Tech

Coinbase Ventures Leads $4.2M Funding For DEX 01Exchange Built on L2 Base

8 hours ago
Bitcoin Ethereum News

Coinbase Venturess:- In a big development for Coinbase’ Ethereum Layer-2 solution Base, its venture arm has recently completed $1.04 .2 million funding for o1.exchange, a decentralized exchange touting itself as the first “full trading terminal” built on Base.

The raise, co-led by AllianceDAO. funds the startup’s push to combine enterprise-grade trading tools of Trading View with “first “full trading terminal” built on its blockchain.

Coinbase Ventures Funds the “First Trading Terminal” of Base

o1.exchange pitches a product that is going to work best for its current efforts to ramp up products on its L2. It is aiming to provide on-chain order execution with TradingView-style charts, multi-wallet management. Its sub-block execution targets aimed at matching the expectations of active traders and professional liquidity providers.

That dynamic could accelerate liquidity migration to Base from other L2s. However for that to happen, it must ensure order-routing, gas economics and custody integrations remain competitive.

The team is following a user-acquisition strategy heavily weighted toward rebates and network effects. It has announced a series of growth levers, including a 45% cashback program and a 41% referral revenue share.

Also Read: BitMEX Launches Reverse Copy Trading Feature

What this Means for Base

Coinbase Ventures’ participation signals continued strategic capital flows into Base-native infrastructure. They are part of broader efforts towards validating the L2 Base as a place to build market-making and latency-sensitive products.

The move also comes as Coinbase recently announced DEX trading inside rebranded wallet app “Base.” With this, Coinbase has added a user-facing execution interface inside its app / wallet. Now, users can initiate those on-chain DEX trades from the Coinbase experience. This can serve as a distribution channel that can drive user flow to Base native markets.

On-chain indicators also show Base rapidly attracting capital and projects As of writing and as per data from DefiLlama, its TVL stands at $5.02 billion with DEXs volume in the last 24 hrs surpassing $1.88 billion. As per Coingecko, it currently holds 13% of total DEX trading volume making it one of the top chains by DEX share.

Howevern, Base this month experienced a block-production outage for about 29 minutes. This came as its first notable disruption since launch. Thus, development of DEXs will put that into focus and DEX building strategy too.

Also Read: Behind Crypto exchanges-PayFi Partnerships

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