Uncover Coinbase’s Base Milestone in Layer-2 Solutions
Coinbase’s layer-2 (L2) Base has achieved an impressive milestone with a total value locked (TVL) of over $8 billion, outpacing one of its main rivals—Optimism. This success highlights Base’s rapid progress in the Ethereum-based L2 solutions race, cementing its role as a significant player in the blockchain realm.
Base Leads in Transactions and Profits Among Ethereum L2s
– A recent report by L2Beat indicates that Base has achieved a $8 billion TVL, including $2.14 billion in bridged value and $5.92 billion in native tokens minted on the blockchain.
– This achievement places Base just behind Arbitrum One in terms of TVL.
– Having launched in August last year, Base has experienced substantial growth, hitting the $1 billion TVL mark by February 27, which has since grown eightfold in just 104 days.
– Base holds the lead in transactions among all Ethereum L2 solutions, averaging 30.36 transactions per second (tps) over the last month, surpassing Arbitrum One’s average of 23.52 tps.
– In the past 30 days, Base has processed a total of 64.86 million transactions.
– The platform has also excelled in generating profits, standing at the top in terms of on-chain profits over the last three months, with a record $16.9 million in profits in March.
– Despite a 58.6% drop to $6.98 million in May, Base remained ahead of Optimism, which only collected $1.57 million during the same period.
Challenges Amid Base’s Growth
– While experiencing rapid growth and popularity, Base encountered challenges during the meme coin frenzy at the beginning of 2024, witnessing an 18-fold increase in funds stolen through phishing scams.
– This issue aligns with concerns raised by Ryan Lee, Chief Analyst at Bitget, regarding the security and vulnerabilities of smart contracts.
“With the development of the encryption field, more complex smart contracts will be developed to meet the increasing number of user requests. The vulnerability risk associated with highly complex code is also gradually increasing, which can lead to the loss of funds,” Lee told BeInCrypto.
– Lee also emphasizes that regulatory challenges are continuously evolving due to Ethereum’s ongoing technological advancements and the widespread adoption of Layer-2 solutions.
Hot Take: The Path Ahead for Base
Moving forward, Base’s milestone achievement in reaching a $8 billion TVL underscores its growing prominence in the realm of layer-2 solutions. With its lead in transactions and profits among Ethereum L2s, Base is well-positioned to navigate the evolving challenges in the blockchain ecosystem while maintaining its competitive edge. As the platform continues to innovate and adapt, the future looks promising for Base as it solidifies its position as a key player in the blockchain landscape.
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