Base Highlights In Its First Month

Introduction

Base has been live for about a month now and is already making waves in the blockchain community.The launch of Base is more than just a technological advancement for Coinbase; it's a strategic business move. The company aims to generate revenue not only from transaction fees on its own blockchain but also from applications developed on top of it. This dual revenue stream could make Coinbase's already popular stock even more attractive to investors. Coinbase CEO Brian Armstrong had foreseen the potential of dapps back in 2016. He envisioned that dapps would be integral to the company's growth, aiming to reach one billion users.

It's been about a month since Base officially went live, and the platform is already showing impressive numbers. With nearly $200 million in Total Value Locked and having over 1 million users, Base is quickly becoming the spot for on-chain users. In this article, we'll highlight Base’s milestones since its launch.

A rocky start

Base caught attention with the meme coin Bald, named after Coinbase's CEO. It grew to a market cap of over 90 million, mainly from the creator's 40 million in initial liquidity. The bald deployer later rugged the project after gaining over 3000 Eth. This wasn't the best start for Base, as the initial users were scared from the large rug. After the rug and in coordination with the official launch, Base has rolled out a series of grants for builders and creators. Coinbase has structured these grants in four distinct stages:

1. Onchain Summer (August 9 - 21): Participants can create art, websites, or other projects.
2. Build on Base (August 12 - 26): Opportunities to deploy protocols, build infrastructure, or create new applications.
3. Stand with Crypto (August 14 - 27): Creators can make a one-minute video advocating for crypto or sharing a crypto story.
4. Based Accounts (August 16 - September 16): Enhance user experiences on Base using account abstraction.

The grants are part of a partnership with Prop House and aim to incentivize the Base ecosystem.

The Growth of Base

Base has been live for just a month and its growth is turning heads. It's the fastest-growing blockchain in the last 30 days, boasting over a million users. This rapid ascent has outshone new Layer 2 competitors like Linea and Mantle. In this space, Base, Linea, and Mantle Network stand out as the new Layer 2 solutions. Base, nurtured by Coinbase and built on the Optimism Stack. Linea, a brainchild of Consensys, is distinguished by its use zk-rollups. Meanwhile, Mantle Network introduces a modular design, highlighted by its unique Proof of Transfer (PoT) consensus mechanism.

A CoinGecko study adds context to Base's impressive growth. It shows that Layer 2 networks are reaching a million users more quickly than ever. For example, Optimism took 191 days to hit this milestone, and Arbitrum needed 303 days. Base did it in just 11 days. This surge in users has made Base a top choice for NFT transfers. It even briefly surpassed Optimism and Arbitrum in daily transactions.

So, what's the takeaway? Base reached a million users in 11 days, became a go-to for NFT transfers almost immediately, and even outdid established networks in daily transactions.

In the current market of all Layer 2’s the clear winner seems to be Base. Even though Base does not have their own native token they have a unique application on Base. Friendtech has captured most of the attention on base. Friend.tech is a crypto social finance network that launched on Base. Users on friend.tech must buy shares of another person in order to chat with them. Users sign up on friend.tech using their Twitter accounts. Most Layer 2’s do not have a unique application that is driving traction, most of them are just reusing the old applications on Ethereum. Till an actual bull run starts or unless they get a unique application Linea and Mantle will remain behind Base.

The Future for Base

Base and Optimism have entered into a strategic partnership. This partnership is centered around shared governance and revenue-sharing. One of the key features is a two-of-two multisignature wallet that will be used for managing upgrades. This means that both Base and Optimism must agree on any changes, ensuring a balanced approach to decision-making.

In terms of financials, Base will contribute either 2.5% of its revenue or 15% of its profits to the Optimism Collective. In exchange, Base will receive a significant number of OP Tokens, which will allow it to have a say in Optimism's governance. As more chains become part of what is being termed the "Superchain," governance will shift to a security council that includes representatives from all the chains involved.

Base also has plans to move from its current state, known as "stage 0," to a more decentralized "stage 2" in layer 2 decentralization. The team aims to improve the scalability of existing Optimism clients and even introduce a new client named "op-reth." Additionally, Base will eventually hand over the keys for upgrades to an Optimism security council, furthering its commitment to decentralization.

Coinbase, for its part, has pledged to remain neutral in the Base network. It won't manipulate transactions or use any non-public information to its advantage. This neutrality is part of a broader commitment to prevent Base from becoming too centralized.

The long-term implications of this partnership are significant for Base. Aligning with Optimism not only provides technical benefits but also strengthens its commitment to a decentralized future. The revenue-sharing model adds financial sustainability, benefiting both Base and the broader ecosystem. The partnership also ensures that Base will be part of a larger, more robust network, which is crucial as it aims to become more decentralized. Overall, this collaboration sets a strong precedent for shared governance and makes Base more resilient and adaptable, positioning it as a serious player in the rapidly evolving Layer 2 blockchain space.

Final Thoughts

In just a month since its launch, Base has become a force to reckon with in the blockchain community. From its initial hiccups with the meme coin Bald to its rapid user growth and strategic partnership with Optimism, Base has shown resilience and adaptability. Its unique application, Friendtech, has set it apart from other Layer 2 solutions, driving significant user engagement.

The partnership with Optimism is a game-changer, not just for Base but for the broader blockchain ecosystem. It establishes a model for shared governance and revenue, making both networks more robust and sustainable. Coinbase's commitment to neutrality adds another layer of trust, ensuring that Base remains decentralized.

As Base continues to evolve, its focus on decentralization, shared governance, and unique applications positions it well for long-term success. The platform has already achieved remarkable milestones, and its strategic moves indicate a promising future. In the fast-paced world of blockchain, Base stands out as a project with both vision and the capability to execute it.