Arbitrum recently announced the official release of AIP-2 (Arbitrum Improvement Protocol #2). The announcement was made on the official Twitter account of Arbitrum. The string of tweets stated that API-2 will bring improved support for Account Abstraction. It will make development surrounding Smart Contract Wallets quite easier.
Account Abstraction aims for the mainstream adoption of SCWs (Smart Contract Wallets) instead of EOAs (Externally Owned Accounts). The reason behind this is that SCWs are user-friendly, more secure, and flexible. It means that they can be developed with multiple features.
What benefits will it bring? Arbitrum denoted multiple use cases to highlight the benefit of AIP-2. The first advantage it will bring is social recovery.
A bad user experience is among the primary reasons why new users fail to onboard crypto. With Smart Accounts, users get recovery methods, like social recovery, to securely restore their accounts on other devices.
Custom signature schemes are another crucial benefit of the update. Now, users can substitute their Smart Account’s signature scheme as quantum-safe. They can even leverage the security enclave in smartphones.
Moreover, users can pay for gas fees with any token. Every ERC-20 token is eligible to pay for gas fees besides ETH. Paymaster services let every dApp accept tokens, such as DAI, USDC, and more.
Similarly, sponsored transactions are also available on the network now. Third parties can now pay for or even subsidize gas fees for users.
With Smart Accounts, users can also batch multiple transactions together to execute them via a single signature.
Fraud monitoring is also a key benefit of Smart Accounts. It requires a 3rd-party fraud monitor’s signature to verify transactions. It can identify known attack patterns, defined security rules, and more.
Arbitrum has ensured users that more features and benefits will be unveiled in the coming months. The community seems thrilled about AIP-2, making it a massive success for the network.