Based on data from L2Beat, the Total Value Locked (TVL) in the Base network saw a notable increase of 25.23% last week, reaching a total of $558 million. This surge allowed the Base network to surpass zkSync Era, which had a TVL of $435 million. The primary driver behind this growth was the introduction of USDC issuance on the network on October 4, resulting in a remarkable 470.55% increase to reach a total of 159 million USDC.
In the previous month, Circle, the issuer of the widely-used stablecoin USDC, had announced its intention to begin issuing USDC on the Base network. This strategic move by Circle aimed to enhance the functionality of USDC by integrating the stablecoin as a native asset on other blockchains. This approach was significant because it eliminated the need for bridging through Ethereum-based tokens when utilizing Base.
Base Gains Prominence in the DeFi Sector
Base is an Ethereum Layer 2 solution collaboratively developed by the cryptocurrency exchange Coinbase and Optimism. The primary objective of this network is to offer a secure, cost-effective, and user-friendly environment for building applications on the blockchain. It is fully compatible with Coinbase Wallet and all Ethereum Virtual Machine (EVM) wallets.
Base network is rapidly establishing itself as a strong contender in the DeFi space. Shortly after its launch in early August, key players in the market began testing the platform. Even beverage giant Coca-Cola introduced its 'Masterpiece' NFT collection on the Base platform not long after.
Furthermore, in the previous month, Coinbase's Chief Legal Officer, Paul Grewal, hinted at the possibility of launching a cryptocurrency on the Base platform. Grewal's mention of the potential cryptocurrency launch could significantly bolster the advantages of the Base network within the DeFi market.
