Arbitrum’s DeFi TVL Jumps Almost 50% In Two Months, What’s Going On? |


Arbitrum, an Ethereum Layer 2 protocol, has been seeing renewed interest in the market since the year began. The decentralized finance space on the network has been especially fortunate during this time, jumping almost 50% in less than two months.

2023 Brings Good Tidings For TVL On Arbitrum

The Ethereum Layer 2 scaling solution started out the year 2023 like any other protocol and that is with low momentum. The entire decentralized finance (DeFi) market was negatively affected by the bear market, causing TVL across networks to drop drastically.

How To Get Free Crypto  
Don’t wait! Jump on this Crypto Deal and get a 150% Welcome Bonus plus 100 Free Spins on your deposit today!

However, Arbitrum has been able to leverage the recent recovery in the market to push up its own TVL. The protocol which was sitting at a TVL of $1.02 billion ballooned to over $1.5 billion by mid-February. This represents an over 47% growth in TVL on the protocol in less than two months.

Arbitrum TVL jumps to $1.51 billion in 2023 | Source: DeFiLlama

This sudden rise in TVL puts it ahead of other protocols such as Polygon, which is another Ethereum Layer 2 scaling solution. Not only that but Arbitrum is now sitting comfortably ahead of the likes of Avalanche, Fantom, and even Solana, as well as Cardano.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
570% up to 12 BTC + 300 Free Spins for new players & 1 BTC in bonuses every day, only at Play Now!

To put this in perspective, the total TVL of Avalanche, Fantom, Solana, and Cardano is $926.65 million, $508.58 million, $249.68 million, and $110.15 million, respectively.

With its current TVL, it is the fourth-largest in the DeFi space behind networks such as Ethereum, BNB Chain, and Tron. 

Coinbase Banner  

Market recovery pushes Ethereum price above $1,500 | Source: ETHUSD on

What Is Driving This Growth For The Ethereum Layer 2 Blockchain?

As with anything in the crypto space, the driving factor behind the growth of the Arbitrum TVL has been a rise in adoption. Since January, there have been some notable launches on the blockchain which has helped to drive more attention to it.

One of these is the Camelot decentralized exchange (DEX) which launched back in December. The native token of the DEX called GRAIL rallied tremendously, hitting an all-time high above $3,000. This spurred the release of other tokens that led to high demand on the network.

Other important protocols that are operating on the blockchain include GMX, a derivative platform, which currently boasts the highest TVL of $463 million, accounting for over 30% of the TVL. Uniswap V3 was also launched on Arbitrum and has reached a TVL of $117.8 million at the time of writing. Other important protocols include SushiSwap, ZyberSwap, AAVE V3, Cruve, and Synapse, which are all fully operational on Arbitrum.

Interestingly, Arbitrum itself does not have its own native token. The network is powered by Wrapped Ether (WETH) and offers significantly cheaper fees compared to the Ethereum Layer 1 blockchain.

FreeBitcoin Banner  
Follow Best Owie on Twitter for market insights, updates, and the occasional funny tweet… Featured image from CoinGecko, chart from

Go to Source
Author: Best Owie

Recommended Crypto Services, Products and Strategies:

The first thing any crypto investor needs is is a reliable and secure Crypto Wallet.  Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.

Best Crypto Wallets Banner

When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.  The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing. 

Best Crypto Exchanges Banner

If you want to learn more about the methods and tools that can be used to find Great Crypto Projects, then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency.

Crypto Strategy Banner

For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!

Free Crypto Banner

What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.

This site uses Akismet to reduce spam. Learn how your comment data is processed.