Coinbase’s L2 Base Logs 1.4 Million Transactions Post Recent Outage

Sahana Kiran
Base
Source – CryptoRank

Coinbase’s Ethereum layer-2 network garnered significant attention upon its launch. At the moment, the interest remains progressive, as indicated by the increasing number of transactions processed. Data from IntoTheBlock revealed that Base recently recorded a substantial 1.4 million transactions, closely approaching its previous record of 1.42 million, which was achieved back in August.

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Furthermore, the total count of addresses holding a balance on the Base network has witnessed a remarkable surge, reaching 1.25 million. This represented a notable twofold increase when compared to the preceding month. Along with this, the total value locked into this network hit an all-time high of $387 million.

This increase is rather unexpected, especially in light of recent challenges faced by the network. In early September, the Base chain experienced difficulties, notably encountering a significant outage. During this incident on Sept. 5, the network ceased generating new blocks for a duration of 45 minutes.

Here’s why Base is seeing increased network activity

Coinbase has naturally attracted many of its users to explore the Base network. Additionally, the introduction of friend.tech has brought about a revolutionary shift. Friend.tech’s earnings and fees have previously surpassed those of market leaders such as Uniswap, MakerDAO, and even layer-1 blockchains like Bitcoin and Tron. This application has notably contributed to increased activity on the recently launched Base blockchain as well.

Friend.tech has maintained its status as the most frequently utilized contract in the last 30 days, reinforcing its strong presence in the market. Moreover, there has been a notable increase in token-related activity on the Base network in recent times. Assets like FRIEND, $TRENDME, Totoro, and CHILLI have witnessed a substantial surge in their value. Furthermore, these assets have seen the highest number of purchase transactions.

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Also Read: Friend.tech TVL Surpasses $20 Million: Fee Revenue Rises

Coinbase CEO Brian Armstrong has conveyed his support for decentralized finance, or DeFi. Armstrong encouraged DeFi protocols to contemplate pursuing legal action in court to establish a legal precedent. He emphasized the legal system’s commitment to upholding the rule of law. The CEO pointed out that the current approach is predominantly leading this important industry toward foreign jurisdictions.

As seen in the tweet, he expressed the view that the United States Commodities and Futures Trading Commission [CFTC] should refrain from pursuing enforcement actions against DeFi protocols. He argued that these protocols operate differently from traditional financial service businesses, and there are doubts about whether the Commodity Exchange Act is even relevant to their operations.

Also Read: Coinbase Customers Have a Voice in SEC Lawsuit, Says Deaton