TL;DR
- Trading Surge: Coinbase’s Layer 2 protocol, Base, has seen a record-breaking $1.2 billion in daily trading volume, largely driven by Uniswap and a meme coin frenzy.
- User Growth & Asset Increase: Base’s daily active users have exceeded 200,000, and the total value of assets on the platform has doubled to over $3 billion, with a notable rise in stablecoin holdings.
- Security Concerns: Despite Base’s growth, phishing scams have spiked, with $3.35 million lost in March alone, highlighting the need for improved security and user education in cryptocurrency handling.
Coinbase’s Layer 2 protocol, Base, has achieved a significant milestone by surpassing $1 billion in daily trading volume. This surge in trading volume is led by Uniswap’s dominance and is driven by a meme coin frenzy and network upgrades.
Data from Dune Analytics shows that Base’s decentralized exchange (DEX) volume surged to $1.2 billion on March 30, marking a substantial 25% increase from the previous day’s total volume of $959.63 million. Uniswap holds more than 64% of the total volume, while Aerodrome Finance trails behind with 9.7%.
The recent boom in cryptocurrency trading on Base coincides with a significant increase in daily active users (DAU), now surpassing 200,000. This surge in activity is largely due to the popularity of meme coins, which has led to increased network fees, despite the recent Dencun upgrade aimed at optimizing the platform’s performance.
Over the last month, the total value of assets stored on the Base platform has skyrocketed to over $3 billion, double its previous value. Token Terminal, a blockchain analytics firm, has reported a remarkable increase in the number of stablecoins, such as USDC, held on Base, which is approaching $1 billion.
The Dark Side of BASE’s Growth: Phishing Scams Surge
While Base has grown rapidly, it has also faced significant challenges. Phishing scams have become a major issue, with a staggering 1,900% surge in stolen cryptocurrency from January to March. Data from Scam Sniffer reveals that Base users lost around $3.35 million to phishing alone in March.
This rise in phishing attacks on Base coincides with the platform’s meteoric growth, largely attributed to the recent craze surrounding memecoins like Brett (BRETT) and Degen (DEGEN). The hype surrounding these tokens has helped push Base’s total value locked (TVL) above $3.2 billion.
Even though there has been a concerning rise in phishing scams, the total amount of stolen cryptocurrency has decreased significantly by 48%. In March, it reached $187.2 million, which includes the $98.8 million that was successfully retrieved during that period.
With the recent resurgence of the cryptocurrency market, it is crucial to recognize the uptick in phishing scams. This highlights the urgent need to bolster security measures. In addition, it is imperative to enhance user education and raise awareness of security best practices, particularly when handling cryptocurrencies.
