in the graphic representation below.

Source: L2beat.com

Here, the launch of Arbitrum Nitro allowed DEX volume to increase as a result of the near-zero gas fee, with the third quarter seeing more than $2 billion in cumulative trading volume across three major DEXs.

Coming to the TVL front, Arbitrum had more than $2.40 billion in total locked value (TVL), creating a buzz compared to its fellow travelers.

However, Q3 TVL from Arbitrum was almost flat according to an analysis from ‘tiea platform for interpreting digital asset data.

Source: The Tie

According to the analysis a programAnd the

“Without a token, Arbitrum tracking is more focused on analyzing user growth and the evolution taking place in the ecosystem. Daily transactions are up 62.7% on a quarterly basis despite the unfavorable overall environment.”

However, Arbitrum has not released a token that can be used to incentivize TVL locally. In fact, helping the network maintain the aforementioned growth. Not only that, but the network has recorded some great achievements with two major developments: Nitro and Odyssey.

In general, L2 implementations have attracted real use and interest, specifically GMX in Arbitrum. Especially now with all the speculation surrounding the release of the special Arbitrum token – this “organic” growth could see new heights.

Can he deliver?

Needless to say, expectations from Grid were high. Now the question remains, can it meet the expectations of investors?

Well, only time will tell about this part of the picture, but for now, crypto enthusiasts have maintained a bullish scenario around the platform as investments yielded some results. For example, Uniswap Labs has highlighted the following.

Meanwhile, the Ethereum Lido floating staking protocol most dangerous Deploying its staking token in the Ethereum layer 2 Arbitrum Bridge.

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