A dream marriage between an Ethereum mixer and a major second layer solution (layer 2)? Tornado Cash has announced that it will be deployed on Arbitrum, in order to offer its users reduced transaction fees.
Tornado Cash launches on Arbitrum
The news was announced yesterday. The integration of Tornado Cash on Arbitrum will be done in a progressive way, thanks to the contributions of the community. Tornado Cash is a blender working in a completely decentralized way. It hides the origin and destination of Ethereum tokens, giving users true anonymity.
Cash is planned to be deployed to Arbitrum】On November 29th, according to the official news, https://t.co/3XTqKpebnA, an ethereum privacy trading platform, is planned to be deployed to Arbitrum, Tornado’s smart contract has been fully set up and only needs to be deployed and
– chengyuan (@chengyaung) November 29, 2021
Tornado Cash is of course subject to Ethereum’s limitations, and thus its transaction fees, which have reached particularly high levels recently. They have risen throughout 2021, reaching an average of 0.01 ETH today, or $44
Ethereum’s average fee growth (Source: Bitinfocharts)
This is where Arbitrum, and scalability solutions come into play, as they can reduce fees very significantly. The solution could reduce them by 95%, according to the project teams.
A second-layer solution to improve costs
Arbitrum is currently the first second-layer scalability solution for the Ethereum network. That’s $2.68 billion locked up on the solution, or 39% market share according to L2beat data.
To use Arbitrum, Tornado Cash users will have to send their Ethereum tokens on layer 2 thanks to a bridge: the Arbitrum Bridge
In principle, all tokens used on Ethereum can be sent on Arbitrum, including ETH and ERC-20 tokens as well as ERC-721.
This shows the rise of second layer solutions, which are gradually compensating for the current limitations of Ethereum… But also the interest for anonymity solutions, at a time when blockchains are increasingly monitored.
