LG Electronics has developed a custom layer-2 blockchain network in partnership with Arbitrum to power a new digital advertising platform. The platform aims to streamline the placement, buying, selling, and management of digital ads by eliminating intermediaries in the supply chain. The South Korean consumer electronics giant completed a pilot test with a Japanese advertising agency and is evaluating a market launch later this year. The network, operated by LG Ad Solutions, leverages Arbitrum's technology to automate ad transactions, reducing the need for manual interventions. The company's blockchain research department leader stated that they are assessing whether this approach can deliver value to advertisers, publishers, and audiences. Following the announcement, Arbitrum's native token ARB surged 5%. This initiative represents LG's continued exploration of blockchain technology, following its earlier Monachain platform and the closure of its Art Lab NFT marketplace. The advertising division manages 216 million smart TVs globally, providing a substantial installed base. This development is part of a trend where major corporations like Samsung, JP Morgan, and Mastercard are building custom blockchain infrastructure for business applications, often on public or layer-2 chains.

Key facts

• LG Electronics developed a custom L2 blockchain with Arbitrum for digital advertising.
• Platform automates ad placement, buying, selling, and management without intermediaries.
• Pilot test completed with a Japanese advertising agency; market launch being evaluated.
• Arbitrum's ARB token jumped 5% following the partnership announcement.
• LG joins other major firms building custom blockchain infrastructure for business use.

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