Avalanche-Based DEX Trader Joe to Soon Deploy on Ethereum Scaling System Arbitrum

Trader Joe locked up over $95 million worth of tokens as of Friday and is among the most popular Avalanche-based products.

AccessTimeIconDec 2, 2022 at 10:32 a.m. UTC
Updated Dec 2, 2022 at 3:31 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Avalanche-based decentralized exchange (DEX) Trader Joe will soon deploy on Ethereum scaling system Arbitrum as it looks to capture new user bases.

“Our aim was to always innovate on the frontiers of [decentralized finance] at a global level,” Trader Joe developers said in a statement. “Deployment to Arbitrum One is the next step in this global expansion effort.”

Trader Joe is the largest DEX and lending service on Avalanche, locking up over $95 million worth of tokens as of Friday. This is the first time Trader Joe will be deployed on a separate network.

Trader Joe will initially be deployed on the Arbitrum testnet in the coming days with the mainnet launch expected in early 2023. The DEX captured $2.5 billion in locked value at its lifetime peak and continues to attract the highest transactional volumes among all Avalanche-based products.

Trader Joe’s Liquidity Book AMM – a product that claims to make DEX trading more efficient – will be rolled out in the initial launch. The DEX’s native JOE token or the full suite of DeFi products, such as lending and staking services, will not be available on Arbitrum.

Why Arbitrum?

As previously reported, crypto traders and investors are increasingly seeing the Arbitrum ecosystem as a likely spot for capturing returns along the lines of the 100-times-plus multiples sometimes witnessed in prior bull-market cycles.

The Ethereum-based scaling product, which allows traders to transact on the blockchain network for under a few cents in fees and transacting times of a few seconds, is among a flurry of blockchain networks that launched in the past year – each promising to be faster and cheaper than the previous one.

On-chain data shows Arbitrum is not all hype. Since August, weekly transactions on Arbitrum have skyrocketed over 550%, with the Arbitrum network now commanding more than 62% of the weekly transactions on Ethereum.

The total value locked (TVL) on Arbitrum has increased by over $300 million in the past few months, data from DeFiLlama shows, with the ecosystem now holding just under $1 billion. Popular trading tool GMX accounts for nearly 40% of all this TVL.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Shaurya Malwa

Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.