Coinbase L2 Network Base Hits A Record High; Overtakes Optimism

Coinbase (COIN) Layer-2 Base overtakes the Layer 2 (L2) scaling solution for Ethereum, Optimism as Friend.Tech hype surged. Daily active users on the L2 network hit a record high of 136,000. Nearly “$175 Million has been bridged to Base since inception. Moreover, a grayed-out “airdrop” icon at the top of the Friend.Tech app indicates the platform will release a token.”

Coinbase L2 Chain Daily Activity Data

According to Dune Analytics, a crypto data platform, frenzied activity around Friend.Tech, built on Coinbase’s L2 Base, has driven daily active users to a record high of 136,000. With a modest public release on August 9, 2023, Wednesday saw just $10 Million in fresh inflows during Base’s first day as a live blockchain.

Friend.Tech allows users to buy or sell shares tied to X (formerly known as Twitter) figures. Meanwhile, the app is in beta mode and can be accessed only with a valid sign-up code.

Notably, Base overtook rival L2 blockchain Optimism in terms of daily active users while tokenterminal data suggest that it is not that far from Arbitrum’s total of 147,000. As per the data, a total of $175 Million in cryptocurrencies has been transferred to Base since its inception. Out of which, nearly 580,000 transactions were recorded on August 10, 2023, Thursday.

Coinbase’s New Blockchain

In the middle of this week, Coinbase shared that its new Base blockchain has gone live with the start of a new era of public companies running their own distributed networks. On the other hand, “the blockchain was already live for testing by developers but the officials of Coinbase said it would be open to the public as of 12 p.m. ET on Wednesday, and which has now passed on.”

Coinbase got a new business push that has one of the most closely followed crypto stocks, which could allow the company to garner fees from running its own blockchain. Its executives said that their push is an even more lucrative stream of revenue from applications built atop it.

The CEO of Coinbase, Brian Armstrong, wrote in a “secret master plan” back in 2016 that the fourth phase of his company’s development would come from “decentralized apps,” or dApps, designed to reach one billion people. On the other hand, the company held a direct listing of its shares on Nasdaq in April 2021.

Jesse Pollak oversees Base as Coinbase’s head of protocols, also said in a recent interview that “100 dApps were already deployed or ready to go on the new network.”

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.

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