Steady Progress: Base Network's Total Value Hits $735M Amid User Growth and Developing Challenges
Summary:
Despite mild slowdowns, Coinbase's project, Base Network, shows steady growth, with its total value locked reaching $735 million, a 4% increase in the past week. The user engagement and daily active users have consistently risen, and its daily Ethereum trading volume has dramatically increased since its launch in August 2023. Even with hurdles like scam tokens and an outage, Base Network continues to grow, acknowledging the persistent interest and future potential of the platform.
Coinbase's project, Base Network, continues to grow steadily albeit at a reduced pace since its initial acceleration. As per the most recent figures from L2Beat, Base Network holds close to $735 million in total value (TVL), exhibiting a 4% rise in the past week. Based on the records, since its formal release in August 2023, Base Network's TVL, which represents the amassed funds within the network, climbed up from $592 million by the end of November, surpassing the $600 million mark. Concurrently, user interaction on Base has been consistently soaring, recording more than 2.5 million cumulative users by the first of November and crossing the 3 million border by December 22, according to data from DUNE analytics. The increasing number of daily active users attests to the burgeoning community, and had a significant leap from its launch to over 70,000 users throughout the majority of November and December. The daily trade volume of Ethereum within the network dramatically spiked from 1 ETH to 36,942 ETH in November, and nearly doubling to 79,354 ETH by December. Base Network, which operates on the Optimistic Rollup network, hosts several decentralised applications. Currently, the network accomplishes a daily transaction speed (TPS) of almost 3.45, fulfilling over 6.97 million transactions in the past 30 days. Base Network encountered various obstacles during this period, including scam tokens and a significant service interruption. Base Network experienced a 43-minute outage on September 5, nearly a month after it came online. Compared to its competitors, Base Network exhibits considerable growth as it races against industry frontrunners like Arbitrum One that holds a TVL of $8.70 billion, and OP Mainnet, with a TVL of $5.73 billion. Although the network's expansion progress is stabilizing, the ebb and flow of its total locked value might be attributed to its recent unveiling, limited range of available DeFi protocols, and initial difficulties with scam tokens. Nonetheless, the rapid growth in users and transactions and its daily volume, points to a persistent interest and future potential for Base Network. Magazine: Real AI & crypto use cases, Issue 4: Addressing AI fakes with blockchain.
Published At
12/24/2023 11:32:20 AM
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