Categories: Market Watch

Coinbase’s Base Network Surpasses $1 Million Daily Active Addresses, Outpaces Competitors

Coinbase’s layer-2 network Base has recently achieved a key milestone, hitting over 1 million daily active addresses. According to data from blockchain analytics platform GrowThePie, the Ethereum layer-2 network surpassed the 1 million mark for the first time on Aug. 24 when its active addresses reached 1.05 million.

Blockchain analytics platform Token Terminal corroborated this and compared Base’s growth to other layer-2 networks, concluding that Coinbase’s solution has outperformed its competitors. Unsurprisingly, this milestone has translated into a record-high number of transactions on the network.

GrowThePie’s data shows that Base processed more than 4 million transactions during the last 24 hours, while Arbitrum—the largest Ethereum layer-2 network by total value locked—facilitated only 1.97 million transactions in the same period. Further, the decentralized exchange’s total trading activity across Base has soared recently. Per DeFillama’s data, the network now accounts for around 10% of the sector’s volume, behind Binance Smart Chain (BSC) but ahead of major layer-1 blockchain networks like Avalanche and Tron.

Notably, Token Terminal stated that the Base network accounts for 84% of the daily active addresses on Uniswap, the largest decentralized exchange in the industry. Market analysts highlighted the significance of these numbers, noting the strong adoption of Base despite its lack of a native token, unlike other layer-2 networks.

Instead, Base has been able to attract increasing users to its platform via its seamless interoperability features and introduction of several innovations.

This has propelled it to become the second-largest Ethereum layer-2 network within a year of its launch. L2Beats data shows that its market share stands at around 17%, with the total value of assets locked on it at $6.3 billion. Meanwhile, these important milestones coincide with the network’s recent launch of Basenames.

On Aug. 21, Base introduced Basenames, allowing users to purchase a name linked to their Base wallet addresses. This service, built on the Ethereum Name Service platform, aims to enhance communication between users on Base. By Aug. 26, Base’s lead developer Jesse Pollak announced that Basenames had attracted 200,000 users in its first week. Pollak also revealed that the network is exploring using multi-address domains with Basenames, allowing users to link multiple addresses to a single name.

Terron Gold