Base set for ‘material share’ of SocialFi activity: Franklin Templeton
Trillion-dollar asset manager Franklin Templeton suggests “Base Season” has arrived with the rise of Social Finance (SocialFi) apps, with Base leading other Ethereum layer 2s in the vertical.
“[It is] positioning itself well to capture a material share of SocialFi activity and remain a leader in the Ethereum L2 sector going forward,” Franklin Templeton said in a May report.
About 46% of transactions related to SocialFi are on Base, which has increasingly stripped market share away from the BNB Chain and Polygon in recent months, according to one of the charts provided by Franklin Templeton.
Franklin Templeton said support from Coinbase has played a key role in Base capturing nearly half of the SocialFi market share to date.
Friend.tech is perhaps the most notable SocialFi application built on Base, which allows creators to connect and monetize their content through “key” shares or “tokenized attention.”
“Base has hit a homerun in the world of SocialFi,” which will remain a “key vertical to watch” for Base’s adoption and growth over the long haul, Franklin Templeton said.
Source: Franklin TempletonTheta Network, Decentralized Social, Fantasy.top and Steem are among the other popular SocialFi blockchains and protocols.
Franklin Templeton highlighted the recent memecoin mania as another key contributor to Base’s rise in network activity.
Related: Coinbase sees infinite interoperability potential with Ethereum and USDC
Base is the third largest Ethereum layer 2 network by total value locked now with $5.4 billion, only trailing Arbitrum One and OP Mainnet at $15.9 billion and $6.90 billion respectively, according to L2BEAT.
However, Base has risen from $1 billion to $5.4 billion in less than three months after it taking six months to break the $1 billion milestone,
Meanwhile, Arbitrum One and OP Mainnet have seen their TVLs tallies fall over the last two months.
Coinbase officially launched Base last August. The cryptocurrency exchange is the sole sequencer of Base, meaning the chain is fully controlled by the exchange, L2BEAT data shows.
However, Coinbase intends on progressively decentralizing Base over time.
It was built using Optimism’s OP stack, and is focused on offering a secure, cost-efficient, and builder-friendly environment for Ethereum Virtual Machine-compatible applications.
Magazine: 1 in 6 new Base meme coins are scams, 91% have vulnerabilities
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Almost 90% ot Airdrop Tokens Crash Within Three Months
Announcement on Resumption of FTM Network Deposit and Withdrawal Services
We are pleased to announce that FTM network deposit and withdrawal services are available again on our platform. We apologize for any inconvenience caused during the suspension period! Join Bitget, the World's Leading Crypto Exchange and Web 3 Company Sign up on Bitget now >>> Follow us on Twitter
$10 – $20 RIO ATH Price Possibility Comes Into Play as Bullish Inverted Head and Shoulders Pattern Forms
$66,000 BTC Price Nears as Bulls Take Full Control, Bitcoin Races Towards Next $68,000 Crucial Resistance Level