Coinbase's layer 2 Ethereum network Base will offer crypto traders wishing to enter decentralised finance (DeFi) a low-fee, safe, and user-friendly experience.
As the SEC seeks to take down retail staking platforms, stablecoins and unregistered securities with tight regulations, Coinbase is leaving its CeFi roots behind to make new foundations in DeFi.
With Base, Coinbase hopes to bring a wave of new crypto investors out of CeFi and into the decentralised world.
With Base Coinbase will make DeFi explode
With Base, Coinbase aims to bring millions of investors whether they be traditional investors or crypto investors, into the world of DeFi.
In the U.S. CeFi institutions and cryptocurrency exchanges are under attack from strict regulations from the SEC. Coinbase's new layer 2 network may seamlessly shift traders out of the CeFi realm and into DeFi, where most platforms will be free from regulatory constraints.
Base is an Ethereum L2 that offers a secure, low-cost, developer-friendly way for anyone, anywhere, to build decentralized apps. Our goal with Base is to make onchain the next online and onboard 1B+ users into the cryptoeconomy.
On Base, crypto traders will be able to bridge tokens to various layer 1 networks such as Solana and Fantom, and other layer 2 networks like Polygon and Optimism.
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Decentralisation and the potential of the crypto industry to flourish and expand without regulatory constraints is something that Coinbase strongly believes in. Spectators wonder how Coinbase as a publicly traded company and CeFi exchange will balance its DeFi open-source layer 2 blockchain alter ego.
From Coinbase on Base:
Decentralization is essential for the cryptoeconomy to remain open, global, and accessible to everyone. While we’ve begun incubating Base inside of Coinbase, we are deeply committed to progressing towards full decentralization over the years ahead.