Occupying half of Layer2, what opportunities does Base and its ecosystem have for making money?

For the développement of Layer 2, for quite a long time, everyone has focused on the competition between the two major technical routes of Optimistic Rollup (Op series) and Zero Knowledge Rollup (Zk series). Based on the technical advantages, the market has selected four leading Layer 2s, namely: Arbitrum, Optimism, Starknet and zkSync. With the launch of the mainnet of the Four Heavenly Kings of Layer 2, the circulation of tokens, and the data on the chain are very different. Looking at the development of Base, in just over a year, it has occupied half of the transactions on the Ethereum Layer 2 chain. So, why is Base developing so rapidly? What leading projects in the Base ecosystem are worth paying attention to?

Occupying half of Layer 2, why is Base developing so rapidly?

Since late July, the daily transaction volume of the Base network has soared to a peak of more than 4 million transactions several times. On July 27, the Base network set a record high with 4.432 million daily transactions. During the same period, Arbitrum had about 1.8 million daily transactions, Op Mainnet had only 470,000 transactions, and the daily transaction volume of the Ethereum mainnet remained at around 1.1 million transactions for most of this year. According to Defillama data, as of September 24, Bases transaction volume hit a new peak of 4.44 million transactions. From its birth to now, it has only been more than a year. Why has it developed so rapidly?

Judging from the trend of TVL and user activity data changes, the Base network has started to grow explosively since it adopted the new Blob data format upgraded in Cancun in mid-March this year.

Judging from the data, the growth of Base is closely related to the Ethereum Cancun upgrade. The logic behind this is that the Ethereum Cancun upgrade significantly reduced the transaction fees of Layer 2 transactions, which greatly improved its performance and is now comparable to many public chains.

But why are the transaction volumes of other mainstream Layer 2s so average? What are the other reasons for the sharp increase in transaction volume on the Base chain?

Some popular products on Base have also successfully boosted the transaction volume on Base. Why do some high-quality products and projects appear on Base? Base will regularly launch some ecological incentive activities Onchain Summer. The first phase of the activity was launched when the Base network was launched in August last year. The once popular social application Friend Tech broke out during this period. This years Onchain Summer event lasted for 3 months (June-August): the first month was mainly ecological hackathon (Buildation) activities to attract developers; the next two months were mainly to attract users and grow. Bases Onchain Summer provides participating builders, users, etc. with more than 600 ETH prizes, grants and points worth more than 2 million US dollars. According to official information, the event attracted more than 7,500 developers, submitted more than 1,250 projects, and won about 80 projects. The products covered payment, social, games, creator tools, etc.

Behind Base is Coinbase, which not only provides generous bonuses, but also provides user resources and extensive financial resources as the first listed cryptocurrency exchange in the United States. According to the official introduction, Base is closely integrated with Coinbases existing servglaces. Users can access Base through the Coinbase platform and enjoy richer DeFi and Web3 applications. Overall, the support provided by Coinbase for Base is indeed rare in the crypto market, which is also what developers value more.

What are the projects worth paying attention to in the Base ecosystem?

There are already some leading projects in the Base ecosystem. In addition, a number of noteworthy projects have emerged in Bases Onchain Summer event recently. According to official information, this hackathon attracted more than 7,500 builders to participate, and they jointly submitted more than 1,250 innovative projects. In the end, 82 projects stood out after fierce competition. Due to the large scale, the prize pool was expanded from 200 ETH to 250 ETH.

Farcaster

Farcaster is a decentralized social network protocol. Farcasters two founders, Dan and Varun, have both held important positions at Coinbase and have rich resources in the crypto market. In the early testing phase, founder Dan used his personal influence and connections to invite many well-known OGs, including Vitalik Buterin, to join. Farcaster founder Dan also developed a Warpcast application based on the Farcaster protocol, which currently accounts for 90% of the Farcaster protocol traffic. The overall architecture of Warpcast is similar to the traditional Web2 social software Twitter. Users can post tweets (casts), comment, forward, and follow other users. In addition to social media functions similar to Twitter, Warpcast also introduced functions such as channels and actions, which have led to more ways of interaction. At its peak in July this year, Farcaster had more than 100,000 daily active users, and even now it still maintains 70,000 daily active users. In May this year, Farcasters developer Merkle Manufactory announced that it had completed a new round of financing, led by Paradigm, totaling US$150 million, raising the entreprises valuation to US$1 billion.

BasedCoffee

BasedCoffee is a Farcaster native application for crowdfunding and social activities, helping creators and builders on Farcaster to easily obtain financial support from fans and users. Creators can use it alone or integrate BasedCoffee into the existing Farcaster framework.

Base Jeton Store

Base Token Store supports a one-stop shop to add a shopping cart to purchase any token on Base. Users only need to use the password to start the smart wallet, add the token to the shopping cart, and then check out with the Coinbase balance. Base Token Store developers are currently using CoinGecko to extract meme tokens on Base and are still experimenting with token display methods.

Zap by Paycrest

Zap by Paycrest allows users to seamlessly convert their stablecoin (USDC) into local fiat currency for common purchases and payments. This hackathon focuses on the Nigerian Naira (NGN). Zap works as follows: users create orders through the Zap interface, the Paycrest protocol aggregator indexes the orders and assigns them to one or more supply nodes run by liquidity providers, and the supply nodes automatically pay the funds to the recipients local bank account or mobile wallet through a connection with a payment service provider (PSP).

Far-Reach

Far-Reach is a marché designed for Shopify merchants, Farcaster influencers (Far-Reachers) and users (shoppers) to connect Shopify merchants with the Farcaster ecosystem. Merchants can select products from the catalog, create marketing or sales campaigns, set rules, and Far-Reachers can register for the latest campaigns, deploy sales frameworks directly from the app, and earn sales commissions. Shoppers can buy more products on Farcaster and receive loyalty badges directly in their wallets after completing their purchases.

GamerBoom

GamerBoom is an incentive layer built on top of mainstream traditional Web2 games, enabling gamers to seamlessly explore and enter the Web3 world. GamerBoom has developed a gamified overlay application that integrates with the UI of mainstream Web2 games such as League of Legends, and also introduced a joint curve mechanism to facilitate the tokenization and financialization of gamers intangible assets.

Intelligent

Intelligent is a growth platform designed for brands and creators, helping to track activity across the Farcaster ecosystem, understand detailed engagement metrics, and manage loyal audiences and subscribers. Intelligent is also a P2P rewards and engagement enhancement tool.

JOJO Exchange

JOJO Exchange was developed by DODO co-founder Radar Bear and is currently the perpetual contract exchange ranked first in terms of transaction volume on the Base chain.

Résumer

There are many reasons behind the rapid development of Base. From a technical perspective, it mainly benefits from the Ethereum Cancun upgrade. After the Cancun upgrade, the handling fees on Layer 2 have been greatly reduced, and the cost for developers is not high. In addition, the ease of use of Base has also greatly reduced the threshold for developers. In addition to technical advantages, Base is closely integrated with Coinbases existing services, providing a very large user base for developers. Coupled with the generous rewards, developers flocked to it, which also made its application innovation ability very strong at present. Although there is no breakthrough application, it has attracted a large number of users. The author predicts that although there are currently a large number of user transactions on Base, they may mainly be wool-pulling users. How to precipitate them is still an area that needs to be explored.

Lien d'origine

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