• Binance now accepts Ethereum Layer 2 Arbitrum deposits

  • Binance has completed its Arbitrum One mainnet integration, allowing users to transfer Ethereum directly from their Binance wallet to the Layer 2 network.

    Binance Introduces Arbitrum Deposits

    Ethereum’s most important Layer 2 solution is gaining traction.

    Binance, a leading cryptocurrency exchange, announced on Friday that it had completed its integration with the Arbitrum One network. Users can now send Ethereum held on Binance directly to their Arbitrum Ethereum wallets.

    Previously, users who wanted to send Ethereum to Arbitrum had to first deposit on the Ethereum mainnet before using an Arbitrum bridge like AnySwap, Hop, or Synapse. Using a bridge to transfer funds to Arbitrum can be expensive, with gas fees reaching hundreds of dollars during peak network congestion. Users can now transfer Ethereum directly to Arbitrum without incurring the high gas fees associated with using a bridge on the Ethereum mainnet.

    Binance stated in the same announcement that withdrawals from Arbitrum back to the exchange are not yet live, but will be opened at a later date. Several major centralized exchanges have launched ETH 2.0 integration in the last year, allowing their users to stake Ethereum on the Beacon chain to earn rewards. Binance, on the other hand, is the first major exchange to support deposits to an Ethereum Layer 2 wallet. With scaling solutions like Arbitrum and the upcoming ZK-Rollup project StarkNet gaining traction, other exchanges are likely to follow suit by integrating Layer 2 deposits and withdrawals.

    According to DeFi Llama, Arbitrum is currently the largest Ethereum Layer 2 network, with over $2.3 billion in total value locked in DeFi protocols. The network employs Optimistic Rollups to drastically reduce gas fees and speed up transactions while benefiting from Ethereum mainnet’s security and decentralization.

    What's your reaction?
    Happy0
    Lol0
    Wow0
    Wtf0
    Sad0
    Angry0
    Rip0