Arbitrum, a popular Layer-2 protocol in the DeFi space, has proposed a new transaction ordering policy called "Timeboost." This innovative approach could significantly improve the network's efficiency and potentially boost the price of ARB, Arbitrum's native token.

Under the current system, transactions on Arbitrum are processed on a first-come, first-served basis. However, Timeboost introduces a bidding system, allowing users to prioritize their transactions and secure faster processing times. This mechanism is similar to the priority fee system used on OP Mainnet, where users can pay extra fees to expedite their transactions. The proceeds from the Timeboost auction will go to the Arbitrum DAO treasury, generating a new revenue stream.

Despite the potential benefits of Timeboost, Arbitrum's network activity has been declining. The number of active addresses on the network has dropped by 38% in the past month, according to Token Terminal's data. However, the revenue generated by Arbitrum remains high. The price of ARB has also been experiencing a bearish trend, with lower lows and lower highs over the past month.

The implementation of Timeboost could attract more users to the Arbitrum network, making it a more responsive and user-friendly platform. Time-sensitive transactions, such as arbitrage opportunities or critical DeFi actions, can be expedited through Timeboost, leading to a more efficient and attractive platform.

In conclusion, Arbitrum's Timeboost proposal has the potential to significantly improve transaction ordering on the network, leading to increased efficiency and potentially boosting the price of ARB. While the network's activity has been declining, the introduction of Timeboost could revitalize Arbitrum and attract new users. As the DeFi space continues to evolve, it remains to be seen how Arbitrum's Timeboost will impact the market.