Balancer Protocol Live on Arbitrum to Scale DeFi Liquidity

Balancer Protocol has launched support on the Layer 2 scaling solution Arbitrum to significantly reduce gas costs and scale liquidity. Within Ethereum’s layer-2 ecosystem, Arbitrum has established itself as a critical player, gaining adoption from other major DeFi projects after their launch announcement in June. Balancer Protocol joins Arbitrum on the day of their launch as users are now able to trade on the Balancer app using Arbitrum.

As of August 31, 2021 $82 billion is locked in DeFi, creating an incredible opportunity for projects to expand. However, soaring gas fees have made transactions on decentralized exchanges restrictive for smaller players. High gas fees limit opportunities to create, join, or exit pools and diminish the possibility of aggregating liquidity across several uniquely composed pools. With Arbitrum’s optimistic rollups, Balancer Protocol can operate as the ultimate flexible DEX.

Fernando Martinelli, Balancer Labs CEO & Co-Founder:

“Arbitrum is a leading L2 solution, its distinctive features in scalability, especially compatibility with Ethereum, lead this industry to recognize that it will optimize the user experience and enhance growth. L2s show the promise of reducing Ether fees and network congestion, and we are excited Arbitrum is available to the Balancer ecosystem.”

Easier Access to Liquidity

The implementation of Arbitrum makes Balancer Protocol uniquely scalable. Arbitrum uses optimistic rollups, which removes the need for zero-knowledge proofs by changing the consensus mechanism. The network assumes all transactions are correct. Rather than verifying each transaction, users only intervene if one is incorrect.

Arbitrum can offer drastically higher transaction throughput than Ethereum while cutting gas fees to near zero. With a strong focus on user accessibility, the system allows users to experience a convenient, fast, and secure service through Layer-2 technology.

Steven Goldfeder, Co-Founder & CEO:

“We are incredibly excited that Balancer will be live on Arbitrum One at launch. Balancer is an important DeFi building block, and we look forward to working with the excellent Balancer team to bring more efficient, flexible trading experiences to Arbitrum users.”

About Balancer

Balancer Protocol allows for automated portfolio management and providing liquidity turning the concept of an index fund on its head: instead of paying fees to portfolio managers, you collect fees from traders who rebalance your portfolio by following arbitrage opportunities. Developers leverage Balancer as a permissionless building block to innovate freely and create new treasury management systems. Balancer Lab’s mission is to become the primary source of DeFi liquidity by providing the most flexible and powerful platform for asset management and decentralized exchange.

For more news and latest updates please visit Balancer Protocol Discord and Twitter accounts.

About Arbitrum

Arbitrum is a scaling solution for Ethereum developed by Offchain Labs that drastically reduces costs and latency. An “Optimistic Rollup”, Arbitrum instantly scales apps, reducing costs and increasing capacity, without sacrificing Ethereum’s security. Porting contracts to Arbitrum requires no code changes or downloads as Arbitrum is fully compatible with most existing Ethereum developer tooling. Arbitrum has just launched its mainnet beta, Arbitrum One, on Ethereum mainnet.

For more news and latest updates please visit Arbitrum Discord and Github accounts. Feel free to join Arbitrum community in Twitter, or read their Docs.