- Coinbase’s Layer 2 protocol BASE has become extremely popular due to the new projects launched on it.
- Friend.tech, a Paradigm-backed project, has beaten the likes of Tron, Uniswap, Bitcoin and other popular DeFi projects in total fees generated in 24 hours.
- If this hype around the newly launched social media platform continues, it could overtake LidoDAO, which has nearly $13 billion TVL.
Coinbase’s Layer 2 solution is again at the forefront due to friend.tech’s popularity. The newly launched project has generated $1.12 million in fees over the last 24 hours, overcoming heavyweights like Tron, Uniswap, MetaMask, etc.
BASE’s friend.tech rises to popularity amid market turmoil
Coinbase’s Layer 2 solution BASE was a big hit even before a bridge allowed investors to pull their money out of the chain. Despite the uncertainty, investors sent millions to the chain to capitalize on newly launched tokens that would easily yield more than 10x return in a few hours. Despite multiple scams and rug pulls, the Layer 2 solution remains popular.
One such protocol that has risen to heights is friend.tech; a social media platform allowing investors to purchase their popular influencers' shares. The influencers, in return, get a portion of the trading fees from their users. On the other hand, purchasers of influencer shares can reach direct access or communication channels to their influencers.
After revealing the project was backed by Venture Capital Paradigm, the activity on the platform skyrocketed. Now, the 24-hour fees generated by this protocol are higher than the likes of Tron, Uniswap, MetaMask, etc.
The DeFiLlama dashboard shows that the total fees generated in the 24 hours are $1.12 million. In terms of revenue, the project even overtakes LidoDAO, which has nearly $13 billion worth of total value locked (TVL).
DeFiLlama DeFi dashboard
Data from Dune Analytics reveal that the number of daily transactions for BASE overtook the big Layer 2 projects like Optimism and Arbitrum a few weeks after its launch. Arbitrum’s daily transaction currently hovers around 636,720, while BASE’s sits at 646,440.
L2 transactions per day
While airdrop points and first-mover advantage might partially drive the hype around friend.tech, it is still being determined if it will maintain the same levels as time goes by. Regardless, it is plausible to assume a copycat project will likely spawn soon with better tech and interface and steal friend.tech’s popularity and its share of the fees and revenue.
Like this article? Help us with some feedback by answering this survey:
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.