DeFi protocol Injective to launch Layer 3 on Arbitrum

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DeFi protocol Injective to launch Layer 3 on Arbitrum
Cryptocurrencies
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Injective (INJ) had a market capitalization of close to $4.5 billion at its peak in March 2023.

Injective is launching a Layer 3 network powered by Arbitrum’s Layer 2 scaling solution technology. The DeFi protocol’s plan could attract capital from investors and improve the state of the INJ token in 2024. INJ market capitalization shrunk to half of its $4.5 billion peak in 2023. Injective had a market capitalization of close to $4.5 billion at its peak in March 2023.

The solution planned by Injective will use Arbitrum’s Orbit toolkit to customize a Layer 3 chain. The move could likely boost Injective’s importance among market participants, likely driving demand and fresh capital injection to the project. According to a Cointelegraph report, the integration would offer developers the opportunity to build within the Ethereum Layer 2 ecosystem, with the benefit of Injective’s high speed and relatively low fees, compared to other Layer 2 chains.

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