Injective, a Cosmos-based blockchain that made headlines in 2023 with a stunning 33-fold jump in its INJ token price, is now gearing up for a major expansion. The project is set to launch its own layer-3 network in the Ethereum ecosystem, leveraging the technology of layer-2 project Arbitrum.
The new network, dubbed “inEVM,” will be compatible with the Ethereum Virtual Machine (EVM) operating system and will facilitate seamless connectivity between the Ethereum, Cosmos, and Solana networks. Injective will be utilizing Arbitrum’s Orbit toolkit to build this infrastructure, allowing developers to create customizable chains while enabling interoperability across multiple ecosystems.
This move comes at a crucial time for Injective, as the INJ token has experienced a significant downturn in 2024 after its stellar performance last year. Despite the broader uptrend in the crypto markets, INJ has fallen nearly 30% this year.
According to a press release obtained by CoinDesk, the integration with Arbitrum will open up new opportunities for developers within the Ethereum L2 ecosystem, while maintaining Injective’s trademark speed and low fees. Additionally, transactions on the inEVM network will contribute to the tokenomics of the Injective ecosystem, including the burning mechanisms of the $INJ token.
Eric Chen, the co-founder of Injective Labs, highlighted the importance of interoperability in the blockchain space, emphasizing the need to bridge the gap between different networks for seamless asset and liquidity transfers. The integration with Arbitrum is seen as a step towards achieving this goal and fostering a more interconnected blockchain ecosystem.
As Injective prepares to launch its layer-3 network on Ethereum, all eyes will be on how this development will impact the future trajectory of the project and its INJ token. With the promise of enhanced interoperability and improved tokenomics, Injective is poised to make waves in the ever-evolving world of blockchain technology.