LG Builds Blockchain-Based Ad Platform on Arbitrum

LG Electronics is developing a blockchain-based advertising platform on Arbitrum, aiming to automate ad inventory management and consumer engagement tracking.

The South Korean consumer electronics company has confirmed the project to Fortune. The platform was built by LG's internal blockchain research lab in collaboration with Arbitrum (ARB) and tested with an unnamed Japanese advertising agency.

The network runs on a custom layer-2 chain developed using optimistic rollup technology, which reduces processing costs. Advertisers and publishers will have access to a shared database of available ad inventory, while individual consumers' interactions with advertisements will be recorded.

LG's head of blockchain research department, Samuel Byungsun Park, said the company is evaluating whether this approach can deliver meaningful value to advertisers, publishers, and audiences. Arbitrum co-founder Steven Goldfeder noted that building a dedicated blockchain is not always necessary, but it may provide benefits in certain cases.

LG has prior experience with blockchain infrastructure, including operating its own enterprise-focused network called Monachain. The company's IT services arm, LG CNS, also took part in the Bank of Korea's Project Han River pilot, which tested AI-based payments using deposit tokens.