Coinbase Launches “Base” as a Gateway to the Cryptoeconomy
On August 9, 2023, Coinbase unveiled “Base,” a platform designed to serve as a bridge into the world of cryptocurrencies. Base aims to host Coinbase’s existing on-chain products and provide an open ecosystem for decentralized applications (dApps) to attract millions of new users.
The release of Base generated significant anticipation even during its development phase. Jesse Pollak, Coinbase’s senior director of engineering, expressed excitement about the enthusiastic response from users prior to the public launch.
Notably, Coinbase has decided not to introduce a corresponding token with Base at this time. This decision could potentially help the company avoid regulatory challenges amid ongoing legal pressure. In June 2023, Coinbase faced a lawsuit from the Securities and Exchange Commission (SEC) for allegedly operating as an unlicensed securities exchange and engaging in transactions involving unregistered securities like Solana, Polygon, and Cardano.
Base Emerges as a Promising Blockchain
Base has achieved early success since its launch. According to DeFiLlama data, as of September 19, 2023, Base has surpassed Solana to become the ninth-largest blockchain by total value locked (TVL). The platform has accumulated $370.50 million in deposits through various decentralized finance (DeFi) protocols, while Solana’s TVL stands at $310.25 million.
This growth can be attributed to increased activity on Friend.tech, a Web3 social media platform, and the addition of reputable DeFi applications to Base over recent weeks.
The Resurgence of Friend.tech
Friend.tech officially debuted on August 19th as a social token-driven platform that enables individuals, brands, and businesses to create and monetize online communities using blockchain technology. After initially experiencing a substantial decline in revenue, Friend.tech made a comeback in mid-September 2023.
Hot Take: Coinbase’s Base Revolutionizes Access to Cryptocurrencies
Coinbase’s introduction of Base marks a significant step toward simplifying and broadening access to cryptocurrencies. By providing a gateway into the cryptoeconomy, Base aims to attract new users and foster the growth of decentralized applications. The platform’s early success, surpassing Solana in TVL rankings, demonstrates its potential as a key player in the blockchain industry. Additionally, Friend.tech’s resurgence further highlights the increasing adoption and potential of Web3 social media platforms. As Coinbase continues to navigate legal challenges, Base presents an opportunity for the company to expand its offerings while maintaining compliance with regulations.
By
By
By
By