Base Network surpasses Solana’s TVL as summer lull ends

Base Network surpasses Solana's TVL as summer lull ends

The Rise of Layer-2 Networks: Coinbase’s Base Surpasses Solana in Total Value Locked

Coinbase’s layer-2 network, Base, has emerged as a leader in the blockchain industry, surpassing Solana in terms of total value locked (TVL). With a TVL of $397.32 million since its launch in August, Base has outpaced Solana’s TVL of $358.96 million according to data from DefiLlama.

Base has experienced remarkable growth over the past month, with a staggering 97.21% increase in TVL. In contrast, Solana has experienced a decline of 9.64% over the same time frame. This shift in rankings highlights the increasing popularity and adoption of layer-2 networks in the blockchain industry.

The majority of Base’s TVL comes from two projects that have made significant contributions to its success. Aerodrome Finance, a decentralized exchange, holds the top spot with a TVL of $97.83 million. Friend.tech, a decentralized social media app, ranks second with a TVL of $36.53 million.

Aerodrome Finance, launched on August 28, allows users to deposit liquidity to earn its native AERO tokens and offers various other features. The project witnessed a slow start, but on August 31, it experienced a massive influx of $150 million, causing its TVL to skyrocket. However, since then, the project’s TVL has decreased by approximately 51% as the initial hype subsided.

• FTX CEO’s asset recovery intensifies as Sam Bankman-Fried’s trial approaches.
• European Crypto Asset Manager CoinShares to Launch US Division
• Tether breaks loan promise, lends $5.5B in stablecoins despite earlier commitment

Friend.tech, launched on August 11, enables users to tokenize their social networks through the buying and selling of “Keys.” Despite facing challenges in late August, the platform experienced a dramatic surge in September. DefiLlama reports a 540% increase in Friend.tech’s TVL over the past month, primarily driven by a pump that began on September 9 alongside a resurgence in daily trading volume.

Base’s TVL is also significantly contributed to by multinetwork decentralized finance platforms such as Compound, Curve, and Uniswap. These platforms leverage Base’s layer-2 scalability and functionality to provide efficient and seamless decentralized financial services to users.

In addition to its TVL success, Base has achieved a new milestone this month by reaching a peak of 1.88 million daily transactions on September 14. This surpasses rival chains like Optimism and Arbitrum, which had a combined total of almost 880,000 transactions on the same day. Although daily transactions have decreased to approximately 908,000, Base’s previous all-time high record remains intact.

Coinbase’s Push for Regulatory Clarity in the US

Coinbase, one of the leading cryptocurrency exchanges, has been actively advocating for regulatory clarity in the United States. Recognizing the importance of a clear legal framework for the crypto sector, Coinbase has been striving to bring about positive changes in US legislation.

Coinbase recently launched a media campaign urging individuals interested in crypto to use their platform to contact their congressional representatives and express the need for regulatory clarity. By mobilizing the crypto community, Coinbase aims to make their voices heard and create an environment conducive to innovation and growth.

In mid-August, Coinbase established the Stand with Crypto Alliance, an independent nonprofit organization dedicated to promoting the interests of the crypto community. The alliance aims to garner support for legislation that would establish a comprehensive regulatory framework for digital assets in the US.

Furthermore, earlier this year, Coinbase filed a lawsuit against the Securities and Exchange Commission (SEC) to compel the agency to provide clear regulations for the cryptocurrency industry. The lawsuit highlights Coinbase’s commitment to advocating for fair and transparent rules that foster innovation while protecting investors.

Despite its efforts to push for regulatory clarity, Coinbase has faced scrutiny. In June, the SEC sued Coinbase, alleging that the platform was operating as an unregistered securities exchange, broker, and clearing agency. This legal dispute underscores the challenges that crypto companies like Coinbase face in navigating the evolving regulatory landscape.

In conclusion, as Base, Coinbase’s layer-2 network, surpasses Solana in total value locked, it exemplifies the growing prominence and adoption of layer-2 solutions in the blockchain industry. Base’s success can be attributed to its ability to attract major projects like Aerodrome Finance and Friend.tech, as well as its seamless integration with multinetwork decentralized finance platforms. Furthermore, Coinbase’s proactive efforts to push for regulatory clarity demonstrate the exchange’s commitment to promoting a transparent and well-regulated crypto ecosystem in the United States. Despite the legal challenges faced, Coinbase remains steadfast in its mission to drive positive changes in the industry.

We will continue to update Phone&Auto; if you have any questions or suggestions, please contact us!