WHAT IS BASE? 🔵 x 🔴

🔵 The Coinbase team’s Layer 2 chain, BASE, which was just introduced as an Ethereum scaling solution, is similar to other Layer 2 networks. Nonetheless, the BASE is a distinct chain that grows in parallel to Ethereum while also acquiring its strong network security, creating a low-cost ecosystem that can accommodate new users enables Ethereum expansion.

Layer 2 (L2) is a collective term to describe a specific set of Ethereum scaling solutions. A layer 2 is a separate blockchain that extends Ethereum and inherits the security guarantees of Ethereum.

The BASE is built on Optimism’s open-source OP-STACK, which is a standardized, shared, and open-source stack powering Optimism and is maintained by the Optimism Collective.

Building on the OP-STACK further means that the BASE is focusing its technology around Optimistic Roll-ups, which, in short, execute their transactions outside of the Ethereum Blockchain but, on the contrary, post transaction data on the Ethereum Mainnet.

These types of Roll-ups are considered Optimistic because they assume that the transactions posted to the Ethereum Mainnet are valid. In the case where the transactions are not calculated accordingly, Optimism relies on its fraud-proving scheme.

WEN $BASE = NO $BASE!!!

BASE will utilize Ethereum (gwei) as gas for handling transactions on its network, which further complements the utility and scaling of Ethereum. Why have a token when you don’t need one in the first place?

Benefits of Base

• The vast user base of Coinbase, which already has over 100 million members globally, will get access to the blockchain economy through BASE Blockchain, which also includes around an 80billion in liquidity from the Coinbase ecosystem.
• BASE will work closely with the regulators to get the common sense framework for crypto regulations worldwide while investing in the underlying technology that powers the blockchain economy!
• Developers using BASE may considerably reduce the time it takes for transactions to be validated on the Ethereum network. This can have a big effect on real-time, time-sensitive applications like trading platforms and gaming apps.
• BASE can also cut the cost of using Ethereum by lowering gas prices, which have recently been a major source of frustration for many users and developers. This can improve accessibility for a range of users and use situations.
• And last, BASE can help Ethereum scale so that it can accommodate many more users and applications. As Ethereum continues to expand and draw more attention from developers and companies, this is a crucial problem for the platform.

Use cases

There are many potential use cases for Base, ranging from DeFi applications like decentralized exchanges and lending protocols to NFT marketplaces, gaming platforms, supply chain management, digital banks, and more. These applications require fast, low-cost transactions to provide a seamless user experience, and Base can help make that possible.

• Decentralized Finance (DeFi) platform that uses Base could allow users to quickly and cheaply trade cryptocurrencies, lend and borrow funds, or stake tokens to earn rewards.
• A Gaming platform that uses Base could enable players to purchase in-game items or assets with low fees and fast confirmation times, making the experience more engaging and immersive.
• Supply Chain Management a more secure and effective supply chain management system may be provided by BASE blockchain technology. Companies may assure transparency and confidence in their supply chain while lowering the risk of fraud and mistakes by adopting Layer 2 solutions to track items and shipments.
• Identity Management, by enhancing identity management and authentication systems with BASE blockchain technology, identities may be verified more securely and quickly. Lowering the risk of fraud and identity theft can help various businesses, including banking, healthcare, and government services.
• Cross-border Payments by removing middlemen, speeding up transactions, and cutting transaction costs, blockchain technology, may be utilized to simplify cross-border payments. Banks may provide their consumers quicker and more affordable services by utilizing blockchain-based cross-border payment solutions.

And much more…

Build your next use-case on BASE test-net! (For Devs)

If you’re a developer who wants to start building on Base, you can do so by following the developer documentation guides here!

Conclusion

What does this actually provide to us, and why is it so crucial for our space? Yes, it’s straightforward and can be summed up in one word: ADOPTION!

Coinbase will leverage the BASE to scale the Ethereum ecosystem and the blockchain economy while introducing its vast user base to decentralized primitives.

Coinbase has demonstrated to us with a BASE that it is more than simply an exchange, and as per the Coinbase CEO, “it was never intended to be just an exchange.” Coinbase is a getaway to the web3 that now entirely focuses on building the new on-chain economy.

However, the testnet’s debut and the onboarding procedures for its users to move into the newly created decentralized blockchain economy are just the beginning.