Injective, the Cosmos-based blockchain whose INJ token price soared an astonishing 33 times in 2023 before plummeting earlier this year, is now planning a major expansion. It plans to launch its own layer 3 network within the Ethereum ecosystem. 2 Project Arbitrum Technology.
Injective’s “inEVM” is compatible with the Ethereum Virtual Machine (EVM) operating system and connects the Ethereum, Cosmos, and Solana networks. Its infrastructure relies on Arbitrum's Orbit toolkit. This allows developers to build customizable chains using Arbitrum's technology during access. Interoperability between multiple ecosystems.
The move could theoretically inject new energy into the INJ token, which outperformed nearly all of its peers in the digital asset market last year and at one point soared. Market capitalization Over $4 billion.
This year, the cryptocurrency market has generally risen, with benchmarks coin desk 20 The index has risen 25% year-to-date. But at least in the eyes of traders, India suffered a reversal, dropping nearly 30% by 2024.
According to a press release seen by CoinDesk, the integration for developers means “opening new opportunities to build within the Ethereum L2 ecosystem while maintaining Injective's ultra-fast speeds and low fees.”
Both teams also shared that transactions on the inEVM network will contribute to the tokenomics of the Injective ecosystem, including the $INJ token burning mechanism. This involves “aggregating and systematically burning a percentage of all protocol fees each week.”
“The importance of Injective and Arbitrum integration goes beyond just building a blockchain network or infrastructure,” said Eric Chen, co-founder of Injective Labs, in a press release. “This will enforce the fundamental principles of interoperability of bridging the gap between Ethereum, Cosmos, and other widely adopted L1s, creating an ecosystem where cross-chain assets and liquidity can truly be configured across the ecosystem. We will make it happen.”
