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Arbitrum's BOLD New Bet with Ed Felten & Raul Jordan

Bankless

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Staking and Security in Layer Two Solutions

This chapter explores the security of layer two solutions like Arbitrum compared to Ethereum's mainnet, focusing on validator honesty and software integrity. It discusses the staking mechanisms of Arbitrum, potential future changes, and how staking ARB tokens may provide financial incentives tied to network revenue. The chapter also highlights operational decisions by the Arbitrum DAO, balancing decentralization with efficient transaction processing, and introduces innovative initiatives like Orbit, Stylus, and the BOLD protocol.

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