Base Flips Optimism (OP) as Biggest L2 in OP Stack

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As a researcher with experience in the blockchain and DeFi space, I’ve been closely monitoring the developments of various layer-2 scaling solutions. The recent surge in growth for Coinbase exchange’s Base protocol has piqued my interest, especially when compared to its peer Optimism.

As a crypto investor, I’m thrilled to see the impressive growth of Coinbase Exchange’s layer-2 scaling solution, Base. Based on data from DeFiLlama, the Total Value Locked (TVL) for Base has reached an all-time high (ATH) of $1.784 billion. This milestone was surpassed just a few months ago in March, when the TVL crossed the $1 billion mark.

Base-Optimism flip

Compared to Optimism, Base is a more recent protocol in terms of age. Yet, its entry into the scene was marked by a clear and focused approach that has allowed it to maintain a competitive growth rate.

As a crypto investor, I’ve noticed that Optimism has reached an all-time high TVL (Total Value Locked) of $1.78 billion. However, it has only accumulated $878.62 million so far. Despite the fact that Base was built using the OP Stack, these two layer-2 protocols are following drastically different adoption trajectories at present.

In the largest decentralized finance (DeFi) ecosystems, known as “Base” and “Optimism,” Aerodrome is the most significant application with a TVL, or total value locked, exceeding $712 million on Base. This protocol can also be found on Optimism, but it holds only $147.01 million in TVL there. Additionally, Uniswap, another intersecting top-five application for both ecosystems, has a TVL of $314 million on Base and $73.97 million on Optimism.

The OP Stack platform encompasses a larger scope than just Base and Optimism within its ecosystem. It houses various Decentralized Finance (DeFi), gaming, and media projects, which have been developed utilizing the underlying technology. Notable examples include opBNB, Farcaster, and Zora Network, among others.

Based on the most recent information available, I find that all the aforementioned protocols have experienced significant advancements during the last twelve months. However, among them, Base stands out as the frontrunner.

OP Stack and growth hurdles

Although Base has experienced expansion and gained popularity, it continues to encounter strong opposition from detractors. The primary source of contention revolves around the rise of meme coins that quickly lose value.

Network congestion on Base activities has frequently caused disruptions to the Coinbase system as a whole. The OP Stack ecosystem, which includes Sonne Finance’s $20 million exploit among its recent attacks, is also prone to such incidents.

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2024-06-07 13:14