Base Surpasses $8B TVL, Establishes itself as Second-Largest Ethereum Scaler
Summary:
Ethereum layer-2 network Base has seen its total value locked (TVL) exceed $8 billion shortly after surpassing Optimism’s OP Mainnet. Now the second-largest Ethereum scaler, Base reported a record $16.9 million in on-chain profits in March. Despite a 58.6% decrease in May, it still sits ahead of its closest competitor, OP Mainnet. The network's success is largely due to the recent surge in meme-coins, though this has also led to a marked increase in scams on the platform. Analysts predict Ethereum layer-2 networks could collectively reach a market cap of $1 trillion by 2023.
Ethereum layer-2 protocol Base has outpaced $8 billion in total value locked (TVL), mere days after it topped Optimism’s OP Mainnet. Information from L2Beat as of June 10 specifies the network’s TVL as $8.05 billion, which consists of $2.14 billion in canonically bridged assets that have been locked up on Ethereum for representation on Base and $5.92 billion in assets minted natively on Base. Last week, Base overtook OP Mainnet to emerge as the highest chain within the Superchain ecosystem and has now elevated itself to the position of the second-largest Ethereum scaler concerning TVL. It lags only behind Arbitrum One’s $18.27 billion. Base reached the milestone of $1 billion TVL on February 27, around seven months from its inauguration in August, and has subsequently surged dramatically, amplifying eight times in less than 105 days. Moreover, Base has dominated all other Ethereum layer-2s concerning transactions per second over the last month with a figure of 30.36 transactions per second, outclassing Arbitrum One’s 23.52. The protocol has handled over 64.86 million transactions in the past 30 days. In terms of on-chain profits in the past quarter, Base takes the lead. The network, backed by Coinbase, broke records in March with $16.9 million in gains, according to niftytable’s Dune Analytics panel. Even though its on-chain profits fell by 58.6% in May, they still clocked in at a commendable $6.98 million, overshadowing the earnings of OP Mainnet, the second most profitable Ethereum layer-2, which posted $1.57 million in profits. These profits are mainly driven by the recent frenzy around meme-cryptocurrencies in the initial months of 2024. However, this soaring popularity with meme-coins has also led to scams on the network, with reports showing an 18-fold increase in phished funds from January to March. According to VanEck asset manager's analysts, Ethereum layer-2 scaling networks are predicted to hit a combined market capitalization of $1 trillion by 2023.
Published At
6/10/2024 7:42:21 AM
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