Base Emerges as the Second Largest Layer-2 of Ethereum
Base, the well-known layer-2 solution for Ethereum developed by Coinbase, has been experiencing substantial growth since the beginning of 2024. The network’s Total Value Locked (TVL) has recently surpassed $8 billion, positioning Base as the second-largest layer-2 solution for Ethereum, just behind Arbitrum, and overtaking Optimism.
- Base surpasses Optimism for TVL to become the second largest layer-2 after Arbitrum
- Base’s blockchain entered mainnet in August 2023
- TVL on Base surpasses 8 billion with massive growth in less than a year
Base’s Remarkable Growth and TVL Milestone
The Base blockchain was officially launched on mainnet in August 2023, and within less than a year, it has witnessed significant growth in TVL, crossing the $8 billion mark. This surge in TVL has been driven by a variety of factors, catapulting Base to the position of the second-largest layer-2 solution for Ethereum:
- The network exceeded $8 billion in TVL, growing over 10 times since January 1, 2024
- Of the $8.05 billion TVL, $2.14 billion is from canonically bridged assets, and $5.92 billion is from natively minted assets
- The growth of Base is attributed to the memecoin mania and increased trading activities
The Surge in On-Chain Metrics of Base in 2024
Alongside the exponential growth in TVL, Base has also witnessed a surge in other on-chain metrics, showcasing the platform’s robust performance and adoption:
- Weekly transactions on the Base network spiked from 3.2 million to 20.4 million in just one month
- Base surpassed Arbitrum in transactions per second (TP/s) in the last month
- The platform welcomed a significant number of new users with over 920,000 new users in the last week
The Profitable Streak of Base in 2024
Base’s growth and on-chain activities have translated into substantial profits for the platform, solidifying its position as the most profitable layer-2 solution in 2024:
- Base collected a record figure of $16.9 million in fees in March
- The platform attracted $38.17 million in inflows, establishing itself as the most profitable layer-2 of the year
- Despite challenges, Base outperformed other networks in fee collection, showcasing its strong financial performance
Hot Take: Base Continues to Surge in 2024
Base, the layer-2 solution by Coinbase for Ethereum, has witnessed remarkable growth in 2024, emerging as a dominant player in the ecosystem. With a soaring TVL, robust on-chain metrics, and impressive profitability, Base has solidified its position as a key contender in the competitive landscape of layer-2 solutions for Ethereum. As the platform continues to attract users and enhance its infrastructure, Base is poised for further growth and success in the evolving crypto space.
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