Coinbase’s Base Surpasses Other Layer-2 Networks in Stablecoin Volume and Transaction Count

Coinbase’s Base Surpasses Other Layer-2 Networks in Stablecoin Volume and Transaction Count

On October 26, Coinbase’s Ethereum layer-2 network Base achieved a significant milestone by briefly becoming the top blockchain for stablecoin volume, coinciding with a record transaction count. According to data from Artemis Terminal, Base captured 30.06 percent of total stablecoin volume across major blockchains, surpassing established networks such as Solana, Ethereum, and Tron.

Peter Schroder highlighted this achievement in a recent post on X, emphasizing Base’s increasing prominence within the cryptocurrency sector. On the same day, Solana held 25 percent of stablecoin volume, Ethereum accounted for 20 percent, and Tron secured 16.7 percent.

Circle CEO Jeremy Allaire commented on Base's emerging dominance, speculating that if the trend continues, the network could reach an annualized stablecoin transaction volume of approximately $6.6 trillion for Circle's USD Coin (USDC). On October 26, USDC made up 62 percent of Base’s total stablecoin volume, while Tether (USDT) contributed 30 percent and DAI added 7.4 percent.

The surge in stablecoin transactions on Base aligns with a broader increase in network activity. Data from Dune Analytics indicates that Base processed 5.6 million transactions on October 26, marking a 20 percent increase compared to the previous month. Historically, Solana has dominated stablecoin transactions, consistently capturing around 60 percent of the market until mid-2024. However, recent trends suggest a shift as Base begins to challenge Solana's long-held position.

Despite Solana's year-to-date leadership with over $8.6 trillion in stablecoin volume, followed by Ethereum at $6.1 trillion, Base is rapidly gaining ground. Currently, Base holds a 20.8 percent market share in stablecoin volume for October, just edging out Solana at 20.6 percent, while Ethereum remains in the lead with 25.6 percent.

In addition to its achievements in stablecoin transactions, Base has surpassed the $2 billion milestone in total value locked (TVL), positioning it as the second-largest optimistic rollup by deposits, trailing only Arbitrum. Launched in August 2023, Base operates as an optimistic rollup, processing transactions off the Ethereum mainnet and periodically posting data on-chain.

In a separate development, Coinbase is actively seeking legal recourse against the U.S. Securities and Exchange Commission (SEC) regarding crypto regulations. The exchange has urged a federal appeals court in Philadelphia to compel the SEC to establish new rules for cryptocurrency operations. Coinbase argues that the SEC has made compliance nearly impossible, with Eugene Scalia, a lawyer for Coinbase, describing the regulator's actions as "arbitrary and capricious."

Scalia further noted that the SEC has failed to provide Coinbase with clarity on how to register and comply with U.S. laws. This lawsuit follows Coinbase's previous demand for rules clarifying standards for determining when cryptocurrencies are classified as securities. Despite the SEC’s dismissal of these claims in December, Coinbase recently secured a partial victory, potentially gaining access to crucial documents regarding the agency's classification of tokens.