Arbitrum One has become the first Ethereum Layer 2 network to surpass $10 billion in TVL.

Arbitrum One's Total Value Locked (TVL) has seen an impressive 15.9% growth, reaching a record high of $10.22 billion over the past seven days, making it the first Layer 2 (L2) network to cross the $10 billion TVL mark.

The success follows an incident on December 15, when Arbitrum One suffered a two-hour partial outage due to a surge in Bitcoin Ordinals-inspired writing, triggering a series halt.

Arbitrum One controls Ethereum Layer 2 TVL

According to L2Beat data, the total TV Ethereum Layer 2 networks reached $20.82 billion, with Arbitrum One accounting for 48.03% of the total.

Arbitrum currently holds 30.9% of its asset portfolio in Ethereum (ETH), 23.68% in its native governance token ARB, 29.66% allocated to stablecoins and the remaining 15.76% spread over various other assets. In particular, the ARB token has recorded a 14.3% increase in the last 24 hours, Koingeco data shows.

Arbitrum One's success can be attributed to its ability to replicate the Ethereum experience while offering extremely low transaction costs. This cost-effectiveness has attracted a large number of decentralized applications (dApps), with approximately 470 currently deployed on the network.

The implementation of the ARB token, which serves as a management token, has greatly contributed to the growth of the platform. Governance tokens enable them to actively participate in decision-making processes regarding platform development and policies, thereby encouraging greater user participation in the ecosystem.

In addition, Arbitrum One Network has a well-established security council, a deployed and functional verification system, and accepts fraud verifications from at least five external actors. Moreover, the platform provides a 7-day exit window without relying on an authorized operator in the event of an unpopular amendment by actors more centralized than the Security Council.

Arbitrum one that goes up after termination

Arbitrum One experienced an outage on December 15, which was classified as a “major outage” on the dashboard. An investigation is initiated to identify the cause and implement a solution.

Before the outage, Arbitrum's Layer-2 network, reported by l2beat, had conducted more than 22.29 million transactions, with a total value of $2.3 billion locked in, according to Defillama data.

The December 15 incident was not the first time that Arbitrum has faced disruption. In June 2023, the DeFi Layer 2 network was down for over an hour due to an error in the series. The error caused the series to return the collections on-chain, resulting in the depletion of Ether (ETH) from the series. Developers intervened by manually filling the series, resolving the error and restoring normality to the layer 2 network.