Aerodrome, a decentralized exchange, was instrumental in helping Coinbase’s Base Layer 2 network cross $1 billion in Total Value Locked (TVL), marking an enormous milestone for the network.
The spike in TVL suggests that the cryptocurrency community is becoming more and more interested in and using Base. As per the latest DeFiLlama data, the total value locked on the Base Network stands at $1.062 billion as of writing. The spike in TVL suggests that the cryptocurrency community is becoming more and more interested in and using Base.
Coinbase’s Base Network is an Ethereum Layer 2 blockchain created by Coinbase Global, a leading cryptocurrency exchange. It made its public debut on August 9, 2023, as the inaugural blockchain launch by a publicly traded company, marking a notable milestone.
Photo: DefiLlama
Aerodrome’s Massive Contribution to Base’s TVL
Base’s TVL has been helped by Aerodrome, which has added $510.3 million, which is almost half of the network’s total value. Increased user action and a rise in the value of Aerodrome’s native token, Aero, serve as the reason for this substantial rise in TVL. In early February, Aerodrome’s TVL stood at only $125 million.
The team at Velodrome Finance, a decentralized exchange on OP Mainnet, strategically added Aerodrome to Base. Since it started in September 2023, this split form of Aerodrome has made it easier for a lot of swaps to happen on the Base network.
Aerodrome has done well on the Base network thanks in part to Velodrome Finance’s plan to use decentralized finance rewards and vote-escrowed governance.
Base’s Rise in the Layer 2 Blockchain Ranking
Based on TVL, Coinbase’s Base Layer 2 network has quickly become the fourth most valuable Layer 2 blockchain since its mainnet start in early August 2023. It is now ranked fourth, behind Arbitrum, Optimism, and Blast. The network’s TVL has risen to over $1 billion, which shows that it is on a strong growth path.
The recent rise in Base’s TVL is also partly due to the Dencun upgrade, which ushered in plenty of additional daily users and transactions. The update made the network simpler and quicker to use, which made users and devs become more invested in it.
Base’s security features, such as the ability to ban wallets or halt certain transactions, are among its biggest selling points. This functionality was illustrated during the recent Munchables breach, where Base’s sequencer-level L2 filtering helped avert a $60 million loss.
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