Coinbase-incubated Layer 2 solution leads with 40% more active addresses, record-breaking transactions, and rapid growth in total value locked.
Base Network, an Ethereum Layer 2 network incubated by Coinbase, has recently made headlines by surpassing its competitors, Arbitrum and Optimism, with nearly 40% more daily active addresses. This article breaks down the key factors behind Base Network's impressive growth and what it means for the future of Layer 2 solutions.
Base Network is a Layer 2 solution built on the Ethereum blockchain. Layer 2 solutions are designed to improve the scalability and efficiency of the Ethereum network by processing transactions off the main Ethereum chain. This helps to reduce congestion and lower transaction fees.
Incubated by Coinbase, one of the largest cryptocurrency exchanges, Base Network aims to provide a more scalable and cost-effective platform for decentralized applications (dApps) and transactions.
Base Network has outpaced its rivals, Arbitrum and Optimism, by having nearly 40% more daily active addresses. This metric is crucial as it indicates a higher level of user engagement and activity on the network.
In addition to the number of active addresses, Base Network has seen a significant increase in its total value locked (TVL) and transaction volume. The TVL surged over 200% to $3 billion in just a few days, and the transaction volume increased by 300% during Q2 2024. These figures highlight the network's rapid adoption and growing user base.
One of the standout achievements of Base Network is its record-breaking number of transactions. The network recorded an astonishing 2.275 million transactions in a single day and $730 million in transaction volume on decentralized exchanges (DEXs). These numbers are a testament to the network's robust infrastructure and ability to handle high transaction loads.