- The new platform is touted as key in opening up Ethereum for decentralized apps (dApps) developers.
- Base has been praised as a vote of confidence for proof of stake network, while others think it could attract the scrutiny of the regulators.
Cryptocurrency exchange Coinbase has announced a test launch of an Ethereum Layer 2 network aimed at supporting the deployment of decentralized applications and onboarding billions of users. Dubbed Base, the L2 also seeks to connect to other L2s and L1s ecosystems like Solana.
‘‘Today, we’re excited to announce the testnet launch of Base, an Ethereum Layer 2 (L2) network offering a secure, low-cost, developer-friendly way for anyone, anywhere, to build decentralized applications on-chain,’’ Coinbase wrote on Feb. 23. ‘‘Our goal with Base is to make on-chain the next online and onboard 1B+ users into the crypto-economy.’’
Coinbase plans to leverage its vast platform of more than 110 million verified users to open access to $80 billion worth of assets in the ecosystem. Base would be fully decentralized, open source, and powered by Optimism OP Stack. The developers, however, noted that they would not be offering a new token on the L2.
See Related: Application Layer Protocols
Technical Problems At Launch
The launch of Base was not all smooth, with some quotas reporting technical challenges in accessing the L2. One user, @0xfoobar, posted EtherScan screenshots showing transactions appearing to have been reversed. According to Coinbase developers, the technical problems emanated from Coinbase’s wallets, which inaccurately calculated gas fees for completing the users’ transactions.
Despite the teething problems, Base has been lauded across the crypto community. Some users termed it a demonstration of confidence in the Ethereum network that could open the way for onboarding other companies. On his Twitter page, Bankless Show host Ryan Sean Adams wrote: ‘‘They choose Ethereum instead of launching their L2. This is a massive vote of confidence for Ethereum. (It) sets the precedence other crypto companies could follow, then fintech, then banks. Eventually, the world will use Ethereum as a settlement and property rights system.’’ Other crypto community members, including Delphi Labs’ Gabriel Shapiro, opined that the new platform could open more stringent regulations.
