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- Ethereum Layer 2 network, Base, initiated by Coinbase, has seen a surge in adoption due to the rise of SocialFi (Social Finance) applications and the growth of meme coins on the network.
- Asset manager Franklin Templeton shared the increasing demand for the network, hinting at the possibility of a new season emerging.
- According to IntoTheBlock, Ethereum layer-2 networks are gaining strength with unique user participation and transaction management, with Base standing out with 1.48 million transactions per day.
Base, Ethereum’s Layer 2 network, is experiencing a surge in adoption, driven by the rise of SocialFi applications and meme coins. This article explores the factors contributing to this trend and what it could mean for the future of crypto.
Base’s Rising Popularity
Base, launched by Coinbase, is gaining attention due to the rise of SocialFi applications and the growth of meme coins on the network. Asset manager Franklin Templeton has noted the increasing demand for the network, suggesting that a new season could be on the horizon.
Ethereum Layer-2 Networks Gain Strength
According to IntoTheBlock, Ethereum layer-2 networks are gaining momentum with unique user participation and transaction management. Among these networks, Base stands out, recording 1.48 million transactions per day. The blockchain’s ability to maintain large-scale transactions is a key reason users prefer Base over other layer-2 networks. For instance, the supply of USDC on the network has surpassed $2.5 billion, indicating strong growth.
Role of SocialFi Applications
Reports from sources like Franklin Templeton suggest that the rise of SocialFi applications like Friend.Tech is a key driver of demand for Base. Over 46% of transactions on the network are linked to SocialFi. Friend.Tech, one of the most popular SocialFi applications built on Base, allows users to earn money from their content through “key shares” or “tokenized attention”. The report suggests that Friend.Tech’s contribution to Base’s growth is significant. The platform has helped Coinbase’s L2 network capture about half of the SocialFi market share.
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Conclusion
The rise of Base, Ethereum’s Layer 2 network, is a testament to the growing influence of SocialFi applications and meme coins in the crypto space. As these trends continue, we can expect to see further growth and innovation in this sector.
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