Base, Coinbase's Ethereum Layer-2 network, challenges conventions by foregoing a native token and focusing on practical applications.
Record-Breaking Growth Without Token Incentives
Base's decision to forgo a token hasn't hindered its growth; instead, it underscores the network's robust fundamentals. According to analytics platform Nansen, Base processed 11.4 million transactions as of November 28—a staggering 50-fold increase from 263,000 transactions recorded just a year ago. The network also achieved a milestone average of 132.50 daily transactions per second (TPS) on November 26, surpassing its earlier record of 106.86 TPS. Base’s financial metrics are equally impressive. With a Total Value Locked (TVL) of $12.54 billion, the network now ranks second among Ethereum Layer-2 solutions, trailing only Arbitrum.
The Ecosystem Behind the Success
Key to Base’s growth is its vibrant ecosystem. The network has become a hub for gaming and decentralized finance (DeFi) applications, hosting popular platforms such as Uniswap and Aerodrome. Viral trends, including the Clanker and Virtuals Protocol memes, have further contributed to its adoption. Base’s connection to Coinbase, a $73 billion behemoth in the crypto industry, provides a significant competitive edge with access to its massive user base and resources.
A New Paradigm for Ethereum Layer-2 Solutions
Base’s open-source ethos, adherence to open standards, and commitment to fostering open markets set it apart. Pollak and his team believe these principles drive innovation and creativity in the blockchain space, enabling the development of better solutions for real-world problems.
By rejecting the need for a token, Base has positioned itself as a leader in the Ethereum Layer-2 arena, offering a fresh perspective on network development based on genuine value.
