The Coinbase Ethereum layer-2 network Base saw a surge in daily trading volume, hitting a record high of $356 million, marking a 51% increase from Monday, as per DefiLlama data.Â
The network’s total value locked (TVL) also reached an all-time high of $745.3 million. Daily transactions peaked at 1.65 million, with over 129,000 new users joining on Wednesday, according to Dune analytics.
This growth follows the introduction of Dencun earlier this month, boosting Base’s activity to over 1 million transactions on March 17, up from around 440,000 prior to the Ethereum upgrade. Base now outpaces competitors like Arbitrum and Optimism in on-chain activity.
Joe Caselin, BIT’s head of institutional marketing, attributes Base’s surge to Ethereum’s Dencun upgrade, which slashed Layer 2 transaction fees, making Base a cost-effective Ethereum option. Despite a brief spike in average transaction fees to over $1, activity remained robust.
Analysts foresee continued Base growth as Coinbase integrates users into the on-chain economy. Coinbase recently launched a smart wallet, enabling traders to use their exchange balances directly on-chain.
The surge in activity on Coinbase’s Base network highlights the growing demand for cost-effective and efficient solutions in the Ethereum ecosystem.
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