Standard Chartered Believes Arbitrum Is “Hugely Undervalued” With 70x Upside Potential
Standard Chartered just called Arbitrum one of the most undervalued tokens in crypto, but a critical gap between Robinhood Chain's fee revenue and actual ARB holders stands between the bank's bold target and reality.
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On September 14, 2026, Standard Chartered made headlines by labeling Arbitrum (CRYPTO: ARB) as “hugely undervalued.” The bank set a target price of $10 for Arbitrum by the end of 2030, representing an impressive 70x from the $0.13 price at which the token traded that morning.
After this bullish call, ARB rebounded sharply, jumping 70% to close at $0.22 on September 18. However, the token has since stabilized, trading in a narrow range between $0.20 and $0.26 for the past week.
The bank’s optimistic outlook for Arbitrum hinges on the Robinhood Chain, a blockchain built using Arbitrum’s technology. Robinhood (NASDAQ: HOOD | HOOD Price Prediction), a major U.S. brokerage, has started directing fees back to Arbitrum, and that connection is crucial for ARB’s price prediction. Essentially, the question is whether revenue flowing through Robinhood Chain will reach the Arbitrum token. The recent sideways movement in ARB’s price may reflect uncertainty about this relationship, rather than issues with the token’s fundamentals.
Robinhood Chain Sends 10% of Its Revenue to Arbitrum, and ARB Holders Only Govern the Treasury
Robinhood Chain contributes 10% of its net protocol revenue back to Arbitrum—8% goes to a treasury governed by ARB holders, while the remaining 2% is allocated to a developer fund. As a layer-two network, Arbitrum efficiently processes transactions and settles them on the Ethereum blockchain (CRYPTO:ETH), allowing users to benefit from Ethereum’s security at a lower cost.
Geoff Kendrick, the bank’s head of digital assets research, forecasts that Arbitrum’s revenue could reach about $5 million a month in September, a significant increase from revenue levels before the launch of the Robinhood Chain. He anticipates a $4 trillion market in tokenized assets by the end of 2028, which Arbitrum could potentially tap into.
ARB operates as a governance token, meaning holders have a say in upgrades and treasury spending but do not receive a portion of revenue like typical dividend-paying stocks.
This creates a hurdle for ARB’s price potential, as the token currently has no mechanism to capture Arbitrum’s revenue directly. The treasury’s funds are real and accessible, but transferring those funds to ARB holders requires governance votes that have not yet occurred.
The $10 Target Is Now 45x, and ARB’s Supply and History Stand in the Way
Since the initial bullish call, the price increase has reduced the multiple for the $10 target. At $0.22, the target now represents approximately 45 times the current price. Over the past month, ARB has risen 134%, climbing from a close of $0.14 on September 12 to $0.22 on September 18, the most substantial trading day in that rally.
However, ARB token supply could pose a challenge. Scheduled unlocks and releases from early investors have consistently added to the circulating supply since launch, so the same price target implies a larger overall valuation than in 2023.
Additionally, ARB’s historical performance shows a 47% decline over the past year and an 84% decline over the last five years, despite a 16% gain in 2026. This decline could push holders who purchased at higher prices to sell during any potential rallies.
A Flat Week After a 134% Month Is a Pause, and $0.26 Is Where It Breaks
Standard Chartered’s prediction adds weight to ARB, but it doesn’t guarantee the token’s stability. After a 134% surge, ARB’s recent flat trading may indicate consolidation—a period when early buyers take profits while new participants enter at similar price levels. The token has traded between $0.20 and $0.26 over the past week, suggesting traders are assessing positions rather than making decisive moves.
ARB’s breakout points are critical to watch. A daily close above $0.26—around an 18% increase—on volume similar to September 18 would suggest buyers are absorbing profit-taking. Conversely, a close below $0.20—about a 9% drop—would indicate that sellers are gaining control.
Does ARB’s Sideways Week Argue Against Standard Chartered’s Call?
In our view, ARB’s sideways trading after a significant monthly gain doesn’t undermine Standard Chartered’s forecast. However, the likelihood of the token [email protected] $10 by 2030 seems low. The main reason is that fees collected by Robinhood Chain flow into a treasury rather than directly benefiting ARB holders, and no proposal to establish a revenue-sharing mechanism for holders has been submitted.
Achieving a successful price target requires several conditions: sustained growth in Robinhood Chain’s revenue beyond its initial spike, Arbitrum governance approval of a mechanism to route revenue to ARB holders, and ARB maintaining a closing price above $0.26 before larger targets become feasible. If the revenue dips below the projected $5 million a month by December, it could further complicate ARB’s price potential.
Contact [email protected] for any questions or corrections.
Sam Daodu is a crypto analyst who's spent nearly a decade making blockchain understandable—no easy task when most whitepapers read like fever dreams. He writes for 24/7 Wall St., covering Bitcoin, altcoins, and crypto market analysis for investors. Before crypto, he was a tech writer (back when explaining "the cloud" was peak innovation). Since 2018, he's written for CoinTelegraph, Yahoo Finance, The Block, Cryptonews, Zypto, Rain, and more—basically anywhere people want crypto news without the headache. Sam runs MacLabs Marketing, a content agency for crypto brands tired of sounding like AI wrote their website. He also publishes free crypto education on his site for Web3 enthusiasts who think "gas fees" is a typo. When he's not writing or staring at charts, Sam's either: - Watching anime (currently convinced One Piece has better tokenomics than most altcoins) - At the gym sculpting himself into a Greek god - Listening to the music your mum warned you only bad boys listen to Connect: LinkedIn | Email | MacLabs Marketing
