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Microdroid is a (very) lightweight version of Android that is intended to run on on-device virtual machines. It is built from the same source code as the regular Android, but it is much smaller; no system server, no HALs, no GUI, etc. It is intended to host headless & native workloads only.
TL;DR - No. ARCVM is a full Android environment. Please read the documentation for the project before raising an inquiry like this next time.