The Rise of Base: A Dominant Player in the Layer 2 Network Space

In the ever-evolving landscape of Layer 2 networks, Base, an Ethereum Layer 2 network incubated by Coinbase, has been making significant strides. Recent data from IntoTheBlock reveals that Base now has nearly 40% more daily active addresses than its competitors, Arbitrum and Optimism combined. This impressive growth signifies Base’s increasing dominance in the Layer 2 space, indicating that it is capturing a larger portion of off-chain transactions within the Ethereum ecosystem.

The Success of “Onchain Summer”

Base’s recent surge in network activity can be attributed to its “Onchain Summer” campaign, designed to promote development on the platform. The initiative, first introduced in 2023 to drive adoption of the layer-2 network, has been a resounding success. During the month-long event, 268,000 wallets minted over 700,000 NFTs, and more than $242 million in crypto was bridged to Base, attracting over 130,000 unique daily users.

Building on the success of the previous year, Base has revived the “Onchain Summer” event for 2024, with the aim of fostering on-chain creativity and encouraging developers to build on the blockchain. With rewards totaling 600 ETH, approximately $2 million, participants have a significant incentive to engage with the platform and contribute to its growth.

Introducing Basenames for Enhanced User Experience

This week, the Base network rolled out “Basenames,” a feature designed to simplify on-chain identities by allowing users to convert complex wallet addresses into readable names. Leveraging the Ethereum Name Service (ENS) infrastructure, Basenames function akin to subdomains, enabling ENS domain owners to create and manage multiple subnames. This innovation is expected to enhance user interaction within the Base ecosystem and streamline the overall experience.

To ensure fairness and prevent bots from monopolizing the name registration process, Basenames will be offered through a Dutch auction. This approach levels the playing field and gives all users an equal opportunity to secure their desired names, promoting inclusivity and equity within the network.

Base’s rapid ascent in the Layer 2 network space is a testament to its innovative approach and commitment to enhancing user experience. With initiatives like “Onchain Summer” and the introduction of Basenames, Base is solidifying its position as a dominant player in the ecosystem and shaping the future of decentralized finance.

Crypto

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