Tornado Cash is set to receive a boost as the privacy protocol prepares for deployment to the Ethereum Layer Two Arbitrum network.
Tornado Cash smart contracts are ready to be deployed on the Arbitrum Layer 2 scaling network following community contributions to ensure protocol stability.
The November 29 announcement explained that the deployment on Arbitrum “will allow users to take advantage of all the benefits that Layer 2 can offer, with cheaper transactions being the biggest comparative advantage.”
Tornado Cash is a fully decentralized Ethereum (ETH) mixing protocol. Tornado Cash hides the path that tokens such as ETH take from sender to recipient, offering completely private transactions without the need to use privacy-focused coins.
Layer two networks on Ethereum offer faster transactions and cheaper fees while benefiting from the security and decentralization of Ethereum.
The Tornado Cash team believes the deployment to Arbitrum will allow more users to conduct private crypto transactions while avoiding Ethereum’s high gas fees. According to the team, L2 transactions should be around 95% cheaper than those on L1 Ethereum.
To use Tornado Cash on Arbitrum, users must first send ETH, ERC-20, and ERC-721 tokens from Ethereum to Arbitrum through the Arbitrum Bridge.
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Arbitrum is currently the largest L2 on Ethereum with a total blocked value of $ 2.68 billion, accounting for 39% of the L2 market share. That’s just behind Boba Network’s $ 1.38 billion TVL, making Boba and Arbitrum the only two L2s with more than $ 1 billion in TVL, according to L2Beat.
The number of unique addresses on Arbitrum has grown steadily since September and stands at 291,876 at the time of writing. Tornado Cash has $ 847 million in TVL according to DeFiPulse.
As reported by Cointelegraph, Tornado Cash unveiled its TORN governance token in December 2020 and released them to users in February 2021.