FAQs

Why is the protocol built on the Arbitrum chain?

The Mimik Finance protocol is built on the Arbitrum chain due to several reasons. Arbitrum is a scaling solution that sits above the base layer of the Ethereum blockchain, offering significant advantages over other scaling solutions. Firstly, Arbitrum provides fast and cheap transactions, making it an ideal choice for users who want to invest in the crypto market. Secondly, it offers additional privacy features, which adds an extra layer of security for users.

Arbitrum uses a technique called rollups to process transactions, which enables it to handle a large number of transactions at a lower cost. Additionally, Arbitrum's privacy features are achieved through its use of zk-rollups, which allow users to interact with smart contracts without revealing their private data. This makes it an ideal choice for asset management, where privacy and security are of utmost importance.

Overall, the Mimik Finance team chose to build their protocol on the Arbitrum chain due to its speed, cost-effectiveness, and privacy features, all of which are crucial for providing a seamless and secure investment experience for their users.