Arweave’s next chapter in onchain finance

Native swaps, stronger settlement, and the first live use case

GM fellow Arweaver!

With AO's LegacyNet transition nearing completion, Arweave's base layer is playing a stronger role in permaweb finance. Today we’re breaking down what's changing with swaps and settlement, plus the first live use case already putting it to work.

Let's get into it.

The permaweb's financial layer grows stronger 🛡️

An abstract diagram showing colorful, overlapping grid patterns connected by black pathways with small colored dots.

Permaweb finance is taking a significant step forward as the AO development team completes the final stages of LegacyNet transition.

As part of the structural changes, the settlement of tokens, mints, and swaps will be confirmed directly by the Arweave network, with previous components used to facilitate these actions no longer needed.

It's a BIG upgrade and shows the power of Arweave, too.

Finance moves onto Arweave's foundation

Arweave lays the groundwork for AO Computer, providing it with a foundation built on decentralization and trust minimization, the kind of ground the permaweb needs to guarantee user rights in cyber space.

As decentralized finance and open compute markets flourish on the permaweb, one thing needs to stay consistent between its layers, the removal of any centralized components or single authorities sitting between them.

That's where the new ~arweave-scheduler@1.0 device comes in, enabling native swaps between $AR and AO tokens at the protocol level, with no oracles, custodians, or bridges required.

Two more devices strengthen this shift on the finance side. The ~token@1.0 device rebuilds token balances as verifiable state, with separate CUs and MUs no longer required. Alongside it, a new ~pot@1.0 whitepaper introduces a mint mechanism designed to accrue yield automatically over time.

Permaweb Names lead the way

A table listing domain names, their prices in AR cryptocurrency, and abbreviated owner wallet addresses.

Permaweb Names offer the first live example of this new model in action, letting Arweavers claim, own, and trade names directly, with the same properties as any other token on AO.

Each Permaweb Name now runs as a ~token@1.0 process scheduled by ~arweave-scheduler@1.0, meaning it can be transferred and sold directly, with settlement secured by the Arweave network. An offer, a registration of interest, or a payment is simply an ordinary Arweave transaction.

The same stack serving names to Arweavers will apply to every kind of token on AO, including the $AO token itself.

Ready for the permaweb's next chapter

Ethereum’s rollup environment is a useful comparison to anyone familiar with the EVM world, where dozens of L2s secure tens of billions of dollars in value by giving holders a route back to the Ethereum base chain. The permaweb extends this further, effectively making each AO process an "L2" on Arweave, all with parallel processing power that scales.

Arweave has consistently provided permanent, verifiable storage. Now that same strength extends natively into financial infrastructure. As more assets adopt this model, including future bridged assets like stablecoins, the permaweb's financial layer keeps getting sturdier, backed by the same base layer that's proven itself for eight years.

ICYMI 👀

Here’s a quick snapshot of what’s been unfolding across Arweave and AO.

This week's community feature 📝

Two yellow smiley face emojis, one with a wide, toothy grin hugging a smaller smiling one from behind. Forward Research breaks down why open models and datasets need a permanent home beyond centralized platforms. Read the full piece to see how Arweave already offers exactly that.

Thanks for reading!

If you know anyone else who would find this information and our insights helpful, please share this newsletter with them.

Follow us on X at @onlyarweave to stay updated on all things Arweave. Want to dive deeper into AO? Check out @aoComputerClub.

The Longview Team

This is not investment advice. No profit guarantees. If in the U.S., ensure compliance with U.S. laws and seek professional advice.

Weekly Arweave updates,
straight to your inbox.

Stay ahead with the latest Arweave updates delivered to your inbox weekly, before anyone else.