The main topic is the launch of Coinbase's layer-2 blockchain Base's mainnet to the public on August 9. Key points include:
- Base has been operating on the testnet since late February and launched its "builder only phase" in mid-July.
- Users can start bridging their funds onchain to mint NFTs and experience Base.
- Base will kick off its Onchain Summer initiative, partnering with consumer brands like Coca-Cola and Atari.
- Base has seen over $68 million worth of ether bridged to the network and over $200 million in trading volume and transactions.
- The blockchain is partnering with Prop House to offer grants to builders building on Base.
- Onchain activity is growing quickly.
Despite the bear market, Ethereum layer-2 solutions like Optimism, Arbitrum, and Base are thriving, with increased traction and healthy fundamentals, according to analytics firm IntoTheBlock.
Coinbase's new Base blockchain, which operates as a layer-2 network atop Ethereum, has gained significant traction with its application Friend.tech attracting over 100,000 users and generating $25 million in fees, pushing its total value locked past $200 million and its transactions per second above Ethereum and rival layer-2 projects Arbitrum and Optimism.
Base, the Layer 2 scaling solution from Coinbase, has experienced a significant increase in transactions per second (TPS) due to the trend called Friend.tech, according to CEO Brian Armstrong. Base's TPS has exceeded that of Ethereum, with a TPS value up by over 75% in the past week, making it a major L2 protocol to watch out for.
China's economic woes, including deflation, declining exports, and weak domestic consumption, could spell trouble for the crypto market, although the impact may be diminished compared to the past; meanwhile, the decision by NFT marketplaces to no longer enforce creator fees has caused fear and uncertainty in the NFT markets; however, the launch of Friend.tech, a decentralized application integrating tokenomics with social media, has attracted over 100,000 users and demonstrated the demand for a fresh social media experience combined with the allure of quick profits.
The decentralized social network Friend.tech has experienced a significant decline in metrics such as activity, inflows, and volume, leading critics to declare it "dead" less than three weeks after its launch. The platform, which allows users to buy and sell "keys" for private messaging, has seen a drop in daily fees, transactions, buyers, sellers, and inflows, prompting concerns about its future.
The cost of executing transactions on Ethereum's blockchain has reached its lowest point since December, indicating the increasing popularity of scaling solutions such as Friend.tech built on Coinbase's L2 chain, which has contributed to the decline in fees.
Friend.tech, a decentralized social media app, has faced backlash for punishing users who use forks or copycat versions of its platform by forfeiting their existing points, leading to criticism from the crypto community. Additionally, the app has experienced a decline in key metrics following its public launch.
Coinbase's stock experienced a significant surge after a federal judge ruled in favor of Grayscale in their SEC dispute, leading to hopes of a potential Bitcoin ETF and increasing the value of COIN by over 15%.
Coinbase CEO Brian Armstrong shared ten emerging ideas in the cryptocurrency space that excite him, including the creation of a CPI-linked stablecoin, on-chain reputation systems, on-chain advertising, and decentralized labor markets.
Coinbase's layer-2 solution, Base, experienced four security incidents shortly after its launch, resulting in the loss of $15.8 million in cryptocurrencies in August.
Coinbase's layer-2 solution, Base, has become the fastest network to reach 1 million addresses, attracting big brands and generating $3.3 million in profit since its launch.
Coinbase's Ethereum layer-2 network Base experienced its first major outage, lasting for 43 minutes, due to a delay in block production, highlighting the potential risks of using layer-2 networks compared to Ethereum's mainnet.
Coinbase CEO Brian Armstrong discusses the company's base layer 2 blockchain network, interest in flatcoin, and the need for regulatory clarity in the crypto industry, suggesting that the courts, congress, and the CFTC could provide clarity and that there could be a new SEC chair in 2024.
The lack of clear crypto regulations in the US has caused significant issues for the industry, leading to collapses and a weakening of America's position as a financial hub, according to Coinbase CEO Brian Armstrong. He emphasizes the need for clear rules that recognize the innovation potential of the technology while protecting consumers. Armstrong also highlights the potential benefits of Bitcoin exchange-traded funds (ETFs) and Coinbase's role as custodian in many ETF applications.
The decentralized social media platform friend.tech has experienced a significant resurgence in user activity, with its total value locked doubling to over $20 million in the last four days and daily trading volume reaching $12.3 million on September 9th, surpassing that of OpenSea by $3 million. The reasons behind this surge in activity may include the perception of friend.tech chats as yield farms, the addition of non-crypto influencers to the platform, and recent updates that have improved user experience and functionality.
Coinbase CEO Brian Armstrong advocates for decentralized finance (DeFi) protocols and suggests legal action to establish a legal precedent, while MakerDAO's founder believes decentralized stablecoins could dominate the crypto market, and Polygon CEO acknowledges the success of their $1 billion investment in zero-knowledge proof rollups. Additionally, market surveillance firm Solidus Labs reveals that decentralized exchanges have become a hotspot for wash trading, and a DeFi advocacy group petitions to stop a patent troll from targeting DeFi protocols. Despite a mixed week for the top 100 DeFi tokens, the total value locked into DeFi protocols remains above $49 billion.
Coinbase's layer-2 scaling solution Base set a new daily transaction record with over 1.8 million transactions, surpassing the combined total of its rivals Arbitrum and Optimism.
Coinbase's layer 2 blockchain Base has achieved a record-high number of daily transactions driven by the decentralized social network platform Friend.tech, while the sale of tokens held by bankrupt exchange FTX will not cause a market shock due to controlled liquidations, according to Coinbase.
Coinbase's blockchain, Base, has quickly become a major player in the Ethereum-based layer-2 chain space, hosting numerous decentralized projects and seeing a high volume of transactions and new addresses, with the goal of bringing a billion users on-chain within this decade. The company aims to drive mainstream adoption by reducing costs, improving user experience, and developing better identity infrastructure, and believes that blockchain technology is moving from a speculative phase to one focused on utility for everyday people.
Ethereum's Layer-2 networks accounted for the majority of transactions in Q3, driven by the launch of Base and the popularity of Friend.tech, according to Messari's State of Ethereum report, with Base's growth exceeding expectations and highlighting the potential impact of new apps on blockchains. However, the report also notes that interest and enthusiasm in the market remain low due to the bear market.
Ethereum's Layer-2 networks dominated transaction activity in Q3, accounting for 61% of all transactions and driven by the launch of Base and the popularity of the Friend.tech social token platform.
