In the last few weeks, Coinbase’s Layer-2 blockchain network, Base, has gained notable attention within the cryptocurrency world. This is evident in the increasing number of on-chain activities. Notably, there has been a noticeable rise in the mainnet transaction volume of Base. The daily transactions have exceeded one million for over thirty days straight.
On March 28th, there was a significant increase in the number of daily transactions on the Base chain, exceeding 2 million and reaching a weekly high of 3 million. This notable rise in Base’s on-chain activity can be explained by several reasons: a major network upgrade and the spread of excitement within the community over certain trends or memes.
The Dencun update brought significant enhancements to the network, resulting in a substantial surge in financial support and programmer involvement. Consequently, there has been a sixfold growth in the number of top-tier contributors since the beginning of the year.
Bitget Wallet’s Surge Propels Base Network’s Success
One major reasons for the recent increase is Bitget Wallet, a well-known Web3 storage service. In the first week of April, this solution handled over 200,000 transactions daily, accounting for over 10% of the Base chain’s entire transaction activity.
Alvin Kan, Bitget Wallet’s COO, explained the impressive growth in various ways. Initially, he pointed out that the Dencun upgrade brought about a significant increase in investments and essential enhancements. Moreover, he highlighted that the value locked on Base experienced a massive uptick, climbing from $477 million in early March to an astounding $1.47 billion, surpassing notable Layer 2 platforms such as Arbitrum, Optimism, and Starknet.
Meme Fever and SocialFi Boost Attention and Capital Inflow
According to Kan, a significant contributing factor to Base’s continued growth was the “Meme Mania” incident. This occurred following the introduction of a meme coin by the founder of the widely recognized NFT project named ‘mfers.’ The fusion of this event with popular meme coin trading activities resulted in an astonishing $1.22 billion worth of transactions on Base chain DEX on March 30th.
In addition, the growing buzz around decentralized social media platforms FriendTech, Farcaster, and Degen Token has led to increased interest and investment in the Base ecosystem. Moreover, according to Kan, some of the project’s heightened on-chain activity can be linked to the impact of Bitget Wallet’s meme coin, MOEW, which was launched on April 3rd.
After being introduced, MOEW created a splash by distributing large numbers of complimentary tokens to BWB point owners through airdrops. Now with over 100,000 wallets in possession of MOEW and a trading volume surpassing $120 million, the coin momentarily took the lead on Base chain’s most active token list.
The Base Network is primed for big things
Moving forward, it appears that the Base network is poised for significant growth based on current data. As reported by L2BEAT, the total value locked (TVL) in the network amounted to $4.15 billion on April 8. Of this sum, $1.45 billion was attributed to assets bridged from other networks, while $2.7 billion consisted of native tokens minted within the network. Furthermore, with a TVL ranking third among Ethereum layer-2 solutions, Base has surpassed its nearest rival, Blast, which currently holds approximately $2.7 billion in TVL.
In March 2024, Base had more than 50.34 million transactions in a 30-day period, surpassing both Ethereum and Arbitrum’s transaction volumes. Specifically, Base handled 50.34 million transactions compared to Ethereum’s 37.9 million and Arbitrum’s 40.1 million during this timeframe.
Following this development, Kan along with other specialists continue to express great confidence in the Base Network and its promising outlook. This is primarily due to Ethereum’s high demand for Layer 2 solutions, which the Base Network satisfies effectively. It boasts a vibrant on-chain ecosystem, an enthusiastic user community, and strong developer backing.
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2024-04-16 12:10