Coinbase’s layer 2 scaling solution, called Base, seems to have exploded in popularity recently. In just six short weeks since launch, Base’s (TVL) total value has skyrocketed to nearly $400 million. This rapid rise in usage and popularity has even recently overtaken the Solana blockchain in TVL.
Coinbase’s Layer 2 Scaling Network TVL catches up with Solana
Base operates as a layer 2 network on Ethereum, launched by Coinbase in partnership with Optimism, to provide a secure, low-cost, and developer-friendly way to build on-chain. Since its launch, Base has managed to find strong market fit, allowing it to quickly penetrate the crypto market. However, this was not without some hiccups.
Before the public launch, Base had some issues, which the developers were able to quickly resolve. Earlier this month, the network suffered another setback when block production unexpectedly stopped for 45 minutes. According to DeFi TVL aggregator DefiLlama, Base’s TVL has increased +111% over the past month to now over $370.29 million.
Last week saw Base’s growth blowing past the Solana blockchain in terms of transaction volume. This growth has continued and the Layer-2 network is now ahead of Solana, whose total value locked (TVL) fell 12.22% last month to $310 million. This also puts Base’s TVL ahead of other popular chains such as Cronos, Bitcoin and Cardano.
Crypto market cap currently at $1.03 trillion. Chart by TradingView.com
Base sees massive growth in just six weeks
Base’s growth started with Aerodrome, a decentralized exchange. which poured $190 million into the network after its launch. Base’s growth can also be attributed to the popularity of Friend.tech, a decentralized social app. With a current TVL of $38.6 million, Friend.tech is one of Base’s highest-stakes projects. Other projects with a significant stake in TVL include Stargate, Curve DEX and Compound V3.
Ethereum currently remains the leader in TVL. However, the coming months will be crucial in determining whether Base can maintain its momentum and continue to gain mainstream appeal. On its current trajectory, Base could surpass $500 million in TVL in the coming weeks and cement itself as a leader in layer 2 scale networking.
According to Basic Scanthe number of daily transactions on Base reached a new high of 1.88 million on September 14, BaseScan reports. The Layer-2 network has now processed more than 40.31 million transactions at the time of writing.
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Featured image from iStock
