Coinbase’s Layer 2 solution, Base, has surpassed $2 billion in Total Value Locked (TVL), marking a 43.61% increase over the past week.
This milestone reflects the growing traction and interest in this network, particularly focused on meme coins and airdrops.
Coinbase’s core network is on the rise
Base, built on Optimism technology, has played a crucial role in scaling Ethereum by improving transaction speed and reducing fees while maintaining the robust security of the Ethereum mainnet. Base’s success can largely be attributed to its parent company Coinbase.
This is a massive cryptocurrency exchange with a valuation of over $60 billion. Coinbase’s strategic positioning as the custodian of 90% of US spot Bitcoin exchange-traded funds (ETFs) and its alliance with giants like Blackrock and Circle have contributed significantly to Base’s momentum.
Jesse Pollak, the architect behind Base, emphasized that a substantial portion of Coinbase’s revenue is funneled into Base’s development.
“We are increasing gas subsidies so that builders can start building for free and build gas-free experiences. [as well as] construction grants to reward people who make a positive impact on the base and give them resources to build the next one. Gas subsidies will be provided upfront, with a path to scale. Subsidies for builders will primarily apply retroactively, as we have seen that this creates aligned incentives and a strong construction culture,” Pollak said.
This strategic move reflects Coinbase’s vision to leverage Base as a gateway for more than 110 million users to the crypto market. The platform’s integration with Coinbase’s extensive user base provides fertile ground for user acquisition, a common challenge for new blockchains.
Read more: Coinbase Review 2024: The Best Crypto Exchange for Beginners?
Basic network users. Source: Dune
For this reason, this strategy has led to an unprecedented increase in Base adoption. In March, the number of daily new users reached 800,000, revenue increased from $18 million to $28 million, and the number of daily transactions increased from 500,000 to 2 million.
This increase is partially attributed to the Ethereum Dencun upgrade. The implementation of EIP-4844 has dramatically reduced network costs, making Base a formidable competitor for high-frequency trading.
Base Meme Coins and Airdrops to Watch
The momentum around Base suggests a growing interest in meme coins and airdrops. With the ecosystem still in its infancy, the potential for discovery and investment in meme coins is enormous.
According to analyst Miles Deutscher, a methodical approach that tracks token trading volumes and the number of holders could reveal promising opportunities in this area. For example, Toshi Base is a meme coin that stands out for its strong community and position as a pioneer.
“Those who follow my content know that I am a proponent of following the leader when it comes to narrative trading, in this case TOSHI is the leading meme on Base,” Deutscher pointed out.
Read more: 7 Hot Meme Coins and Altcoins That Are Trending in 2024
Protocols carried out on base. Source: Gargoyle
Furthermore, the prospect of new protocols launching on Base and the potential for ecosystem airdrops presents a lucrative prospect for users and investors.
Influencer Gargoyle pointed out that the most profitable on Base could have a good shot at launching an airdrop. These include bridges like Across and Stargate, decentralized exchanges like ODOS and Aerodrome, and lending protocols like Moonwell and Seamless.
While Base has no immediate plans for a native token, history suggests anything is possible. With a plethora of options for meme coins and airdrops, Base seems ready for further expansion.