In a remarkable turn of events, Coinbase’s layer-2 network, Base, has surged ahead of Solana (SOL) in the total value locked (TVL) race. Base’s meteoric rise in TVL, reaching an impressive $397.32 million since its August launch, has outpaced Solana’s TVL of $358.96 million, as reported by DefiLlama.
Base has experienced explosive growth over the past month, boasting a staggering 97.21% increase in TVL. In contrast, Solana has seen a decline of 9.64% in its TVL during the same period, reflecting a shifting landscape in the world of decentralized finance.
The lion’s share of Base’s TVL is attributed to two prominent projects. The decentralized exchange Aerodrome Finance leads the pack with a TVL of $97.83 million, while the decentralized social media platform Friend.tech secures the second spot with a TVL of $36.53 million.
Aerodrome Finance, launched on August 28, entices users with the opportunity to deposit liquidity and earn its native AERO tokens, among other features. Despite a slow start, the project’s TVL experienced an astounding $150 million influx on August 31, albeit subsequently dropping by approximately 51% as initial excitement waned.
Friend.tech’s Dramatic Surge
Friend.tech, launched on August 11, empowers users to tokenize their social networks through the trading of “Keys.” Despite facing challenges in late August, the platform underwent a remarkable resurgence in September. DefiLlama reports a staggering 540% increase in Friend.tech’s TVL over the past month, largely fueled by a pump that commenced on September 9 alongside a resurgence in daily trading volume.
Beyond the standout projects, Base’s TVL receives substantial contributions from multinetwork decentralized finance platforms like Compound, Curve, and Uniswap. This diversification underscores the platform’s appeal and its role as a burgeoning force in the DeFi space.
Base recently achieved a significant milestone, recording a peak of 1.88 million daily transactions on September 14. This achievement places Base ahead of rival chains like Optimism and Arbitrum, which collectively managed nearly 880,000 transactions on the same day. Although daily transactions have since declined to around 908,000, the all-time high record stands as a testament to Base’s growing influence.
Coinbase Advocates for Regulatory Clarity
In recent times, Coinbase has intensified its efforts to drive positive changes in U.S. cryptocurrency legislation. The exchange initiated a new media campaign, encouraging individuals interested in crypto to engage with their congressional representatives through the platform, emphasizing the importance of regulatory clarity in the crypto sector.
In August, Coinbase launched the Stand with Crypto Alliance, an independent nonprofit organization dedicated to mobilizing support for legislation aimed at establishing a regulatory framework for digital assets in the United States. Earlier in the year, Coinbase filed a lawsuit against the SEC, seeking to compel the agency to create clear regulations for the cryptocurrency industry.
Despite these proactive moves toward regulatory clarity, Coinbase has faced its own regulatory challenges, including a lawsuit from the SEC accusing the platform of operating as an unregistered securities exchange, broker, and clearing agency in June. The exchange continues to navigate a complex regulatory landscape as it pushes for comprehensive guidelines within the crypto space.
