The Three Arrows and Breakthroughs of the Arbitrum Renaissance Although Optimism was the first TGE L2, Arbitrarum was the true pioneer of the L2 wave. In H1 of 2023, South Korean giant whale livestreamed trading contracts on GMX, and DeFi Degen used GLP LEGO combination Yield Farming and grassroots communities to hype up ancient cat and dog Meme coins. @ Arbitrum_cn was one of the most eye-catching sectors in the spring market of 2023. But after the epic grand TGE and airdrop of Arbitrum's native token ARB, this ecological prosperity like a blooming flower came to a dark end. If we look back at November 25th, there are three main reasons for this situation: --The huge positive externality generated by Arbitrum's epic airdrop was seized by friendly merchants ZKSync, Starknet, and Linea; --At that time, the core business model of the Heavenly King L2 was not naturally organic or self-sustaining, but highly dependent on the false prosperity created by airdropping farmers' industrialization; --Too many airdrops are allocated to ecosystem developers, most of whom are disguised as advanced airdrop farmers. After receiving the airdrop, most of these developers lay flat, and some used their large number of ARBs to vote in DAO governance to allocate more ARBs to themselves. The best solution to the above problems can only be time. After almost 30 months of sedimentation, the Arbitrarum Foundation believes that the time is ripe and has launched the DeFi Renaissance Incentive Program (DRIP) to reactivate the Arbitrarum ecosystem. The first arrow of the Arbitrarum Foundation is to use the ARB incentive subsidy from the first season of DRIP to subsidize the yield income of ecological DeFi lending protocols (Aave, Morpho, Fluid, Euler, Dolomite, Silo, etc.), attracting on chain users with real money and silver. According to Dune Kanban data (http://(dung. com)/intropy.adviso...), DRIP increased DeFi's loanable fund balance from 1.38B to 1.67B and loan balance from 967.52M to 1.17b in the first quarter. However, in the L2 market share proportion of DeFi lending protocols mentioned above, Arbitrarum's market share only increased from 3.09% to 3.75%. As a comparison, Base's market share increased from 5.04% to 6.64% during the same period. This shows that in terms of the attractiveness of DeFi lending Degen on the chain, subsidies for real money are still inferior in the face of airdrop expectations with the possibility of a critical blow. The second arrow of the Arbitrarum Foundation is the incubation of new PerpDEX Variational Protocol and Ethereal Perps with high ecological coupling. Arbitrum has a special relationship with PerpDEX's Hyperliquid, similar to that of the UK and the US. Hyperliquid bridges Arbitrum with 4.59B USDC, accounting for 69.08% of the total supply of Arbitrum USDC. But the contribution of 4.59B USDC to Arbitrarum's revenue is only in the form of transfer gas fees, generating other high-value income and positive externalities that are captured by Hyperliquid. In this new version environment where PerpDEX dominates the world, the Arbitrarum ecosystem must have its own PerpDEX. The OLP mechanism of Variational Protocol has the potential to replicate the GLP glory of GMX in the past. The third arrow of the Arbitrarum Foundation is to deeply bind with Robinhood and vigorously promote the tokenization of the US stock market. At present, the asset size of Arbitrarum RWA is 1026.53M, mainly composed of tokenized US bonds, European bonds, and tokenized US stock EXOD. There are 615 RWA assets, mainly tokenized US stocks issued by Robinhood. Due to current regulatory restrictions, the structure of tokenized US stocks is composed of off chain SPV custody+CX/DEX liquidity pools. This has led to issues such as insufficient liquidity, unclear legal status, and reliance on centralized entities for clearing and settlement of tokenized US stocks at this stage. But whether it's Arbitrarum x Robinhood's US stock tokenization rush or Solana's new ICM narrative, they all point to a future vision set by SEC Project Crypto: the complete blockchain of global financial infrastructure. To summarize, the Arbitrum Foundation's three arrows - the DRIP program, incubating Variational, and betting on US stock tokenization - are both focused on the present and aimed towards the future. The Arbitrum Foundation is really causing trouble this time.