- Barely a year after its launch, Base has become the top Layer 2 chain by TVL.
- Base’s fast rise has been driven by several factors, including its affiliation with Coinbase.
- Despite the network’s recent feat, developers are still exploring ways to bolster its reach.
Coinbase-incubated Ethereum Layer 2 Base has enjoyed a rapid rise since bursting into the scene in August 2023 and shows no signs of slowing down. Amid this meteoric run, the network has now clinched the top spot among Layer 2 chains by TVL.
Coinbase’s Base Leapfrogs Arbitrum
Over the past few months, Base has dominated other Ethereum Layer 2 chains in terms of transaction count and active users. Now, the network appears to have completed its sweep of Ethereum Layer 2 space by leapfrogging Arbitrum in TVL.
Sponsored
According to Defi Llama data at the time of writing, Base is now the largest Ethereum Layer 2 chain and the fifth largest chain overall by TVL, with $2.49 billion. Arbitrum has now been relegated to second place among Ethereum Layer 2 chains and sixth overall with a TVL of $2.41 billion.
Several factors have led to Base’s meteoric run. For one, Base’s ties to Coinbase have earned it the tag of being the home of retail, with the exchange serving as an onramp to the network. This, combined with high-yield opportunities on DeFi protocols like Aerodome, has led to an influx of crypto investors seeking new opportunities.
Base’s growth has been further bolstered in the past month by Coinbase’s launch of its wrapped Bitcoin product, cbBTC, which is currently only supported on Base and Ethereum. Within one month, the token has gained a market cap of nearly $400 million, the bulk of which is domiciled Base.
Despite the network’s recent feat, developers are still exploring ways to bolster its reach.
Base Runs Regional Buildathon
On September 23, Base unveiled “Base Around the World,” a series of regional “buildathons” to connect with builders worldwide. The events kicked off on September 27 and ran until October 13.
Beyond the buildathons, Base lead developer Jesse Pollak will hold in-person meet-ups with developers worldwide, beginning with Nairobi, Kenya, on November 4.
On the Flipside
- Base’s lead on Arbitrum is not too wide, giving the latter room to potentially reclaim the top spot.
- Base remains largely centralized and has yet to implement fault proofs.
Why This Matters
Base’s feats turn the heat up in the highly competitive Ethereum Layer 2 space, putting other projects on notice.
Read this for more on Coinbase’s Base:
Coinbase Base Spotlights Global Community with Worldwide Buildathon
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