Arbitrum

Definition ∞ Arbitrum is a technology designed to improve the scalability of the Ethereum blockchain. It operates as a Layer 2 scaling solution, processing transactions off the main Ethereum chain to reduce fees and increase transaction speed. This enhances the network’s capacity without compromising its security guarantees.
Context ∞ Arbitrum frequently appears in crypto news related to decentralized finance (DeFi) and non-fungible tokens (NFTs) due to its ability to facilitate higher transaction throughput. Discussions often revolve around its adoption rates, the development of dApps on its platform, and its role in making Ethereum more accessible for everyday use.