Coinbase's Base: Aiming for User-friendly, Cost-effective Blockchain Revolution
Summary:
Coinbase's new blockchain, Base, has quickly emerged as a major player among Ethereum-based layer-2 chains after its launch in late July. According to Messari’s Mainnet conference, Base now hosts hundreds of decentralized projects. Jesse Pollak, head of protocols at Coinbase, highlighted the company's vision for bringing a billion users on-chain and fostering applications that can significantly enhance people's lives. He identified the need for cost reduction, improved app usability and better on-chain identity infrastructure for mainstream adoption. Pollak also discussed the company's decision to build on the Ethereum blockchain and the significance of DApps such as Blackbird and Friend.tech. He predicted the emergence of multiple 'killer apps' for blockchain.
In late July, Coinbase introduced Base, its innovative blockchain, which swiftly gained relevance among Ethereum-based layer-2 chains. By September 21, Etherscan reported the chain recorded approximately 677,000 transactions and established 870,163 “new addresses." In comparison, the well-regarded layer 2, Arbitrum, that launched in June 2021, registered 925,000 transactions and 54,233 new addresses on the same date. Jesse Pollak, head of protocols at Coinbase, revealed at Messari’s Mainnet conference in New York City that Base currently hosts hundreds of decentralized projects. These extend from decentralized inflation oracles to restaurant rewards initiatives to insurance aggregators and more.
Pollak detailed Coinbase's vision for Base, emphasizing its role in attracting a billion users on-chain and fostering a new generation of applications that have the potential to significantly improve people's lives. He predicted that achieving this target of one million developer jobs could culminate within this decade due to rapid technological advancements.
Before widespread adoption can occur, Pollak identified three critical areas requiring improvement: cost reduction, user-friendly app interaction, and improved on-chain identity infrastructure. Currently, the obstacle to under-collateralized borrowing on-chain in developed countries like the U.S is the lack of reliable identity systems. Pollak recognizes the need to shift from speculation in crypto markets to providing mainstream utility to individuals.
He also explained Coinbase's decision to construct its layer 2 on the Ethereum blockchain. The Ethereum blockchain is the largest crypto ecosystem by value, activity, and developers, making it the obvious choice for Base. He acknowledged Ethereum's scalability issues, such as network congestion and spiking fees, and expressed optimism about the evolution of blockchain technology and the increased speed of transactions on layer-2 projects.
Pollak spoke of the early success of a social media decentralized application (DApp) called Friend.tech that launched on Base. Despite some critics desiring more serious use cases, Pollak underscored the inherent value of social apps in connecting people on-chain. One particularly intriguing DApp launched on Base, according to Pollak, is Blackbird, a customer engagement tool for restaurants currently operating in select New York locations and soon in California.
In terms of identifying a "killer app" for blockchain akin to what email did for the internet, Pollak anticipated the emergence of multiple such applications. He pointed towards the growing adoption of stablecoins and predicted they would be significant contributors to economic freedom in the coming decade. He also expressed optimism about the potential of various on-chain applications to enrich people's lives.
Published At
9/26/2023 1:01:00 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.