The crypto bull run seems to be witnessing a halt in mid way as the selling pressure increases. However, Base which is a blockchain launched by Coinbase Global Inc is making huge sounds with its skyrocketing on-chain activity in the digital assets arena. Data reveals the meme coins are the ones that are taking over the Base.
Coinbase making noise in DeFi space
Data provided by the DefiLlama, Base’s total value locked (TVL) has knocked the $1 billion market in a really short time. The blockchain has recorded a jump of 13% surge in the past 7 days, while, it has surged by 124% over the last 1 month. Its TVL now stands at $1.20 billion with 242 protocols running on it.
It is important to note that Coinbase’s Base is now the 7th biggest chain based on TVL. It has managed to beat Avalanche and Polygon in this race. However, Ethereum is still the biggest chain over this metric with a TVL of more than $50 billion.
Though there is a huge gap between the top and second spot holders, Base might make it to the top 5 tally. Tron is holding the 2nd spot with $9.47 billion despite a drop of 2.7% in the last one month. However, Solana is the other player who is knocking huge gains. Its TVL is up by 83% to stand at $4.83 billion.
What’s behind this surge?
According to reports, traders are flocking to the base to gain exposure to highly speculative meme coins that are mostly unavailable on Coinbase’s exchange. It reveals that ANIME and DEGEN are the most-traded tokens on Base. This shows an increase in enthusiasm for cryptos with high risk trading strategies.
It added that the wallets paying the highest Base transaction fees may belong to trading bots profiting from meme coins. The report mentioned that a Coinbase spokesperson disclosed that it was their mission to make on-chain technology accessible to anyone worldwide. They expect that by offering cheaper on-chain transactions.
Despite any negative attention, Base is reportedly generating an estimated $2 million in daily fees. This directly indicates increased interest and usage. However, the recent software upgrade on Ethereum known as Dencun has contributed to Base’s growth. It has helped them to reduce transaction costs on Layer 2 blockchains. On the market side, meme cryptos had turned out to be the biggest gainers in the first phase of the bull run.