GMX is an Arbitrum-native decentralized perpetual exchange that allows users to permisionlessly trade BTC, ETH, AVAX, UNI and 10 other tokens on-chain. The platform has grown to become the largest and most used DeFi exchange on the network with over 100 billion in cumulative trading volume and over 224,000 users. GMX's incredible growth has been catalyzed due to their great UI/UX and unique tokenomics with GLP staking that returns revenue to holders and stakers and is why it is our top pick as the best Arbitrum investment for 2023.
Radiant is a decentralized finance (DeFi) platform on the Arbitrum network that aims to become the first omnichain money market. Users can deposit any major asset on any major chain and borrow a variety of supported assets across multiple chains. Radiant's primary goal is to consolidate the fragmented liquidity currently dispersed across over the top ten alternative layers.
Radiant leverages the $RDNT token for its lending protocol, and lenders who provide liquidity to Radiant are rewarded through the platform. Radiant is fully audited by PeckShield and Solidity Finance, and v2 will allow for full cross-chain borrowing/lending on BTC, ETH and USDC, followed by additional assets voted on by the Radiant DAO.
3. MAGIC (Treasure.lol)
Treasure is a decentralized NFT ecosystem on the Arbitrum network that is built for metaverse projects. MAGIC, the native token of Treasure, is the sole currency for marketplace transactions and acts as the reserve currency for the entire web of metaverses connected under the Treasure umbrella. Treasure projects are linked narratively and economically through MAGIC, and the DAO uses MAGIC emissions to grow new projects and continue supporting more mature ones.
MAGIC is an increasingly scarce resource needed to power on treasures and allow them to function as productive assets, and the relationship between treasures and MAGIC forms a base layer metaverse on which other metaverse economies can be built and connected. With its unique NFT ecosystem and use cases, Treasure.lol is a promising project/investment in the Arbitrum network.
4. Vesta Finance
Vesta Finance is a collateralized debt platform on the Arbitrum network that allows users to lock up collateral and issue Vesta's stablecoin VST to their own Ethereum address. The system is designed to always be over-collateralized, and the algorithmically controlled generation of VST through a variable interest fee helps to maintain its value of 1 VST = $1 USD. The tokens are freely exchangeable and burned upon repayment of a vault's debt. Vesta Finance is a promising project/investment due to its ability to provide stable and reliable collateralized debt positions with its stablecoin VST.
Camelot (GRAIL) is one of the most promising projects on Arbitrum in 2023 due to its ecosystem-focused and community-driven approach to decentralized exchange (DEX) and liquidity provision. Camelot is highly efficient and customizable, offering a tailored approach that prioritizes composability. It is a feature-rich AMM, offering pool configurations that are much more customized and tailored to specific trading pairs. The introduction of a brand new liquidity approach based on non-fungible staked positions offers an additional layer on top of usual LP tokens, providing new features that benefit both users and protocols.
Camelot's permissionless approach allows projects to directly interact with the protocol without any consent or intervention from the team, providing full control to incentivize and manage liquidity. Its dual token system consisting of the native liquid GRAIL and xGRAIL, a non-transferable governance token, offers a high level of control on the supply flow on the market, ensuring long-term sustainability.
Our Ranking Methodology
To determine the top 5 crypto projects on the Arbitrum network for 2023, a rigorous methodology was followed. First, we conducted extensive research and analysis of the various projects on the network, taking into account factors such as market capitalization & potential upside, user adoption, transaction volume, and overall project quality. We also assessed the strength of each project's technical infrastructure, team expertise, and partnerships.
Additionally, we examined the potential for future growth and scalability of each project. After compiling and analyzing this data, we applied a strict set of criteria to rank and select the top 5 projects. These criteria included innovation, potential for mainstream adoption, community support, and the ability to provide real-world solutions to existing problems. The result is a list of the top 5 crypto projects on the Arbitrum network, each of which demonstrates significant promise for growth and development in 2023 and beyond.
In summary, the Arbitrum Layer 2 network has emerged as a leading solution to Ethereum's scalability challenges, attracting a wide array of innovative crypto projects. Our research team has identified the top 5 most promising projects for 2023: GMX, Radiant, Magic, Vesta Finance, and Camelot.
These projects excel in various domains and demonstrate immense potential for growth, scalability, and mainstream adoption. With strong technical infrastructure, skilled teams, and valuable partnerships, these top 5 crypto projects on the Arbitrum network are poised for significant development and expansion in the coming years.