Which Ethereum Layer 2 Will Be Next to Airdrop a Token?

Several Ethereum Layer 2 networks have hinted that they could launch their own native tokens in the coming months, which would likely lead to airdrops for early users. Join Crypto Briefing as we take a look at which one could be the first to pull the trigger. 

Arbitrum

One of the most eagerly anticipated Layer 2 tokens is that of Arbitrum, an Ethereum Optimistic Rollup solution created by Offchain Labs. 

Arbitrum’s developers have been tight-lipped about whether or not the project will need a token, but several clues hint that one may be coming in the not-so-distant future. 

Currently, Arbitrum’s transaction sequencing and proving are conducted solely by its creator, Offchain Labs. This measure was necessary for the early stages of the chain’s development to ensure stability, and has allowed Offchain Labs to react to fix issues when they arose. 

However, now that Arbitrum has been up and running for over a year and completed its recent Nitro upgrade, Offchain Labs may soon start the process of opening the chain up to decentralized sequencing. The Arbitrum creator has frequently stated that its long-term plan will decentralize transaction sequencing to bring the Layer 2 more in line with the founding principles of Ethereum. However, ensuring that Arbitrum is both secure and decentralized is no easy task. 

Many prominent figures in the crypto community have suggested that Arbitrum may launch a token to help collateralize and incentivize decentralized sequencing. The Layer 2 could reward sequencers with tokens for helping secure the chain, similar to how Ethereum mainnet issues ETH rewards to validators. There’s also scope for Offchain Labs to introduce a fee market where certain services require payment in Arbitrum tokens, creating a sub-ecosystem on the chain. Offchain Labs could also use a token for on-chain governance; however, since Offchain Labs is a registered company, it may be difficult for it to go down this route without falling foul of U.S. securities laws. 

In recent months, Aribtrum has experienced an influx of users looking to register activity on the chain in hopes of receiving a token airdrop. Arbitrum’s closest competitor, Optimism, launched its own token in May this year, with both early and frequent users receiving a chunk of OP tokens for their patronage. The Arbitrum Odyssey campaign has further heightened speculation that an Arbitrum token may be in the cards. However, with little official information, it remains unclear if (and when) Arbitrum will launch a token. 

StarkNet

While an Arbitrum token is currently only speculated, StarkWare’s StarkNet has already confirmed…