Base, the new Ethereum Layer 2 (L2) solution from Coinbase, has witnessed a significant surge in popularity and usage in the past few weeks, according to data aggregated by Dune Analytics. This rise has been so impressive that daily transactions surpassed both Arbitrum and Optimism last week.
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The growth of Base
Base, launched earlier this month, is a Layer 2 chain created in collaboration with Optimism and built on the OP Stack. It offers a safe, low-cost, and developer-friendly environment for building on-chain.
One key highlight of the network’s launch was the introduction of Friend Tech, a decentralized social network where friends or networks can become Shares or Keys. Although Friend Tech was the breakout app, the majority of the activity has centered around NFTs in the ecosystem.
Over the past two weeks, 47% of addresses engaged in activities related to NFTs as part of the on-chain summer, accounting for 24% of network transactions.
Friend Tech’s influence
Even after the Friend Tech app was declared defunct, it managed to generate over $80 million in trading volume and onboard over 124,000 total addresses since its launch. On August 19, it constituted 54.9% of Base’s transaction fees; however, this activity has since diminished to just over 10% due to a decline in volume.
Aside from NFTs and Friend Tech, the network has seen limited DeFi activity, mainly in decentralized exchanges (DEXs). In the past week, the network recorded over $96.5 million in trading volume, inching closer to Optimism’s $119.91 million but still substantially less than Arbitrum’s $1.37 billion.
Nevertheless, it is anticipated that Base will continue to attract more crypto and NFT projects in the near future as it continues to gain traction among developers, crypto users, and NFT collectors. The network recently set a new record with more than 68 million NFTs minted on the platform.
Bright future in the blockchain ecosystem
The rapid growth of Base underscores the increasing importance and popularity of Ethereum Layer 2 solutions. While the demise of Friend Tech was unfortunate, it did not dampen the enthusiasm as the blockchain continues to see a surge in NFT-related activities and remains poised for more developments in the crypto and NFT space.
With more than 68 million NFTs minted on the platform, the Layer 2 solution is well on its way to becoming a significant player in the blockchain ecosystem.