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Offchain Labs boosts ARB stake as Arbitrum crosses $20B milestone

Written by Liezl GambePublished dez. 25 2025Last Updated dez. 25 2025

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Offchain Labs has increased its holdings of ARB tokens, signalling long-term confidence in the Arbitrum network amid weakening sentiment across governance tokens.

The development company said it expanded its direct exposure to ARB under an approved purchase plan.

It remains committed to growing the Arbitrum ecosystem in a meaningful way.

In a post on X, Offchain Labs said.

The purchase reflects its intention to keep “doubling down on the development of Arbitrum in all respects.

Offchain Labs said.

The move comes as governance token prices across the crypto sector continue to face sustained pressure.

Industry observers have raised concerns that early contributors and insiders may be reducing exposure to governance assets.

Offchain Labs’ decision runs counter to that trend at a time of heightened competition among layer-2 networks.

Arbitrum is an Ethereum layer-2 scaling network designed to improve transaction speeds and lower fees.

The network processes transactions off-chain before settling them on Ethereum.

Arbitrum uses optimistic rollups, which assume transactions are valid unless challenged.

This approach allows users to benefit from Ethereum’s security while reducing costs.

ARB functions primarily as a governance token within the Arbitrum ecosystem.

Token holders can vote on proposals covering network upgrades, funding programmes and ecosystem strategy.

All protocol revenue flows on-chain to a treasury wallet controlled by ARB holders.

The renewed commitment from Offchain Labs coincides with major growth milestones for Arbitrum.

The network has processed more than 2.1 billion lifetime transactions on Arbitrum One.

Arbitrum One is the flagship rollup where most decentralised finance activity is concentrated.

The network reported securing more than $20 billion in total value in 2025.

That figure consistently places Arbitrum as the largest Ethereum layer-2 by value secured.

The milestone highlights Arbitrum’s growing role within the Ethereum scaling landscape.

Rival layer-2 networks continue to compete for market share.

Optimism has reported strong growth in application usage but lower total value secured.

Optimism follows a different technical and governance approach compared with Arbitrum.

Both networks are competing for a share of Ethereum’s roughly $68 billion decentralised finance market.

Base has also emerged as a fast-growing layer-2 network.

Unlike its rivals, Base does not currently have a native token.

Market speculation continues over whether Base could eventually introduce one.

The intensifying competition underscores the strategic importance of developer alignment and long-term incentives.

Offchain Labs’ increased exposure to ARB is being viewed as a signal of confidence in Arbitrum’s governance model.

Analysts say sustained developer commitment can be critical during periods of market weakness.

The purchase may also reassure community members concerned about insider disengagement.

Arbitrum’s scale and activity have positioned it as a central player in Ethereum’s scaling roadmap.

The network’s performance continues to be closely watched by developers and investors alike.

At the time of reporting, Arbitrum price was $0.1879.