The Base Network, an Ethereum layer 2 blockchain, backed by Coinbase exchange, has hit a new milestone, recording over 2 million daily active addresses.
This remarkable growth puts Base above other Layer 2 solutions like Arbitrum and Optimism, currently hovering around 600,000 daily users.
Why is Base Growing Rapidly?
Rumors of a potential token airdrop may have fueled the Base Network’s recent growth surge. This speculation stems from similar moves by other layer 2 blockchains, such as Arbitrum and Optimism, which previously airdropped tokens to users who transacted on their networks. Despite lacking official confirmation, this has driven interest and attracted new users.
The introduction of cbBTC, a wrapped Bitcoin token on the Base Network, may have also contributed to the chain’s recent growth surge. cbBTC brought fresh capital to the network, increasing liquidity and trading activity.
Additionally, it attracted Bitcoin investors, expanding the Base Network’s user base and enabling Bitcoin holders to participate in its ecosystem.
While airdrops and cbBTC may have contributed to the surge, blockchain analytic firm IntoTheBlock suggests the primary catalyst behind Base’s explosive growth could be “Basenames.” The feature allows users to create unique, human-readable names for their crypto addresses, similar to Ethereum Name Service (ENS) names.
Base Sees Massive Growth Since Basenames Launch
Name Service has captivated the crypto community with its innovative approach to simplifying complex addresses on the blockchain. By doing so, it has enhanced usability, simplified payments, and provided a more personalized experience. No longer hindered by cumbersome addresses, users can effortlessly send and receive assets, making crypto more intuitive for all.
The launch of Basenames on August 21 sparked a significant increase in daily active addresses on the layer-2 network. Notably, the service attracted widespread adoption, with more than 200,000 Base.eth usernames created one week after launch. Users have continued embracing this new feature resulting in skyrocketed activity in the base network.
The rapid growth of daily active addresses on the Base Network shows its increasing relevance in the decentralized ecosystem. The Base community and developers are eager to see more growth in the chain as they spread more awareness and build features that can incentivize blockchain users.
