FTX now Supports Layer-2 Scaling Solution Arbitrum

Popular crypto exchange FTX has announced that it’ll now support the Arbitrum mainnet. It announced this on Twitter earlier this morning. 

In doing this, it’s following the footsteps of Binance, who already supports Arbitrum.

FTX Adds Arbitrum

Arbitrum is a layer two protocol providing scaling solutions to Ethereum. Similar to Polygon, the platform which launched its mainnet in August 2021 already has several DeFi platforms such as Aave, Band Protocol, Balancer, Curve, Uniswap, and Sushiswap leveraging its unique solutions.

The company behind Arbitrum, Offchain labs, is valued at $1.2 billion, with investors like Coinbase Ventures, Blocknation, Compound, and Pantera involved. 

It adopts a novel technology known as Optimistic Rollup, which improves speed and efficiency significantly for Ethereum-based dApps.

Its high EVM compatibility also makes it easy to build on using the basic Ethereum compatible languages. This and several other features make it one of the best layer two scaling solutions for Ethereum presently.

For FTX, the move makes it at par with one of its biggest competitors, Binance, which is the leading crypto exchange by trading volume in the world.

FTX Continues to Strive for Dominance

However, it should be noted that the SBF-led exchange has taken several strategic moves in the past few weeks to close the gap.

Last week, FTX announced the acquisition of a Japan-based crypto exchange, Liquid. This offered it an entry into the Japanese market. 

With the purchase, which is yet to be finalized, FTX will migrate all its Japanese users to the Quoine exchange, and the platform will also integrate its producers and offerings.

Beyond that, the exchange also recently partnered with an investor-focused social media platform, StockTwits. The partnership will see StockTwits integrate crypto trading into its platform. This will give its 5 million monthly users the chance to trade while they’re on the platform.

All these strategic moves haven’t gone unnoticed, with FTX becoming one of the fastest-growing crypto platforms. Its valuation recently jumped to $32 billion after an investment round led by SoftBank.

The moves have also affected the value of the FTX token, FTT. Currently trading at $47.84, its price action has been positive for the past year. In the last 30 days, it has seen a 35.9% rise. In addition, news of the exchange supporting Arbitrum is likely to further boost its value which has risen by 1.7% in 24 hours.