diff --git a/CHANGELOG_PENDING.md b/CHANGELOG_PENDING.md
index 93f5cfe9cf..d8c9ca4836 100644
--- a/CHANGELOG_PENDING.md
+++ b/CHANGELOG_PENDING.md
@@ -16,6 +16,7 @@
 
 ### Bug Fixes 🐞
 - \#2267 Fix nil pointer in the block header logs (@leszko)
+- \#2276 Use global total supply instead of L2 supply to calculate participation rate on Arbitrum networks (@leszko)
 
 #### General
 
diff --git a/eth/client.go b/eth/client.go
index 034649942a..1e9ed240c4 100644
--- a/eth/client.go
+++ b/eth/client.go
@@ -107,6 +107,7 @@ type LivepeerEthClient interface {
 	Inflation() (*big.Int, error)
 	InflationChange() (*big.Int, error)
 	TargetBondingRate() (*big.Int, error)
+	GetGlobalTotalSupply() (*big.Int, error)
 	Paused() (bool, error)
 
 	// Governance
@@ -471,6 +472,10 @@ func (c *client) TargetBondingRate() (*big.Int, error) {
 	return c.minterSess.TargetBondingRate()
 }
 
+func (c *client) GetGlobalTotalSupply() (*big.Int, error) {
+	return c.minterSess.GetGlobalTotalSupply()
+}
+
 func (c *client) CurrentMintableTokens() (*big.Int, error) {
 	return c.minterSess.CurrentMintableTokens()
 }
diff --git a/eth/stubclient.go b/eth/stubclient.go
index af7d11a6c0..65f9c57e2a 100644
--- a/eth/stubclient.go
+++ b/eth/stubclient.go
@@ -384,6 +384,7 @@ func (c *StubClient) UnbondingPeriod() (uint64, error)            { return 0, ni
 func (c *StubClient) Inflation() (*big.Int, error)                { return big.NewInt(0), nil }
 func (c *StubClient) InflationChange() (*big.Int, error)          { return big.NewInt(0), nil }
 func (c *StubClient) TargetBondingRate() (*big.Int, error)        { return big.NewInt(0), nil }
+func (c *StubClient) GetGlobalTotalSupply() (*big.Int, error)     { return big.NewInt(0), nil }
 
 // Helpers
 
diff --git a/server/handlers.go b/server/handlers.go
index 9616b33c25..972f2052c4 100644
--- a/server/handlers.go
+++ b/server/handlers.go
@@ -374,12 +374,12 @@ func withdrawFeesHandler(client eth.LivepeerEthClient, getChainId func() (int64,
 	return mustHaveClient(client, http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
 		// for L1 contracts backwards-compatibility
 		var tx *ethtypes.Transaction
-		chainId, err := getChainId()
+		isL1Network, err := isL1Network(getChainId)
 		if err != nil {
 			respondWith500(w, err.Error())
 			return
 		}
-		if chainId == MainnetChainId || chainId == RinkebyChainId {
+		if isL1Network {
 			// L1 contracts
 			tx, err = client.L1WithdrawFees()
 			if err != nil {
@@ -437,3 +437,12 @@ func setMinGasPriceHandler(client eth.LivepeerEthClient) http.Handler {
 	}),
 	)
 }
+
+func isL1Network(getChainId func() (int64, error)) (bool, error) {
+	chainId, err := getChainId()
+	if err != nil {
+		return false, err
+	}
+	isL1Network := chainId == MainnetChainId || chainId == RinkebyChainId
+	return isL1Network, err
+}
diff --git a/server/webserver.go b/server/webserver.go
index d53c106193..4d4d53fa9f 100644
--- a/server/webserver.go
+++ b/server/webserver.go
@@ -895,7 +895,17 @@ func (s *LivepeerServer) cliWebServerHandlers(bindAddr string) *http.ServeMux {
 				return
 			}
 
-			totalSupply, err := lp.TotalSupply()
+			isL1Network, err := isL1Network(getChainId)
+			if err != nil {
+				glog.Error(err)
+				return
+			}
+			var totalSupply *big.Int
+			if isL1Network {
+				totalSupply, err = lp.TotalSupply()
+			} else {
+				totalSupply, err = lp.GetGlobalTotalSupply()
+			}
 			if err != nil {
 				glog.Error(err)
 				return