Arbitrum One vs Nova: A Capital Allocator's Guide 2024

Frequently Asked Questions

01.What is the main difference between Arbitrum One and Arbitrum Nova?

Arbitrum One is a purely trustless optimistic rollup that posts all transaction data to Ethereum. Arbitrum Nova uses the AnyTrust protocol, where a Data Availability Committee holds most of that data off-chain, trading a small trust assumption for meaningfully lower transaction costs.

02.Is Arbitrum Nova as secure as Arbitrum One for holding capital?

No. Nova assumes at least two of its Data Availability Committee members remain honest, an assumption Arbitrum One does not require. This is why institutional capital concentrates on One, with Nova's on-chain value remaining a small fraction of One's, well under one percent of Arbitrum One's value as of January 2024.

03.Who should evaluate Arbitrum Nova as an allocation venue?

Allocators backing gaming, social, or high-transaction-volume consumer applications where fee sensitivity outweighs the need for maximal settlement guarantees. Treasury capital and DeFi collateral positions are better suited to Arbitrum One.