Arbitrum

The Arbitrum airdrop continues to capture attention as the Ethereum scaling network expands its community incentives. After rewarding early users with governance tokens, Arbitrum has launched DRIP, a new DeFi program that channels millions of ARB tokens into lending and borrowing activity, aiming to drive sustained growth across its ecosystem.

Background on Arbitrum

Arbitrum launched its flagship chain, Arbitrum One, in 2021 to improve Ethereum’s scalability. Soon after, the team released Arbitrum Nova, which supports ultra-low-cost transactions. In 2022, the developers upgraded Arbitrum One to the Nitro stack, which increased performance up to tenfold.

The protocol also uses its governance token, $ARB, to distribute decision-making power. Holders of $ARB vote on proposals through the Arbitrum DAO or delegate their voting rights to representatives.

Launch of DRIP: DeFi Renaissance Incentive Program

Arbitrum set aside 1.162 billion $ARB tokens for airdrops. The first round rewarded early users, and upcoming rounds will focus on participants who remain active. By engaging with decentralized applications such as GMX and Vela Exchange, users may improve their eligibility for the next Arbitrum airdrop.

Arbitrum began DRIP on September 3, 2025, and the program will continue until January 20, 2026. Season One offers up to 24 million ARB tokens as rewards. Instead of focusing on speculation, DRIP incentivizes borrowing and leverage looping strategies that create real demand in lending markets.

Users deposit yield-bearing ETH or stablecoins as collateral, borrow against them, and recycle borrowed funds into new collateral. This strategy increases liquidity, drives lending activity, and provides participants with additional ARB incentives.

How to Participate in DRIP

Anyone with a wallet can join DRIP. To participate, follow these steps:

1. Deposit ETH or stablecoins to Arbitrum.

2. Visit Arbitrum’s DRIP portal and review active opportunities.

3. Borrow ETH or USDC against your funds.

4. Reinvest borrowed funds into more funds and repeat the cycle to maximize rewards.

The DRIP program requires no registration, meaning any wallet can participate directly. While this makes access simple, users must still watch their loan-to-value ratios closely, since an overheated position can lead to liquidation and potential loss of funds.

In addition, reward allocations shift with each epoch, depending on market conditions and pool performance. To stay informed, participants can use DRIP dashboards, which provide live data on rewards, pool health, and portfolio risks.

Frequently Asked Questions

What is Arbitrum DRIP?
The DeFi Renaissance Incentive Program (DRIP) strengthens Arbitrum’s DeFi ecosystem. Over four seasons, the Arbitrum DAO plans to distribute 80 million ARB tokens to users who engage actively.

How are rewards distributed?
The program divides rewards into two-week epochs. Within each epoch, participants receive rewards gradually, with updates every eight hours. They can claim tokens through the DRIP front-end or the Merkl App.

Can my rewards change over time?
Yes. Reward levels shift every epoch depending on pool performance. For example, if one lending pool outperforms another, the next epoch may direct more ARB rewards to the stronger pool.

How long can rewards be claimed?
Participants must claim their rewards by April 30. After that date, any remaining tokens from Season One return to the Arbitrum treasury.

Where can I track rewards and participating protocols?
Users can monitor statistics, rewards, and eligible protocols on the DRIP dashboard, which updates throughout the season.