Investment fund manager Franklin Templeton has published a new note on his digital asset outlook, which is dedicated to Ethereum's L2, Base.
In the new note for investors, Franklin Templeton highlights the impressive growth achieved by Base, which in just over a year has managed to become one of the main and most adopted second layer networks (Layer2) of Ethereum.
Franklin Templeton, which manages more than $1 trillion in assets and one of 12 Bitcoin spot ETFs approved in January by the US SEC, has published several investor notes related to the emerging world of cryptocurrencies, as part of its perspective newsletter on digital assets, with which it seeks to provide a broader vision of the crypto ecosystem and industry to its investors.
Base leads the blockchain-based social media sector
Franklin Templeton has highlighted the success of Base in the cryptocurrency sector, especially in SocialFi, that is, in the sector of social networks built on the blockchain. In this regard, he commented that Ethereum's L2 has approximately 46% of all transactions related to SocialFi.
In the note, titled “It's Base Season”, the fund manager commented that social applications such as Friend Tech have driven the growth of the network and, currently, are key for it to continue consolidating itself as one of the leaders in the crypto industry. Additionally, Franklin Templeton mentioned memecoins, highlighting that these community digital assets have also played a key role in the growth of Base.
“Base has a strong combination of SocialFi applications and direct integration with Coinbase users, positioning itself well to capture a significant portion of SocialFi activity and remain a leader in the Ethereum L2 sector in the future,” highlighted Franklin Templeton.
Base, which was launched by Coinbase in 2023, was built using Optimism's open source OP Stack technology, allowing it to be a secure, intuitive and easy-to-use blockchain for developers building innovative applications on Ethereum.
Base processed more than 80 million transactions in April
As an example of the enormous growth and adoption of Base in the crypto ecosystem, the Ethereum L2 data analysis platform, GrowThePie, highlighted that the Coinbase blockchain managed to process a greater number of transactions than the Ethereum mainnet, last month of April.
Source: GrowThePie
According to data shared by the platform, Base processed a total of 81,41 million transactions last month, which is 38% more than the total transactions processed by the Arbitrum network, another important L2 in the ecosystem. Ethereum, and 55% more than those processed by the main network.
In relation to these numbers, experts highlighted the importance of L2 as a basis for the scalability and accessibility of Ethereum, allowing users to make fast transactions and with very low commission rates.
“The “fee war” is over once and for all,” commented X user @daddysether, referring to how second-layer blockchains are addressing one of Ethereum's main challenges, high gas costs. . According to Etherscan, the average rate in Ethereum for asset exchange transactions is around $9,30, at press time.
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